HOME  FORUM  MEDIA  EVENTS  ARTICLES  TV  BLOGS
•Home
Bankruptcy:
•Bankruptcy Information Center
•What is Bankruptcy?
•Is Bankruptcy right for me?

•How to declare Bankruptcy?
•What happens to my assets?
•Bankruptcy and credit rating

Forum:
•forum
•register
•search
•faq
•experts

Blogs:
•Bankruptcy News
•More...

Media Room:
•Press releases
•Media Coverage

Other:
•About BankruptcyHelp
•Links
•Contact us
•Debt Glossary
•Insolvency jobs


FORUM
  > Browse and post on our forum
Home   |   Profile   |   Register   |   Active Topics   |   Members   |   Search   |   FAQ

Welcome to our Forum, please register if you want to post

 All Forums
 Bankruptcy News
 bankruptcy news
 HSBC pays up over unfair 8 percent account

Note: You must be registered in order to post a reply.
To register, click here. Registration is FREE!

Screensize:
UserName:
Password:
Format Mode:
Format: BoldItalicizedUnderlineStrikethrough Align LeftCenteredAlign Right Horizontal Rule Insert HyperlinkInsert EmailInsert Image Insert CodeInsert QuoteInsert List
   
Message:

* HTML is OFF
* Forum Code is ON
Smilies
Smile [:)] Big Smile [:D] Cool [8D] Blush [:I]
Tongue [:P] Evil [):] Wink [;)] Clown [:o)]
Black Eye [B)] Eight Ball [8] Frown [:(] Shy [8)]
Shocked [:0] Angry [:(!] Dead [xx(] Sleepy [|)]
Kisses [:X] Approve [^] Disapprove [V] Question [?]

 
   

T O P I C    R E V I E W
admin Posted - 23 October 2007 : 10:03:26
HSBC pays up over 'unfair' 8% account

HSBC could face a rush of claims after it paid more than £100 in compensation to a customer who complained that the marketing material on its 8% Regular Saver account was misleading.

Ian Kemp, 67, opened the account last summer in the belief that he could pay a maximum of £250 into it per month and receive 8% (6.4% after tax) on the maximum deposit of £3,000 at the end of the first year.

However he learned in August that he had received a sum after tax equal to 4.31% of £3,000, as the interest was compounded over the year.

After complaining to the bank several times, he received additional payment of £110.58 to bring his total return to £240 or the full 8% of his £3,000 deposit.

In promotional literature for the account, HSBC says that the Regular Saver offers an annual interest fixed rate of 8% AER and that savers can pay in sums from £25 to a maximum of £250 each month.

The account interest is compounded, which means if you invested £3,000 over 12-months, you would only receive interest on the sum as it accumulated over the course of the year. However the word 'compound' does not appear in the marketing material.

Ian, a retired sales manager with an international mining company, who divides his time between Hailsham in East Sussex and Israel, said he felt that the advertising for the account was misleading and said other savers should appeal.

He said: 'When they were selling me the account, they said it pays 8% and didn't mention anything about compound interest. They said it would pay 8% at the end of the 12-month period.'

HSBC said bank accounts only only ever pay interest on the sum held in the account at any given time and no bank account would pay interest on £3,000 unless the entire sum was deposited in an account for a year.

However in two separate calls to HSBC's savings account helpline, This is Money was told the account was not compounded and paid 8% interest on the balance held on the first anniversary of its opening.

Source: thisismoney.co.uk
1   L A T E S T    R E P L I E S    (Newest First)
bankinol Posted - 16 February 2010 : 00:05:28
**Spam - post deleted**

bankruptcyhelp.org.uk Forum © bankruptcyhelp Go To Top Of Page
Powered By: Snitz Forums 2000 Version 3.4.06