HSBC Price Promise

MSE_Martin

Last week HSBC launched its new Price Promise service to go alongside its current account range - this offers to protect you against paying over the odds for many retail items.

How does this work?

If you purchase an item using your HSBC debit card, and then find the same product cheaper elsewhere within 60 days, the price promise allows you to claim back the difference from HSBC.

This is a free service; the minimum value of goods covered is £10 and the max. payout is £1000 (with an annual £5,000 cap). To do it requires an HSBC bank account, not a good thing as its pants, yet there’s a way round this too.

What’s the Trick?

Take out HSBC’s Bank Account (ensure it’s this precise product – they have many with similar names, some of which charge a subscription fee), then transactions using the accompanying debit card will be protected by the 60 day price promise.

This specific account doesn’t require you to pay your salary in, and is free to hold. Therefore just keep this topped up with the amount you intend to spend, to take advantage of the price promise, while still using your normal current account for everything else – hopefully that’s a good one, see Best Current Account article.

However this isn't the only product doing this. An alternative is the RBS credit card - which while you have to pay (roughly £20 a year - but you can do a three month trial for £1) also means you get statutory Section 75 protection. That means if there's a problem you can claim equally off the credit card company as well as the retailer - giving you valuable extra protection. For more on the RBS alternative read - Xmas prezzies at January sales prices

When should I use it?

It’s good insurance if you’re buying something expensive at speed, and haven’t had the time to shop around (otherwise, use a Cashback Credit Card to get extra money off on top)

Also it’s great pre-sales, so if the object is reduced you can claim your Cashback (see Xmas prezzies at January sales prices)

The Problems

No internet prices. One rather large omission from the cover is prices found on the internet. Unfortunately, you can’t use these to undercut the amount originally paid.

Goods must be the same make and model. If they’re not you won’t get the difference back. This tends to be strict, e.g. a Playstation 2 with different ‘games included’ will count as a different good.

It doesn’t apply at the same shop. If the only place you can find the goods cheaper is where it was bought, the claim is ruled out, so retailers’ own brands are automatically excluded.

Exclusions. The Promises exclude holidays, computers, perishable goods, second-hand goods, cars, tickets and anything bought abroad or in an auction. HSBC also disallows Computers, mobile phones and any associated software or hardware.

Plus if another price promise, e.g. John Lewis's, applies, claims must be made there first, so ensure your planned purchase is covered.

How to claim

It is necessary to have proof of purchase, card usage, and availability of the goods at an openly available lower price elsewhere in the UK. An internet page reference (with a date on it), mail-order catalogue, newspaper article or store flyer all count. The card should then credit the difference onto your card.

Failing this, headed store notepaper with a quote should suffice, though this could be tricky to get in the busy sales period.

Hobo_2

Martin ,
another advantage is you can open the 8% regular saver.

jonesMUFCforever

When you take into account all the exclusions where can you use the card?????
IMO It is much better to get the protection of the Consumer Credit Act for goods over £100.To do this you have to use a credit card not a debit card.

Eric

natalie1980_2

Hobo wrote:

Martin ,
another advantage is you can open the 8% regular saver.

If you read the small print you can only open an 8% regular saver if you fund your acfcount with your salary.