DRO and HSBC Current Account

hello19

Hi,

I have received some forms today from SC to apply for a DRO. I have just recently opened a current account with HSBC (less than a week). When the DRO is approved, could HSBC downgrade the account to a basic account or freeze the current account at all when they find out about the DRO?

To add, I have never taken any credit card from HSBC only current account and this where my salary is paid into.

Thanks

sourcrates

They might do yes, HSBC have form for this, may be prudent to open a new basic account with an insolvency friendly bank such as coop, nationwide or Lloyd’s, as a precaution.

D_M_E

Sourcrates - HBOS has nothing to do with HSBC.

Apart from that, Sourcrate's words are good.

You could try calling and asking them, or using their chat facility on their website, no need to log in to use it.

Think most likely to downgrade account but ask them.

Annie35

HSBC have a basic account that specifically advertises to 'if you're bankrupt'. I know you're going DRO but I would maybe expect them to put a hold on your account then downgrade it.

It is hard to guess mind, as Barclays, a supposed insolvent friendly bank, had a hissy & closed my basic account immediately after receiving the letter! Then Santander wrote & told me they specifically don't do current accounts for insolvency (Did I want a savers tho?!) & closed my old one. Nationwide have been great thou so if hsbc give you any problems I'd recommend nationwide.

sourcrates

D_M_E wrote: »

Sourcrates - HBOS has nothing to do with HSBC.

Apart from that, Sourcrate's words are good.

You could try calling and asking them, or using their chat facility on their website, no need to log in to use it.

Think most likely to downgrade account but ask them.

My mistake, appologies, you are correct.

fatbelly

Any debts with HSBC? If not then the only way they'd find out about it is to trawl the insolvency register.

In a DRO only the creditors get informed so yes they could downgrade the account but equally they may never find out about the DRO.

hello19

fatbelly wrote: »

Any debts with HSBC? If not then the only way they'd find out about it is to trawl the insolvency register.

In a DRO only the creditors get informed so yes they could downgrade the account but equally they may never find out about the DRO.

No, I have no debts with HSBC. I think I'm better off asking them to give me a basic account.

Thanks

fatbelly

hello19 wrote: »

No, I have no debts with HSBC. I think I'm better off asking them to give me a basic account.

Thanks

I'd just let it run. You'll probably be OK. Worst case would be they write to you to say your account has been downgraded to a basic.