HSBC vs first direct

ccdorset

Hi,

Does anyone have experience of how HSBC compares with first direct?

I have switched banks several times to take advantage of the switcher incentives and have done virtually all of them I believe, except Natwest and HSBC.

I'm looking to settle with a bank now to keep things stable, as I'm looking to remortgage later in the year. I currently bank with Halifax and was looking to move back to first direct, as I really liked their service when I was with them in the past.

Conscious I won't get the switcher incentive with first direct as I was previously a customer.

I thought my mind was made up, until I saw that HSBC have relaunched their £150 switcher offer!

I guess really I am wondering if there is any real difference between HSBC and first direct? Does anyone have experience of banking with both of them and how they compare?

Thanks in advance for your help.

binaryuniverse

First Direct have the advantage of the phone answered pretty quickly, in my experience, if that's important to you.

Both have 5% regular savers.
First Direct have the £250 0% interest overdraft.
HSBC give you £150.

First direct has a lower pay in requirement (£1000 vs £1750).
First Direct charges £10 a month if you don't pay in £1000+ or don't have a savings account)

I'd probably take the £150, short term. Long term, I'd probably pick FD (they are main account, at present). But things also depend on how important the overdraft and phone call things are to you. Or if you can meet the monthly pay in.

18cc

In my opinion and it is only my opinion both of them look and feel as if they were back in the 1970s

if you are looking for a bank to stay with long-term I would think about one of the more modern ones

Butch_Dingle

HSBC call centre wait times can be as long as 60 mins on the phone, whilst FD answer the phone almost immediately if you call them on their 0113-2345678 number. Other than that, they share the same back end systems.

Re: internet banking, yes FD's does look rather dated but once you get get used, its pretty slick and lets you do most things online. I mostly use the FD app on my iphone these days, no need to faff around physical card readers/devices when setting up new payees and can login to the app just by looking into the phone! (FaceID). FD's app faceID implementation seems to be better than Amex's/Lloyds/Halifax/BoS/PayPal/Barclaycard/Santander in that its a lot faster.

teachergirl

Have been with first direct for years and cannot fault their service. They even inform me when another bank would offer me better interest rates( as we are now in credit on an off set mortgage). They answer the phone quickly and are often willing to "chat" about non bank related things which makes it seem more friendly. on the rare occasions I have had problems they have been really helpful.

Brewer20

First Direct would be a perfect bank if they offered interest on their current accounts, sadly never have done.


Apart from the above I can't fault them, been a customer for many, many years. I use them for receiving my payments in but they don't stay there long and get moved on to accounts that pay interest. I think meet the pay in figure or hold another product with them and they waive the fee, I have their credit card so no fee.

ccdorset

Thanks for all your replies. Appreciate all your advice!

I think ultimately I would like to settle on a bank where if there is a problem I could get through to someone quickly and be confident they are going to be able to help me. So in that sense my answer is probably first direct.

With first direct I guess the other positive is that I could put £300 a month into the 5% Regular Saver instead of £250 with HSBC, but then I wouldn't get the £150 switcher incentive.

I do remember first direct's internet banking being a bit outdated when I was with them a few years ago, so it sounds like it hasn't advanced much since!

I do find Halifax's mobile app very good in comparison to what I remember first direct's was like, but perhaps that has moved on.

I guess ultimately I just need to decide whether to switch to HSBC to get the £150 and then switch away again to first direct, but I will need to look at remortgaging later in the year, so I'm thinking it might be best to show stability.

nick74

Brewer20 wrote: »

First Direct would be a perfect bank if they offered interest on their current accounts, sadly never have done.


.

They did used to pay interest on current accounts, and I seem to recall it was at a quite decent rate in their early days too. They also paid a higher rate of current account interest as long as you agreed to opt out of paper statements.

Unfortunately First Direct had a major revemp of their current accounts in around 2006 which led to them introducing a minimum funding requirement on their current account and also scrapping credit interest. Both changes annoyed me sufficiently at the time that I switched away from them after being a long standing customer and I have never used them since!

I must admit that their customer service was always pretty much faultless though.

Brewer20

Just to add....



I don't find FD banking app or online transactions old fashioned or dated, no more so than others and I've used a few. It's all pretty straightforward, like most things, once you get to know your way around.

EarthBoy

nick74 wrote: »

They did used to pay interest on current accounts, and I seem to recall it was at a quite decent rate in their early days too.

That's right. Long before they dreamt up the term "1st account", First Direct offered two different types of current account. There was the ordinary "cheque account" which didn't pay any interest, and had no minimum pay-in requirements, and the superior "bank account" which demanded a minimum monthly payment and paid interest.

They also had a "high interest savings account" which paid a decent rate and which came with its own ATM card. Sadly, the interest dwindled over the years, the account was re-named "everyday savings", the ATM card was discontinued and the account was finally withdrawn altogether.

ccdorset wrote: »

I do remember first direct's internet banking being a bit outdated when I was with them a few years ago, so it sounds like it hasn't advanced much since!

I do find Halifax's mobile app very good in comparison to what I remember first direct's was like, but perhaps that has moved on.

Halifax's app is still much better than First Direct's app.

sausage_time

I'm pretty sure the answer is yes, but can I get a switching bonus by moving from FD to HSBC? I can't see any exclusion in the T&Cs.