National Debtline (if youre self-employed). How does our overdraft compare? don't have an arranged overdraft in place. 0 gov.uk/guidance/hmrc-tools-and-calculatorsgov.uk/guidance/hmrc-tools-and-calculators, gov.uk/benefits-calculatorsgov.uk/benefits-calculators, gov.uk/tax-credits-calculatorgov.uk/tax-credits-calculator, View our service status to see how we're doing, Careers, media, investor and corporate information, still considered in repeat use, in whichcase, well keep communicating with you, review your monthly commitments - this can help you to reduce or remove unnecessary expenditure, reduce the number of days each month you use your overdraft - this can make a difference, even if only a few days, create a budget that looks at your earning and spending to help you identify where your money is going and where you may want to make changes, reducing your overdraft by transferring funds in from any other accounts you may have, have a look at other borrowing options that could meet your long-term borrowing needs - this may help to reduce your monthly interest charges, if you need further support reducing your overdraft usage, contact our specialist team on 03450 307263for help with avoiding repeat overdraft use, checking youre receiving all the benefits that youre entitled to. You can also see this limit inyour recent statements. <> Consider it equivalent to a payday loan, but with a way better interest rate. Lloyds Banking Group, which includes the Halifax bank, was one of the latest big brands to announce most customers . Continually using your overdraft may mean you face significant interest charges, which can make it harder to repay the debt. Receive an instant decision if you've already got an account. All rights reserved. endobj Based on an arranged overdraft of1,200. A list of banks in Austria, including more information on some of the biggest and most popular retail banks in the country. If you arrange a formal overdraft and keep within your limit it can help you prepare for life's unexpected costs. How much will the debt advisory agencies charge me? Our website doesn't support your browser so please upgrade. The HSBC Advance Account offers easy everyday banking for people aged over 18, with no monthly fee. We wrote to you to bringthe costs of your overdraft use to your attention and ask you to take steps to reduce usage. At the end of this, your overdraft charges will revert to our standard pricing. If you wish to apply for a new or a higher arranged overdraft limit, please visit ourOverdraftspage on how to apply. No fee up to 25, monthly maximum of up to 20 after that. 15 October to 14 November 2020. Here are the main limits you need to know about: Lastly, lets run through some key considerations about using your HSBC card abroad. Debit interest will still be charged on all overdrawn balances. In short, yes, your overdraft could affect your credit score. 2 Representative example 0% EAR (variable) on the first 25 We wont charge unarranged overdraft interest if covering funds are paid in before the end of the day (defined as 23:45). 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. Find the answers and while you're at it, tell us how we could do better. Overdrafts are not generally suitable for long-term borrowing. Most banks and building societies have chosen to set a rate very close to 40%. endobj <>/Border[0 0 0]/H/N/OC 128 0 R/Rect[89.2913 629.816 152.241 618.266]/Subtype/Link/Type/Annot>> Once you've been approved for an arranged overdraft limit, you'll need to come back to this page and complete the online form to request the support. Once your account is open, your new HSBC debit card will be posted to your UK address. EAR stands for effective annual rate. Calculated at an annualised rate of 1.5% of your overdraft limit. However when payments are returned your credit rating may be affected. Our lines are open 08:00 to 20:00 every day except Christmas Day, Boxing Day and New Year's Day. It takes into account not just the interest, but also any other charges that may have to be paid and any interest-free amount. After reading this guide, you should have all the info you need to decide if the HSBC UK debit card is right for you. Most of ouraccounts (except our Basic Bank Account) come with an interest-free buffer. 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. This could include reducing, suspending or removing your overdraft facility. Each current account will set a monthly maximum charge for: Interest payable on an overdraft by account name. However, if you go into an unarranged overdraft this can negatively affect your credit score and your ability to get credit in the future. If youre an HSBC customer, you can call our team of specialists on 0345 850 0622 to get a helping hand.1. The HSBC debit card works just like any other bank-issued debit card in the UK. APR(Annual Percentage Rate) is the rate at which someone who is borrowing money is charged, calculated over a period of 12 months. You can use HSBC cash machines, which will warn you if you try to make a withdrawal that might result in you being charged. 