If security is required, an administration fee will be payable. We charge interest on both types of overdraft (once youve borrowed more than any interest-free buffer). All rights reserved. HSBC Group | Copyright HSBC Group 2002-2023. If youve borrowed money through your overdraft, the faster you can repay it, the less interest youll be charged. 0000003157 00000 n If you wish to apply for a new or a higher arranged overdraft limit, please visit ourOverdraftspage on how to apply. We will report accounts that have been in a continuous unarranged overdraft for 30 or more days to Credit Reference Agencies, which could negatively affect your credit file and your ability to get credit in the future. Some examples are: There are a number of waysyou can reducespending or increase your income. Does this mean that customers who aren't in repeat use aren't entitled toanysupport? If you're an existing HSBC customer with an overdraft, you can use the mobile app or log on to online banking and manage your current arranged limit. However, not all bank accounts are eligible for an arranged overdraft. 39.9% EAR variable. If you feel youre not in a position to reduceyour overdraft use, or are worried about your finances in general,you can find more help at: You can get independent help and advice from free and impartial organisations, some of which are listed below. Whenwe get in touch, we will also explain how we may beable to help, in the short and long term, if you're unableto pay this amount. www.hsbc.co.uk. If you're a student, you may be able to access a 0% overdraft. <> If youre accepted, your funds will be available straight away. An overdraft isn't guaranteed and is repayable on demand. endobj Based on an arranged overdraft of1,200. Our website doesn't support your browser so please upgrade. However, if you go into an unarranged overdraft this can negatively affect your credit score and your ability to get credit in the future. Concerned about your financial situation? Looking for a student account and debit card instead? 0000003553 00000 n A lot of the informationwe providecould be useful whether youre in repeat use or not. National Debtline (if youre self-employed). 137 0 obj It can be used in 175 countries, and automatically converts your money to the local currency whenever you spend abroad. For example, daily limits on spending and cash withdrawals. Monthly cap on unarranged overdraft charges. Youll have a lot of choice, from traditional banks to digital money providers. HSBC said that as a result of this and the removal of the 5 daily fee for unarranged overdrafts, seven in 10 who use an overdraft would be better off or the same as a result of the changes. Each current account will set a monthly maximum charge for: Interest payable on an overdraft by account name. endobj 0000017605 00000 n However, you may be paying more than you need to in interest, which is why were letting you know and encouraging you to review and reduce your overdraft usage. If you want to add an arranged overdraft to your account, you can apply for this online through ourManage Overdraft Service. We will report to credit reference agencies, accounts that have been in a continuous unarranged overdraft for 30 or more days. H\n@CLwl$G0vb@;5e%"tW;^w2u{0LOnown$ ex6.7LKaFG{&eO>Szm0v~iO,\$~{*{$u^2pWMoq.+j[-4k%kK9um-P% %Y,82E.o4,:uds`sds`sGWW)z page on how to apply. So, make sure you have your debit card PIN memorised. HSBC Group | Copyright HSBC Group 2002-2023. <> HSBC . But, this isn't necessarily a bad thing. OSB_/..+..Tp*9JNSTp*9JNSY*6a:Lue G8&hlB %Z Whats more, all HSBC cardholders have access to the home&Away offers programme. If you haven't or if you've gone past your arranged limit it's known as an 'unarranged overdraft'. 152 0 obj [/View/Design] Unarranged Overdraft Interest We will normally charge you unarranged overdraft interest of 39.9% EAR variable on any day your account is in unarranged overdraft. Your credit score tells a lender about your credit history and helps them assess how much of a risk lending to you would be. If you know what limit you need: you can apply for an arranged overdraft and get an instant decision now. Find the answers and while you're at it, tell us how we could do better. Request temporary arranged overdraft support, Request temporary arranged overdraft support This link will open in a new window. If you need help with this form, pleasecontact usand well be happy to help. 50 interest free 'Buffer', Follow HSBC UK on Facebook This link will open in a new window, Follow HSBC UK on Twitter This link will open in a new window, Follow HSBC UK on YouTube This link will open in a new window, Our website doesn't support your browser so