At A Glance
HSBC is one of the world’s largest banking institution servicing more than 40 million customers under four global business umbrellas: retail banking and wealth management, commercial banking, global banking and markets, and global private banking. HSBC network covers 65 countries and territories around the globe including Europe, Asia, the Middle East and Africa, North America and Latin America.
HSBC is especially valuable for customers with very high account balances and those who travel enough to take advantage of its broad international presence. The bank provides the traditional banking and investment services including a high-yield online savings account, several checking and personal lending options.
Mission Statement: “Together We Thrive”
HSBC aims to connect its customers to opportunities, enabling businesses to thrive and economies to prosper, ultimately helping people to fulfil their hopes and realize their ambitions.
Types of Accounts
Being a full-service bank, HSBC has lots of personal and business financial products. This means it offers a variety of products for almost every customer need:
HSBC offers several checking accounts options, an account to suit almost everyone needs. All of the checking accounts at HSBC do not require any minimum deposit amount to open the account.
This account offers professional support with a relationship manager to help you manage your day-to-day finances. With this account you receive unlimited rebates on non-HSBC ATM fees, global view and transfers, as well as access to preferential mortgage rates. The account does come with a hefty monthly maintenance fee of $50, which can be waived under the following criteria:
- Maintain a $75,000 minimum balance
- Have recurring direct deposits totalling at least $5,000 per month
- Possessing an HSBC U.S. residential mortgage loan of at least $500,000
Clients receive everyday banking with preferred rates and the opportunity to get up to four rebates per month on non-HSBC ATM transactions. Access to Global view and transfers, as well as to preferred mortgage rates. This account is subject to a $25 monthly fee that can be waived by meeting the following requirements:
- Maintain a $5,000 minimum balance with recurring direct deposit
- Maintain a $10,000 account balance
- Holding any HSBC U.S. residential mortgage loan
The Choice checking account provides value and personalized support for day-to-day banking needs. With this account, you will receive a personalized debit Mastercard card with no annual or monthly service fees. To waive the $15 monthly maintenance fee, you will need to meet one of the following criteria:
- Recurring direct deposit
- Maintain a $1,500 minimum balance
Basic Banking is the simplest and most convenient account. Allows you to write checks at your convenience and gives access to a debit Mastercard card with no annual or service fees. This account does not require any minimum balance but does come with a small $3 monthly maintenance fee that cannot be waived.
HSBC has grown attention for its high-yielding Online Direct Savings account with a 2.20% APY. This account has been determined to be mostly geared at young adults between the age of 18 and 30. For savings account with more to offer HSBC has three types to choose from:
HSBC Premier Savings: this account generates a higher savings rate based on your account balance. In order to open this savings account, you are required to have an HSBC Premier Checking account and make a minimum opening deposit of $1. You are also expected to maintain combined balances of $75,000 between your personal deposit accounts and investment balances.
- Competitive tiered interest rates pay higher for higher balances
|$100,000 – $250,000+||0.15%|
|$25,000 – $99,999||0.10%|
HSBC Advance Savings: this particular savings account helps clients reach their financial savings goals sooner. It earns a competitive interest rate and allows you to do the least amount of work to achieve your goals. Automatic transfers can be set up from any bank or between your accounts. To open this type of savings account however, you are required to have an HSBC Advance Checking account and make a minimum deposit of $1. There are no monthly maintenance fees for this account.
- Interest rates for this account are as per below:
|$15,000 – $75,000+||0.05%|
|$0 – $14,999+||0.01%|
HSBC Everyday Savings: the most traditional savings account as you know it that earns you 0.01% APY on all balances over $1. The account allows you to setup automatic transfers from any bank or between accounts and set the desired duration. It does, however, required a minimum balance of $500 to avoid the monthly fee of $5 but is also available to all consumers of HSBC.
HSBC has made it easy for students to get the everyday bank accounts they need and begin building their financial portfolio. The bank offers three types of banking products for students:
- Student Choice Checking
- No monthly maintenance fees for 6 years
- New clients receive a $100 Welcome deposit bonus
- There is no minimum deposit to open the account
- HSBC Direct Savings
- No maintenance fees
- $1 minimum deposit for account opening from New Money
- 20% APY
- HSBC Cash Rewards Mastercard
- Requires a deposit account (checking or savings)
- You earn 1.5% cash back on all purchases
- Great for building credit as it requires no credit history for approval
- Free FICO credit score tracker
- No annual fee or foreign transaction fees
- 10 year anniversary cash reward bonus
Certificates of Deposits are not HSBC’s strong suit. Their rates are not competitive and are in fact lower than the competition. Another sour point is that if you CD balance dips below $1,000 it will stop earning any interest, in other words, the minimum required for a profitable CD is $1,000. Like any other bank, early withdrawals are subjected to penalties.
