HSBC Grad Acc Removing Interest Free Overdraft

andrewkelly

Can't HSBC be accused of false advertising?

Money_manager

My son has just graduated and has not had any letter from HSBC telling him that they were doing this. I am so annoyed with them that I am considering moving my account away from HSBC after being with them (and The Midland Bank) for 30 years. I consider it disgusting that they have treated people like this without any warning. They are trying to trap people into paying interest because they don't know what is happening or have enough time to make other arrangements. When my son spoke to bank staff on Thursday, they encouraged him to go to their Graduate Account Plus because the overdraft is still interest free, but there is a fee of £9.99 a month and you sign up for a minimum of 12 months. They are trying to frighten people into taking this because the overdraft will be interest free but then they are brainwashing you into paying to have a current account from the start of your working life. They are always trying to get us to change to pay to have a current account as well, but we are not interested. After this, we are not interested in the HSBC - full stop!
Vote with your feet, but make sure the bank knows why because this is the only way we can get the message through to them.

Money_manager

PS to my last message! The bank staff had the nerve to tell my son that the HSBC "were trying to teach people that it costs money to borrow money!" He knew that 3 years ago when he took this account out with them and was told that he would have the interest free overdraft for 2 years after he graduated. All his calculations were based on this and everything would have been fine if they hadn't pulled the rug from under his feet. If it comes to it, I shall lend him the money to pay the overdraft off rather than give HSBC one penny in interest!

gt94sss2

Money_manager wrote: »

He knew that 3 years ago when he took this account out with them and was told that he would have the interest free overdraft for 2 years after he graduated.

Obviously I don't know what your son was told but no bank will ever state what the conditions of the 'graduate' account will be when a student signs up to the 'student account' - 3 to 5 years before graduating

This is because all the big banks change their 'graduate' accounts annually..

Regards
Sunil

masonic

gt94sss2 wrote: »

Obviously I don't know what your son was told but no bank will ever state what the conditions of the 'graduate' account will be when a student signs up to the 'student account' - 3 to 5 years before graduating

Actually, most student accounts are sold with the promise that the interest free overdraft can be kept for a number of years after graduating. I certainly had that, in writing, from Barclays, for example.

gatesey

This is very annoying. Not only do I hear about the proposed changes in the Sunday Times rather than from HSBC themselves, but I do not graduate until July 17th, after they propose to start migrating customers over to the new graduate accounts. My university is notoriously slow when it comes to administration and we have been told that we may have to wait for upto 6 weeks after graduation before we actually receive our degree certificates. Does anyone know if banks will accept transcripts of marks as proof of graduation? Otherwise I'll be forced to pay interest on my overdraft with HSBC.