please upgrade, View our service status to see how we're doing, Careers, media, investor and corporate information, the amount borrowed is drawn down in full at noon on the date of calculation, you are overdrawn for a continuous period you dont dip in and out of your overdraft, at the time you go into your overdraft the balance of your current account is 0, no other credits and or debits will be made from the account during the borrowing period, the outstanding balance will be repaid in full on the last day of the borrowing period, the interest rate will remain the same during the whole borrowing period, going overdrawn when you have not arranged an overdraft; or, going over/past your arranged overdraft limit (if you have one), interest and fees for going over/past your arranged overdraft limit, fees for each payment your bank allows despite lack of funds; and, fees for each payment your bank refuses due to lack of funds, your arranged overdraft to help you monitor your usage, your unarranged overdraft - so you know when you've gone over any interest free or arranged overdraft limit and what action you can take. If you go into an unarranged overdraft we'll charge you the same rate we would if you were using your arranged overdraft, and we will cap the charges at 15.50 per month, so you will never pay more than that. 0000003845 00000 n There are lots of different comparison websites that can help you find the bestdeal, reviewing all your borrowing. Direct Debits are often used to pay household utility bills like your gas or electricity. Youll need to check with HSBC whether there are any specific limits about withdrawing cash and spending when in another country, or if the UK limits will apply. The figures displayed are given as a guide only. 146 0 obj If you want to reduce your limit, youll need to reduce the amount youve borrowed to less than your new limit. You can ask to increase, decrease or remove your arranged overdraft in our mobile app. 198 0 obj If your overdraft is on a joint account, onlyoneaccount holder needs to complete the form. Introducing interest free overdraft amounts on more accounts Please see the Terms of Use for your region or visit Wise fees & pricing for the most up-to-date information on pricing and fees. It is not intended to amount to advice on which you should rely. We may also decline payments that would involve using an unarranged overdraft. A list of banks in Germany, including more information on some of the biggest and most popular retail banks in the country. Thats because this shows lenders you may be struggling financially. The HSBC debit card works just like any other bank-issued debit card in the UK. Monthly cap on unarranged overdraft charges Each current account will set a monthly maximum charge for: going overdrawn when you have not arranged an overdraft; or going over/past your arranged overdraft limit (if you have one). We will report to credit reference agencies, accounts that have been in a continuous unarranged overdraft for 30 or more days. Next, click 'View more' in the menu and select Manage arranged overdraft'. 0000035317 00000 n This cap covers any: interest and fees for going over/past your arranged overdraft limit; Here are the key HSBC debit card fees you need to know about, including using your VISA card abroad: As you can see, youll need to be careful when using your HSBC debit card abroad. 0000014115 00000 n If you'd like to upgrade your account to an eligible account,please contact us. endobj Most accounts come with an agreed overdraft limit, which is designed to help people who inadvertently go into the red. Free. Continually using your overdraft may mean you face significant interest charges, which can make it harder to repay the debt. Why are you writing to some customers about this, but not others? This website is designed for use in the United Kingdom. There are different ways to reduce repeated overdraft use. Please note that overdrafts aren't available with our Basic Bank Account. Ive kept to my Arranged Overdraft agreement, why are you writing to me about using my overdraft? Apply for an arranged overdraft through online banking or with our app. best UK bank accounts for international students, HSBC - Advance account - Fee Information Document, Free (ATM operators may charge their own fee), Withdrawing cash overseas or in foreign currency, The option to use your card with digital wallets such as Apple Pay, Google Pay and Samsung Pay, Access to online banking and the HSBC mobile banking app, No monthly maintenance fees for current accounts. * Security may be required - each case is considered on its individual merits. <> Santander, Lloyds Banking Group (including Halifax) and HSBC all have a 39.9% overdraft interest rate as of October 2021. Check my eligibility This link will open in a new window, Unarranged Overdraft service not available. These rates wont apply if you have an account with a negotiated rate (where weve separately agreed a non-standard rate for your overdraft). 