To help their clients navigate through the various investment opportunities on the market, HSBC leverages the products and services of HSBC Securities’ portfolio of solutions designed to meet consumer investment goals and risk profiles. HSBC offers financial professionals to help evaluate investment choices that include, but are not limited to:
- Mutual funds
- Fixed income investment products
- Structured products
- Equities and ETFs
There are three options that pertain to investing with HSBC that allows you to choose the best option suited for your needs:
- Self-Directed: HSBC offers a range of products, including stocks, ETFs, options, no load mutual funds, and fixed-income securities. There is no fee to open.
- HSBC Spectrum: You can choose between five asset allocation models. HSBC Financial professionals can help you choose the best one for your goals and risk tolerance. The minimum investment required is $25,000.
- Managed Portfolio: You will be assigned an investment advisor who will help you customize a portfolio and come up with the best asset allocation. The minimum investment required is $250,000.
At HSBC planning for your future and retirement is made easy. The bank offers the following types of retirement accounts that are tax-exempt:
- Traditional IRA
- Roth IRA
- SIMPLE IRA
- SEP Retirement Plans
- 401(k) Retirement Plan
- 403(b) Retirement Plans
For IRAs, HSBC offers you the choice between a self-directed or a managed account. The IRA has no maintenance or termination fee if you are an HSBC Premier (checking or savings) client. For all others, the annual service fee is $35.
HSBC Bank is home to several credit cards, each with their own set of perks and features, here is a look at the top cards:
HSBC Gold Mastercard Credit Card – gives you what HSBC calls “a little extra spending power”
- Ranked top 5 of the best Balance Transfer cards according to GOBankingRates
- Transfer balances of any amount
- No annual fee
- No foreign transaction fees
- MasterRental Coverage
- Mastercard Airport Concierge
- Late fee waiver
- No penalty APR
HSBC Platinum Mastercard with Rewards Credit Card
- Introductory 3X reward points on all purchases for the first year up to $10,000
- Earn 1X points for all purchases after intro period
- No annual fee
- No Foreign transaction fees
HSBC Advance Mastercard Credit Card
- Earn 3X points during an introductory period of 12months on dining and select entertainment purchases up to $25,000
- Earn 2X points on all other purchases during introductory period and 1X thereafter
- No annual fee for Premier and Advance Clients
- No foreign transaction fees
HSBC Premier World Elite Mastercard Credit Card
- 50,000 Bonus Reward Points
- Earn Reward Points: 3X on travel, 2X on dining, 1X on all other purchases
- Access to 1,000+ airport lounges & two complimentary visits a year
- Up to $100 annual Air Travel credit
- No Foreign transaction fees
- Receive an $85 credit towards TSA Pre√®
- Receive up to $100 on Uber and Lyft credits per year
- Travel coverage, trip Cancellation Insurance, $1 million travel accident Insurance
- $395 Annual Fee
- New Customer Bonus HSBC often has promotional cash bonuses to entice new customers to open accounts. Opening an account through HSBC Bank or HSBC Direct is relatively easy and requires only the proper identification and the account requirements to be met.
- International Banking is available to all HSBC customers as it possesses a global presence and ATMs around the world. Operating in 67 countries across Europe, Asia, North America, the Middle East and Egypt, so finding a bank while travelling shouldn’t be too much of a concern. This makes it easier to withdraw from ATMs and get emergency financial support if you need it.
- HSBC Direct is the online sub-division of HSBC Bank. Offering a checking account and the highest-yielding savings account in the industry with a 2.20% APY. More to this, these accounts have no monthly service fee and require only $1 to open.
About HSBC Bank
With its Hong Kong beginnings in 1865, the HSBC name derives from the initials of the Hong Kong and Shanghai Banking Corporation. HSBC has become a massive international bank and is ranked 7th on the world’s largest bank list. It has around 3,900 offices in 67 countries and territories and services just over 38 million customers worldwide. Across the United States HSBC bank has more than 200 branches in major cities including New York, Los Angeles, Chicago, Atlanta, Houston, Seattle, Miami, San Francisco, and Washington, DC.
HSBC divides its businesses among four pillars: Commercial Banking, Global Banking and Markets (investment banking), Retail Banking and Wealth Management, and Global Private Banking. Further to this, the bank also has a full-service online banking platform called HSBC Direct offering some of the best high-yield online savings account on the market.
The Bottom Line
Although HSBC bank isn’t the most accessible bank in the U.S. with limited branch locations, it does deliver a high interest rate for its online savings account and strong premium features for international travellers.
The downside to HSBC would be that the bank lags behind in the quality of its mobile app services. The features and usefulness of its banking app are very limited and may pose a roadblock for the new generations.