159 0 obj Based on an assumed arranged overdraft of 1,200 for an HSBC Bank Account. Anarranged overdraftis where we agree an overdraft limit with you in advance. 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. Usually, you'll have to pay a monthly fee plus a daily fee for every day you're over your limit. Typically, youll agree an overdraft limit with your bank or lender this is known as an arranged overdraft. Use our Overdraft calculatorto see how much using an overdraft would cost you. If you do, its important to know that you may be charged interest for using it. Many of the big banks are raising that figure to. 0000008376 00000 n 0000026317 00000 n For example, your card may have been lost, stolen, damaged or swallowed by an ATM. We will normally charge you unarranged overdraft interest of39.9% EAR variableon any day your account is in unarranged overdraft. Some examples are: There are a number of waysyou can reducespending or increase your income. 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. Your bank statement shows all the transactions that have taken place over a set period of time. We're here to help you. There may be other service providerswho chargefor this service. [134 0 R] Are thereother products which offer better interest rates? Free. If you withdraw cash or spend in a foreign currency, youll pay a fee of at least 2.75%. The company can change the amount or date, but they must notify you of the change first. However, you wont be able to apply for overdrafts, credit cards or loans with this account., The HSBC Bank Account Pay Monthly is designed for people wanting a buffer for unarranged emergency borrowing. There are lots of different comparison websites that can help you find the bestdeal, reviewing all your borrowing. If you haven't or if you've gone past your arranged limit it's known as an 'unarranged overdraft'. Well do this as long as we have a correct mobile number for you and you havent chosen to opt out of the service. Unplanned overdraft fees vary from bank to bank. It doesnt include any other fees or charges. 141 0 obj endobj endobj If you decide not to change the way you use your overdraft, there are certain steps we may take as a responsible lender. An unarranged overdraft is when your account goes overdrawn and you dont have an arranged overdraft, or you go over your arranged overdraft limit. An overdraft is a short-term credit facility for borrowing money on your current account. 0000027602 00000 n Based on an assumed arranged overdraft of1,200for an HSBC Premier Bank Account, the rates are 0% EAR (variable) on the first500,39.9%EAR (variable) thereafter, giving a representative rate of21.8%APR (variable). A list of banks in Switzerland, including more information on some of the biggest and most popular retail banks in the country. A list of banks in Portugal, including more information on some of the biggest and most popular retail banks in the country. However, if you make several applications within a short period of time, this can have a temporary impact on your rating. <>/ExtGState<>/Font<>/ProcSet[/PDF/Text]/Properties<>/XObject<>>>/Rotate 0/Tabs/W/Thumb 103 0 R/TrimBox[0.0 0.0 595.276 841.89]/Type/Page>> 142 0 obj Our website doesn't support your browser so please upgrade. This website is designed for use in the United Kingdom. Representative example:0% EAR (variable)on the first 500,39.9% EAR2(variable)on anything above that, giving a representative annual percentage rate (APR) of21.8% APR3(variable). [( H S B - e N R F B 1 3 6 8 - M C P 5 2 1 3 1 . 0000003845 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. A Daily Overdraft Facility Fee applies. endobj Youll be required to repay anything you owe if you want to cancel. This support is only available if you have an existing arranged overdraft. 0000036158 00000 n Youre likely to need proof of ID, such as a driving licence or passport, along with proof of address. APR(Annual Percentage Rate) is the rate at which someone who is borrowing money is charged, calculated over a period of 12 months. Based on an assumed arranged overdraft of1,000for an HSBC Student Bank Account, the rate is0%EAR (variable), giving a representative rate of0%APR (variable). If we see that an overdraft is being used very regularly, well get in touchtomakeyou aware you may be incurring high and avoidable costs, and to ask you to try to avoid this in future. We'll talk to you about your situation and help you find a solution. This is double the rate of most credit cards. Cross-Border Disclosure, Interpret your bank statement and feel comfortable making every day financial decisions, Make it easier to compare savings, loans and credit offers from a range of providers, Research backgrounds of brokers and firms for free by visiting FINRA's BrokerCheck website, Information for real estate professionals, Careers, media, investor and corporate information. 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. Requesting this temporary arranged overdraft support will not affect your credit file. You can ask to increase, decrease or remove your arranged overdraft in our mobile app.