HSBC Loans Review | www.hsbc.co.uk
Address: 8 Canada Square, London, E14 5HQ.
Branding: HSBC Loans. AKA: HSBCLoans.
FCA Licence: 006343.
From: HSBC Holdings Plc.
Related: First Direct, M&S Bank.
Available: Monday to Sunday (8am/10pm).
Bad Credit Considered: Fair-to-good score required.
Manage: HSBC login provided via www.hsbc.co.uk.
Offers: Instalment and personal loans.
Sums: £1000 to £25,000 (new and returning).
Terms: 12 to 96 months.
£111.43 /£1000 (12) £221.12 (24)
£176.98 /£10,000 (12) £342.17 (24)
Notes: The main personal loan is headed, but there is also Flexiloan, Graduate and Premier. The displayed rates of 21.9% and 3.3% are seen across the range with the exception of Flexiloan at 17.9%. This flexible option grants between £500 and £5000 and it can be taken for as long as you desire. If you don’t use it you don’t pay interest. The Premier option differs to the main offering by including 3.3% up to £25k rather than £15k. Funds see clearance straight after approval. For non-banking customers it takes 5 working days. For the address above we have listed their famous London HQ in Canary Wharf. However, for customer care the address is: PO Box 6125, Coventry, CV3 9GW.
– Amounts: Similar to other banks studied we see a £25,000 top sum.
– Branches: It took some time to investigate their network. If you currently visit their main site the global tally is marked as 6100 offices. Around 1100 are local. On older cached pages of their sites the network was headed at 7500. It is no surprise to see shrinking numbers. In the future, they are planning to cut many locations down and build more centralised offices with a greater focus on internet banking.
– Efficiency: HSBC personal loans are paid out immediately on the same day. They operate 7/7 that benefits this and anyone can now qualify.
– Experience: Was established in the year 1865 as The Hongkong and Shanghai Bank and so they have now been in operation for 150 years. Sir Thomas Sutherland (a Scotsman) formed the company in Hong Kong when it was a British colony.
– Extra Features: Repayment holidays are available. This covers the first 3 months or every January for the life of the loan. Another useful feature is that Advance customers receive 10% interest cashback assuming that repayments are set at 60 months or less.
– Operations: The 8am to 10pm times run all the way through the week. It is good to see no difference over the weekends.
– Ownership: This is the UK’s biggest bank and one of the leaders on the global stage. For market cap, they currently rank at #9 whilst for assets they rank at #3 and are only edged out by 2 Chinese banking giants. As well as their UK division, First Direct have grown impressively over the years and then there is M&S Bank that is now a 50/50 partnership. It is refreshing to see such a competitive British brand on the worldwide stage. They even overshadow many of the American giants. Locally, it is only really the Lloyds Banking Group that is mounting a serious challenge against them.
– Pricing: The new 3.3% rate is the 2nd best price on the market. Sainsbury’s beats them by just a few pence. For a cheap deal at 1k, you should head to First Direct that they again control.
– Profile: There are 48 million customers worldwide (matching Barclays). These are stretched across 73 countries and territories. They are competing incredibly well in the Americas, Asia and Europe. Here in the UK, they have 16 million customers. The popularity of the HSBC loans sits outside of the top 5. When you combine the First Direct and M&S brands they are 4th (just behind Barclays). The 2 supermarket banks are out in front. Why they aren’t more competitive in this market is surprising, although they don’t advertise much and it won’t help that they restrict their service to those who bank with them.
Terms: Repayments spread up to 8 years. There is added flexibility for those that opt with the Flexiloan.
– 10k rate was 3.7% that is now 3.3%.
– Loans were previously available to existing banking customers only.