HSBC says it could charge for current accounts

EarthBoy

https://www.bbc.co.uk/news/business-54700837
https://www.theguardian.com/business/2020/oct/27/hsbc-plans-cost-cuts-forecast-beating-results-bank-accounts
No further details available, so it sounds like it's just an idea at the moment, not a definite proposal.

garmeg

Will be the end of people having multiple current accounts if they all go down this route.

Which bank will blink first? Because they risk losing lots of customers to their rivals and they cannot act as a cartel.

Thrugelmir

Why should current account banking be free?  Services have to be paid for by someone. 

born_again

Reminds me of how TSB offered cashback via quidco & now they have dropped the interest on the accounts, which was one of the reasons many signed up to them.

This has been coming for years. Covid has just made it easier to bring to the marketplace. Just like many retailers are using it as a excuse for folding, despite the fact they have been in trouble for years.

dr_adidas01

Thrugelmir said:

Why should current account banking be free?  Services have to be paid for by someone. 

True UK consumers have been used to free banking hence why they expect it to be free,  where as other countries charge a fee for banking services.

RobM99

Thrugelmir said:

Why should current account banking be free?  Services have to be paid for by someone. 

Interest the banks earn by lending our money out.  Possibly.

Malkytheheed

Thrugelmir said:

Why should current account banking be free?  Services have to be paid for by someone. 

Emm Because I am giving my money to the bank so they can loan it out to someone else and profit from it. yes? I don't have to give my money to a bank, without it they can't function. They way I see it banks should be fighting for my money.

I'll just put it elsewhere if they want to charge me for the priviledge of making them money  from my money. I'll happily put it all in stocks / bonds / another country / properties / businesses etc. Everyone of these pays me better returns that a UK High St. bank. I only need a trivial amount in a "current account" at any given time.  

stclair

I think if they was to do this it would stop people having multiple current accounts  as I’m sure someone wouldn’t pay a fee for each account they hold. I personally have 7 current accounts across different banks and most certainly wouldn’t pay for them all. 

borderline

I will close my bank account and move it to any other bank that doesn't charge .

garmeg

stclair said:

I think if they was to do this it would stop people having multiple current accounts  as I’m sure someone wouldn’t pay a fee for each account they hold. I personally have 7 current accounts across different banks and most certainly wouldn’t pay for them all. 

I think I have about 10 ...

Nationwide 2
Halifax Reward 2
BOS Reward 1
First direct 1
HSBC 1
RBS 1 (was 3, 2 used for Lloyds and HSBC switch cashback)
Santander 123 Lite 1
Lloyds Club 1
TSB 2 (was 3, 1 used for RBS switch cashback)

Make that 12, down from 15 a couple of months ago.

I would only pay for one, so I would have 11 more to kill off.

stclair

garmeg said:

stclair said:

I think if they was to do this it would stop people having multiple current accounts  as I’m sure someone wouldn’t pay a fee for each account they hold. I personally have 7 current accounts across different banks and most certainly wouldn’t pay for them all. 

I think I have about 10 ...

Nationwide 2
Halifax Reward 2
BOS Reward 1
First direct 1
HSBC 1
RBS 1 (was 3, 2 used for Lloyds and HSBC switch cashback)
Santander 123 Lite 1
Lloyds Club 1
TSB 2 (was 3, 1 used for RBS switch cashback)

Make that 12, down from 15 a couple of months ago.

I would only pay for one, so I would have 11 more to kill off.

I suspect they will probably say unless you pay in X amount a month we will charge you a fee or something along those lines.