136 0 obj A list of banks in Switzerland, including more information on some of the biggest and most popular retail banks in the country. <>/Border[0 0 0]/H/N/OC 128 0 R/Rect[89.2913 583.809 125.456 572.259]/Subtype/Link/Type/Annot>> 126 0 obj 145 0 obj Always check the interest charged for using your overdraft before you start using it. If you don't provide your mobile number, or let us know you've changed it, we won't be able to send them and you may incur avoidable charges. Daily fees- these are applied each day you remain in the overdraft and work out at around 5 a day, but can be even more depending on your bank account A monthly fee- This can cost anything from 5 to 35, or even more in some cases, and are applied once for each month you are in the overdraft Ask yourself if you have the right products to meet yourneeds. 0000014956 00000 n To try to help you avoid Overdraft fees, we will send you Overdraft text alerts if we've agreed an informal overdraft on your account. You can pay your overdraft back by transferring money into your current account. If you don't bank with us yet, you'll need to open a current account. However, if you make several applications within a short period of time, this can have a temporary impact on your rating. The company can change the amount or date, but they must notify you of the change first. 156 0 obj Our arranged overdrafts have an interest rate of 39.9% EAR (variable), with an interest-free buffer of at least 25. You can reduce your overdraft at any time. Based on an assumed arranged overdraft of1,200for an HSBC Bank Account Pay Monthly, the rate is 0% EAR (variable) on the first 25,39.9%EAR (variable) thereafter, giving a representative rate of38.9%APR (variable). To apply, youll need to be over 18 and live in the UK or EU.. Mr John Doe 40-25-02 123456979 19. Its 100 in the UK, but this may be lower in other countries. Based on an assumed arranged overdraft of1,200for an HSBC Jade Bank Account, the rates are 0% EAR (variable) on the first1,000,39.9%EAR (variable) thereafter, giving a representative rate of5.8%APR (variable). Here's a reminder of what well charge for these accounts. Information regarding other forms of borrowing is available on our website. But if you do, please bear in mind that you'll be opting out for all your current accounts with us. So you not only get low fees on overseas spending, but great exchange rates too. endobj Debit card payments in GBP. As a Premier customer, the first 500 of your arranged overdraft is interest-free as standard. 715345 aeVWRVQPS451*56be4OC]Mn~]$XqJRdJ9yYEMm-DcxJtr WjUB Vh(+'_ TN;\R"hfYSUQ rk5J(V"]SCF43kQdnkam `3on$; {lT2)a Check with your overdraft provider if youre unsure. endobj This is how all UK banks must show interest rates on their overdrafts, to make it easier for you to compare one banks overdraft with another. If you want to check if youre likely to get an overdraft without making an application, you can use our eligibility checker. If you choose to opt out of text alerts, this will apply to all personal current accounts you hold with HSBC. 148 0 obj Arranged overdraft limit Enter a value between 0 and 3,000 This is a Arranged overdraft limit fieldset consisting of an input field and slider and changing the value in one field will update the value in the other. There are also several other ways you can keep an eye on where your balance is in relation to your overdraft limit: You can get text message alerts sent to your mobile at no extra cost to let you know you when youre nearing your limit you can set these up via online banking or by calling us on 03456 00 61 61 (your carrier may charge for text alerts). It could be as a result of a payment you have made, or cash withdrawn at an ATM machine. HWMo7Q"ZKJ$A}gI}qZ 0%9ooH FF]k5|}mbW5ujeM{uy4JipkewibTz"WGM0Hq]U|c(pf|j{b@G0Osm.iLRZDMUMTo <>/Subtype/Form>>stream We'll always consider an unarranged request and will make the payment if we can, subject to status. 0000008262 00000 n How does our overdraft compare? Current cost of unarranged overdraft (monthly maximum charge) Cost of unarranged overdraft (monthly maximum charge) from March 2020. In other words, if your account goes below 0, youre into your overdraft. 