Possible to open 2nd HSBC current account for switch?

gregc

My wife is looking at expanding her current accounts to get a Nationwide FlexDirect, amongst others. I've noticed that I'm in a position to invite her to transfer her account in for a £200 reward between us. This needs to use the full Current Account Switch service with 2 direct debits.

The only account that she should realistically close (others earn better interest), is the traditional HSBC Advance. She isn't massively keen on closing this, as it's the main account (in terms of day to day usage, not amounts) that she's had for 16 years. She knows she can get into online banking easily, knows the account number off by heart just in case etc etc.

Q1: Will she be able to open a second HSBC current account, just the simple 'Bank Account', alongside her existing one?
Q2: Any reason why you can't do a current account transfer on an account that's recently been opened? We would move a couple of DDs into it first for the switch.
It means we can transfer an account to Nationwide, but she can still keep her long-standing hsbc account just in case.

Thanks!

YorkshireBoy

Q1. Probably. Any exclusions will be on their website.
Q2. No. Just wait for the debit card before initiating the switch.


But why not go somewhere different altogether?...say RBS? Nice and quick, and it won't matter if they take the huff!

TheShape

Q1: I don't see why not but HSBC's t&cs will tell you.
Q2: I opened and switched a Nationwide account approx 2 weeks (just long enough to set up and pay out 2 DDs) after opening. I switched, or requested to switch, a Lloyd's account within a week of opening (did it the day I received the debit card). That didn't need any DDs though.

It's a good idea to keep an account that has been held for a long time as credit providers place a value on stability.

gregc

YorkshireBoy wrote: »

Q1. Probably. Any exclusions will be on their website.
Q2. No. Just wait for the debit card before initiating the switch.


But why not go somewhere different altogether?...say RBS? Nice and quick, and it won't matter if they take the huff!

That is an option. I was thinking getting it where she was already (HSBC) as it might be easier/quicker as she's known to them. That might be very misguided though! I was thinking they'd be less likely to take the huff, as they still have her usual bank account, so they've not really lost anything (and have gained quite a lot off her).

I haven't found any exclusions, but was seeing if experience could beat me going all the way into the T+Cs

Out of interest, why do you need the debit card before you switch?

YorkshireBoy

gregc wrote: »

Out of interest, why do you need the debit card before you switch?

The bank you're switching to will* ask for the 16 digit card number.


* Always in my experience, although others on here have said they weren't asked (not necessarily by Nationwide).

YorkshireBoy

gregc wrote: »

That is an option. I was thinking getting it where she was already (HSBC) as it might be easier/quicker as she's known to them. That might be very misguided though! I was thinking they'd be less likely to take the huff, as they still have her usual bank account, so they've not really lost anything (and have gained quite a lot off her).

They've wasted time and money setting up an account she intends to immediately close. That's a loss isn't it? And unless she has a mortgage and/or loan and/or insurance through them, the current account she already has been a loss leader for them...let alone another she intends to keep only for a week or two.

And HSBC are well known for going overboard on ID/paperwork/delays etc in opening accounts, even for existing customers. I'd wager RBS (or NatWest) would be a quicker option, even as a new customer.

gregc

YorkshireBoy wrote: »

They've wasted time and money setting up an account she intends to immediately close. That's a loss isn't it? And unless she has a mortgage and/or loan and/or insurance through them, the current account she already has been a loss leader for them...let alone another she intends to keep only for a week or two.

And HSBC are well known for going overboard on ID/paperwork/delays etc in opening accounts, even for existing customers. I'd wager RBS (or NatWest) would be a quicker option, even as a new customer.

I was just considering that HSBC can be a bit difficult, prob why I left them (or they got rid of my dormant account!). Have started looking at RBS then.

There are some awkward eligibility things with HSBC:
- The Bank Account has a different version in 2 different places. One says "You must agree to have your salary/regular income paid directly into your Bank Account". I guess 'regular income' doesn't necessarily mean your salary.
- The Basic Bank account says "You must not continue to hold a bank (payment) account with another UK provider"

Her account has mostly had several thousand in it, on zero interest, for 10 years. Plus an ISA for the last few years (though moved now admittedly!). Is that really a loss leader for banks?! Certainly not gaining us anything, so most of it is being moved elsewhere!

TheShape

Account literature often talks of 'switching your 'everyday banking' ' or 'paying in your salary'. The t&C's will often clarify this to mean paying out x number of direct debits or paying in x amount of money per month. I imagine the wording is designed to encourage the genuine switchers and discourage the rate tarts/incentive chasers.

I've just remembered that the HSBC Bank Account t&cs require you to pay in £500 p/m. As such, it's not a 'no hassle' account. You might not have deposit £500 upon application but they may be expecting to receive payment into the account. And as YorkshireBoy mentions, HSBC group are notorious for their slow processing and excessive paperwork.

Ignore the Basic Bank account as it's an account for those who cannot open a full service account due to poor credit history etc.

I opened a RBS account for a quick switch recently.

JuicyJesus

YorkshireBoy wrote: »

They've wasted time and money setting up an account she intends to immediately close. That's a loss isn't it? And unless she has a mortgage and/or loan and/or insurance through them, the current account she already has been a loss leader for them...let alone another she intends to keep only for a week or two.

And HSBC are well known for going overboard on ID/paperwork/delays etc in opening accounts, even for existing customers. I'd wager RBS (or NatWest) would be a quicker option, even as a new customer.

I'd agree with the above. It is exceptionally unlikely that HSBC will accept an account application for no valid purpose at all. They're not a charity.

bigadaj

YorkshireBoy wrote: »

The bank you're switching to will* ask for the 16 digit card number.


* Always in my experience, although others on here have said they weren't asked (not necessarily by Nationwide).

It can be done without. I switched a Santander account to m&s and couldn't find the debit card. The operator said that they would still process the switch but it would take longer and the was a chance that Santander might reject it, by the time she explained it I'd managed to root through the door and find the card (thought I'd prepared before ringing but realised I'd got the debit card for another Santander account to hand).

YorkshireBoy

bigadaj wrote: »

It can be done without. I switched a Santander account to m&s and couldn't find the debit card. The operator said that they would still process the switch but it would take longer and the was a chance that Santander might reject it, by the time she explained it I'd managed to root through the door and find the card (thought I'd prepared before ringing but realised I'd got the debit card for another Santander account to hand).

It's unclear whether you actually switched without giving them the card number, or whether you're just reporting that the CSA said you could? Seems to be the latter?