120 0 obj The table below shows how fees are changing across HSBC and its other brands First Direct and M&S Bank. We have detected your browser is out of date. endobj Your account is credited when money is paid into it. You can check what your overdraft limit is at any time by logging into your online banking or into the mobile app. Using your overdraft less should mean youre charged less. The bank is also emphasizing their Barclayloan debt refinancing option for those who qualify. 0000007113 00000 n endobj From the 17 November we introduced some new text alerts to let you know when you go into or are due to go into your arranged overdraft. Year 2:0%EAR (variable) on the first 2,000,39.9%EAR (variable) thereafter, giving a representative rate of 0% APR (variable). This is the rate at which someone who is borrowing money is charged, calculated over a period of 12 months. If you use your overdraft in moderation and regularly pay off what you borrow, it could actually help your credit score, by showing your ability to handle debt. 0000035599 00000 n Already have an HSBC account but need a replacement card? You can also get free independent advice from: This support is availableto customers who hold oneof the following accounts: Anyone who's eligible will have until10 May2023 to ask for support. Unplanned overdraft fees vary from bank to bank. Our unarranged interest charges are capped at 20 a month. Youll be required to repay anything you owe if you want to cancel. We may decline payments that you try to make using an unarranged overdraft. Visit our Help page to find out how. 0000003398 00000 n The FCA estimates that you are 24% less likely to receive unarranged overdraft charges if you use a mobile banking app and text alert service. Receive an instant decision if you've already got an account. If you're not sure how much you'll need: please call us on03456 00 61 61 between 8am to 10pm or arrange a visit at your local branch so we can discuss it with you. This will have no impact on your credit rating. <>/Border[0 0 0]/H/N/OC 128 0 R/Rect[89.2913 686.072 223.027 674.522]/Subtype/Link/Type/Annot>> 0000003713 00000 n 138 0 obj Our lines are open 08:00 to 20:00 every day except Christmas Day, Boxing Day and New Year's Day. 0000005833 00000 n Note: if you're already overdrawn, you can't reduce your limit to less than you've borrowed. Well also text you if you dont have enough money to make a payment. endobj Here are some examples of how much it would cost if you borrowed 500 of your agreed overdraft: Interest payable on an overdraft by account name. If you need a little money to tide you over or cover unexpected expenses, an arranged overdraft can be a useful way of borrowing for the short term. You can opt out of the arranged or unarranged texts at any time by phone, or by calling into branch. All rights reserved. The account also offers additional perks, such as discounts and cashback as part of the HSBC home&Away rewards programme., This is HSBCs premium account for over 18s, with no monthly account fee and lots of benefits and extra services. 0000012223 00000 n We'll now send you texts when you have entered or are due to enter any interest free amount, your arranged overdraft or your unarranged overdraft. 147 0 obj However when payments are returned your credit rating may be affected. Not all overdrafts are interest-free or come with an interest-free amount. <>/Border[0 0 0]/H/N/OC 128 0 R/Rect[89.2913 602.741 174.422 590.871]/Subtype/Link/Type/Annot>> This is a convenient and low-cost alternative to bank cards, especially if youre planning to travel. We dont charge overdraft interest if covering funds are paid in before 23:45 on the day you go overdrawn. endstream However, in most cases we will try to make your essential payments even if you dont have enough money in your account. It's easy to answer your query online. 141 0 obj An overdraft lets you borrow money through your current account. APR stands for annual percentage rate. All rights reserved. don't have an arranged overdraft in place. Account Name Sortcode Account Number Sheet Number. %PDF-1.7 % At HSBC, we don't charge any fees for using an arranged or an unarranged overdraft. 0000035152 00000 n endobj 155 0 obj endstream Your Wise debit card lets you spend in the local currency in 175 countries, for low fees and fair exchange rates. This could include reducing, suspending or removing your overdraft facility. Representative example: Based on an assumed arranged overdraft of1,200for an HSBC Graduate Bank Account, the rates are: Year 1:0%EAR (variable) on the first 3,000,39.9%EAR (variable) thereafter, giving a representative rate of 0% APR (variable). If youre interested in a bank-issued debit card, one of the options youre likely to come across is HSBC. Youll have the HSBC fee to pay, and youre likely to end up with an unfavourable exchange rate. endobj As with many UK-issued debit cards, the HSBC card has a few limits you need to be aware of. Why have you contacted me about this and why now? This will have no impact on your credit rating. 0000010958 00000 n The HSBC Advance Account offers easy everyday banking for people aged over 18, with no monthly fee. [/ICCBased 170 0 R] endobj If you decide not to change the way you use your overdraft, we may take certain steps as a responsible lender. If your mailing preference is set to paper correspondence, it could take up to 3 weeks to receive your decision letter. 0000026694 00000 n hb```f` l,8Bo-p``\sDBKk*X@4ceVUPWRPUd endobj See how much it could cost you to use a personal overdraft facility on your account. Does HSBC allow you to have an overdraft on your student account. Our website doesn't support your browser so please upgrade. If you use it you'll pay a fee or interest while the balance is negative (unless it's a specifically interest free overdraft). 5 daily fee to a monthly maximum charge of 80. Credit Reference Agencies (CRAs) collect and hold secure information about your credit history, including: If you manage your account and overdraft well, this can help build your credit score. <> We'll also provide support. Our website doesn't support your browser so please upgrade. 159 0 obj *a((.((LJ,N0LAiDRH{q'X4/C C l406'T3;}myL;no,uAG/;+&V6J00(3Aa]. A2 7X2sa"v@qBsBK ICA&) Choose the relevant account that you'd like to manage your overdraft for. HSBC provides an overdraft eligibility checker so you can see if youd be eligible for an arranged overdraft. Why does it matter if I'm in overdraft repeat use? It can help in months where there are extra expenses and unplanned events. <>/Border[0 0 0]/H/N/OC 128 0 R/Rect[89.2913 546.305 179.261 534.755]/Subtype/Link/Type/Annot>> If you'd like an arranged overdraft on your account, you'll need to request one from your bank. Year 2:0%EAR (variable) on the first 2,000,39.9%EAR (variable) thereafter,giving a representative rate of 0% APR (variable). If you decide not to change the way you use your overdraft,we may take certain steps as a responsible lender. With both types of overdraft, you'll usually have to pay interest on what you borrow. Whats more, all transactions are carried out using the fair mid-market exchange rate. Its intended as a safety netfor short-term emergency borrowing ifyou dont otherwise have enough fundsavailable to cover a payment. Representative example: Based on an assumed arranged overdraft of1,200for an HSBC Bank Account, the rate is0% EAR (variable)on the first 25,39.9% EAR (variable)on anything above that, giving a representative rate of38.9% APR (variable). 0000035915 00000 n Arranged and unarranged overdrafts: An arranged overdraft is when you agree with your account provider in advance that you may borrow money when there is no money left in your account. You can opt out of arranged or unarranged overdraft alerts at any time by sending a secure message in online banking, starting a live chat, calling us or visiting a branch. However, you shouldagree withthe other account holderthat you will apply for both of you beforesubmitting the form. Repeat use refers to a pattern of overdraft use where the frequency and depth of use may result in high cumulative charges that are harmful to thecustomeror indicate that thecustomeris experiencing or at risk of financial difficulties. Based on an assumed arranged overdraft of 1,200 for an HSBC Bank Account. Once weve processed your request, well be in touch as soon as possible. This is double the rate of most credit cards. Credit is also a term that refers to your borrowing, loans and debt. This website is designed for use in the United Kingdom. endobj HSBC Bank USA, N.A. 0000005233 00000 n It's important to weigh up the pros and cons of having an overdraft. This additional increase is twenty times the original 25 buffer on these accounts, but should only be used if it is necessary. Typically, youll agree an overdraft limit with your bank or lender this is known as an arranged overdraft. Youll go into an overdraft if you make a withdrawal, or purchase, that takes you below your available balance. endobj 0 H 1. Credit is the amount of money you have available in your bank account. These transactions can be difficult to keep track of, because they may vary in both amount and frequency. Make sure you check when contacting them. You can also see this limit inyour recent statements. Visit our Help page to find out how. <>/Border[0 0 0]/H/N/OC 128 0 R/Rect[89.2913 527.553 180.955 516.003]/Subtype/Link/Type/Annot>> If you want to add an arranged overdraft to your account or increase your existing limit, you can apply for this online through ourManage Overdraft Service. Over the course of a holiday or business trip, this can soon add up. Representative Example: Based on an assumed arranged overdraft of 1,200 for an HSBC Bank Account, the rate is 0% EAR (variable) on the first 25, 19.9% EAR (variable) on anything after that, giving a representative rate of 18.29% APR (variable). We are offering temporary support measures on overdraft borrowing across eligible accounts. By reducing overdraft use, you could save money. You will be able to find out what your overdraft rate is by looking at your most recent current account statement. Find out more about how an overdraft works to help decide if an overdraft is the right option for you. <>/Border[0 0 0]/H/N/OC 128 0 R/Rect[89.2913 629.816 152.241 618.266]/Subtype/Link/Type/Annot>> Just request support by 10 May 2023. As an example, if you have an HSBC Bank Account (which has a 25 interest-free buffer) and borrow 1,200 for 30 days, it would cost you 32.88 in interest.2. *Channel Islands and Isle of Man customers are not eligible to apply online. You can use Internet banking to view balances, statements and payment details - plus increase (subject to status), decrease or cancel your overdraft limit. If you don't have an arranged overdraft If your account is empty, we'll reject payments unless they're payments as described above. 0000006283 00000 n endobj Youll need your: You can find these details on your debit card, statements or the account summary screen in onlineand mobilebanking. Using an unarranged overdraft can have a negative impact on your credit rating. 0000006133 00000 n APR(Annual Percentage Rate) is the rate at which someone who is borrowing money is charged, calculated over a period of 12 months. Our website doesn't support your browser so please upgrade. HSBC Group | HSBC Bank plc 2017-2023. If youre an HSBC customer, you can call our team of specialists on 0345 850 0622 to get a helping hand.1. It offers everyday banking services, including a debit card and mobile banking. Will you stop me from using my overdraft? Calculated at an annualised rate of 1.5% of your overdraft limit. Please use our Live Chat option if its available, or you can find our contact details at the bottom of this page. 2023. We will normally charge you unarranged overdraft interest of39.9% EAR variableon any day your account is in unarranged overdraft. Usually, you'll have to pay a monthly fee plus a daily fee for every day you're over your limit. What do you mean by overdraft repeat use? Requesting this support does not automatically add a limit unless you already have an arranged overdraft on your account. Each current account will set a monthly maximum charge for: Find out if you're likely to get an arranged overdraft, without affecting your credit score. Read the making sense of overdrafts guide (PDF, 86 KB)to find out more about how HSBC overdrafts work. <> .fA+_HTBz^QE]K+;gG}SeMqYNvjfbJt\Xod@hLRV~IUC[s{mcyuainAZF|rdlpx"zcU@q^ | This could include reducing, suspending or removing your overdraft facility. 0000011632 00000 n 131 0 obj 0000001876 00000 n Based on an assumed arranged overdraft of1,200for an HSBC Bank Account Pay Monthly, the rate is 0% EAR (variable) on the first 25,39.9%EAR (variable) thereafter, giving a representative rate of38.9%APR (variable). Using this tool won't affect your current arranged overdraft if you already have one with us. For example, it could be worth reviewing how you use your overdraft and what you pay in interest to help you change the way you use it. Your credit file will not be affected if you ask for temporary arranged overdraft support. It takes into account not just the interest, but also any other charges that may have to be paid and any interest-free amount. The monthly cap on unarranged overdraft interest for your account is 20. Weve looked at the account types which offer a debit card, plus the fees and limits for using your HSBC debit card at home and away. An arranged overdraft is where we agree an overdraft with a limit with you, before your account goes overdrawn, or over your current arranged overdraft limit. Or you might make a transfer from your account to someone elses. We wont be able to tell you over the phone. A higher amount is included with our Student, Graduate,Premier (including retained Jade benefits) and Private Banking Account customers. It takes into account not just the interest, but also any other charges that may have to be paid and any interest-free amount. 127 0 obj All rights reserved. If you need help to manage your account or are struggling with your finances, please contact us.
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