HSBC Bank Review: Is It Good?

HSBC Bank offers a full array of services for different needs. But there are downsides. Read on for the pros and cons.

	HSBC Premier Checking - $500 Welcome Deposit Get $500 Welcome Deposit
	Overall Score	4.5
	Checking	5.0
	Customer Service	4.0

5-point scale (the higher, the better)

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Pros and Cons

• Global presence

• Not in every state

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Bottom Line

Large full-service global bank

HSBC is one of the largest banks in the world, with physical branches all over the globe.

Let's go over what you can get with HSBC.

Products Offered

HSBC is a full-service bank offering a range of services and products, including:

• Checking Accounts
  
• CDs
  
• Investment Services
  
• Retirement Accounts

HSBC Checking Accounts

HSBC checking account offers a HSBC Debit Mastercard, free access to HSBC ATMs worldwide, free online and mobile banking, and optional overdraft protection.

• HSBC Premier. This is best for high net worth individuals who need global access. You get a Relationship Manager who can help with all services HSBC offers. There is no foreign transaction fee for purchases made with the debit card.

  There is a $50 monthly service fee that can be waived if you maintain a combined balance of $75,000 in deposit and investment accounts.

But this isn't the only checking account to consider. Here are the best bank promotions.

Compare Checking Account Promotions

HSBC Certificate of Deposit

With a Certificate of Deposit, you must leave your money in the account for the entire term, or you'll incur a penalty. You get a locked-in interest rate for the whole term. The minimum required to open an account is $1,000, and there are no service fees.

HSBC offers 3 term CDs: 6-month, 12-month, and 24-month. The APY is decent, but not the highest on the market.

Investment Services

HSBC also offers investment services. Their financial professionals can help you develop an investment strategy best for you. Some options include:

• 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: Choose between 5 asset allocation models. Financial professionals can help you choose the best one for your goals and risk tolerance. The minimum investment required is $25,000.^[1]

• Managed Portfolio: An investment advisor will help you customize a portfolio and come up with the best asset allocation for you. The minimum investment required is $250,000.

Retirement Accounts

HSBC offers the following types of retirement accounts:^[2]

• Traditional IRA
  
• Roth IRA
  
• SIMPLE IRA
  
• SEP Retirement Plans
  
• 401(k) Retirement Plan
  
• 403(b) Retirement Plans

For IRAs, you can choose between a self-directed or a managed account. The IRA has no maintenance or termination fee if you are an HSBC Premier client. For all others, the annual service fee is $50.^[3]

Reasons to Bank With HSBC

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• New customer bonuses. HSBC often offers high cash bonuses to new customers for opening a new checking account (and meeting certain requirements). It's worth it to wait until a bonus offer comes out. Check out the list of current HSBC promotions.

• Global access. HSBC is a global bank operating in 64 countries across Europe, Asia, North America, the Middle East and Egypt. So if you travel often, it's nice to know you can still find your bank overseas. This makes it easier to withdraw from ATMs and get emergency financial support if you need it.

• No ATM withdrawal fees worldwide. You can use the debit card to access ATMs globally, most with no withdrawal fees. However, the ATM operator or network may charge a fee for ATMs located outside the U.S.^[4]

• Potential for better loan rates. If you have a Premier checking account, you may be eligible for preferred loan rates or special financing options. If you're planning to take out a mortgage or need a personal line of credit, this can come in handy.

• Overdraft protection. Checking account comes with an optional overdraft protection feature. You can get a personal line of credit that allows you to borrow money as you need it (up to your available credit limit). If you accidentally overdraft your checking account, this line of credit can be used to cover it.

Reasons to Look Elsewhere

• Fees. HSBC's Premier checking account comes with some pretty steep fees. There is a monthly service fee, unless you can meet direct deposit and/or balance requirements.

  If you want to avoid fees, there are online checking accounts that are completely free to maintain.

• Interest rates are not competitive. If you have a lot of money to park in a bank, other online banks offer better deposit rates, so your money can grow faster.

How It Compares

Ally Bank: Ally Bank is a completely online bank. The good thing about this is that since online banks have low overhead, there are no service fees at all and interest rates are high. The downside is that there are no physical branches to do banking business. There is also no worldwide presence.

Ally Bank provides some of the highest rates on the market for their deposit accounts. It offers a full breadth of services, including checking, savings, CDs, IRA, and investment accounts. If you're looking for high interest rates and don't mind web-banking, then it's best to go with an online bank. Ally's investment services also offer either self-directed investing or a managed service.

Charles Schwab: Charles Schwab is a big name among investment brokerages. It also offers online checking and savings with no service fees or account minimums. However, the interest rates are low. The good thing about their checking account, though, is that it refunds all ATM fees worldwide. Plus, the debit card has no foreign transaction fee, so it's great for travelers.

Charles Schwab's main business is investment. It offers both self-directed and a managed portfolio. The unique thing about the managed portfolio is that there is absolutely no management fee, and you only need $5,000 to open.^[5]

You might also consider:

Citi Priority Account - Up to $1,500 Cash Bonus

Apply Now

Expires 7/17/2022

• Earn up to $1,500 cash bonus when you open a new account with required activities
• Open a new eligible checking account in the Citi Priority Account during the offer period 1/5/22-7/17/22
• Within 20 days of opening, deposit $50,000 in New-To Citibank funds between the new checking and savings accounts
• Maintain a minimum balance of $50,000 in the checking account for an additional 60 consecutive calendar days from the 21st day
• After all required activities are met, the cash bonus will be deposited to your account within 90 calendar days

Member FDIC

Chase Total Checking® - $200 Bonus

Get $200 Coupon

Expires 7/20/2022

• New Chase checking customers enjoy a $200 bonus when you open a Chase Total Checking® account and set up direct deposit
• Access to 16,000 Chase ATMs and more than 4,700 branches
• Chase Mobile® app - Manage your accounts, deposit checks, transfer money and more -- all from your device.
• Open your account online now
• Available online nationwide except in Alaska, Hawaii and Puerto Rico. For branch locations, visit locator.chase.com.
• Chase Overdraft Assist℠: $0 overdraft fee when you overdraw your account $50 or less*

*We won't charge an overdraft fee if you are overdrawn $50 or less at the end of the business day. Chase may pay, for a $34 fee, overdraft transactions at our discretion based on your account history, deposits and transaction amount. If you've enrolled in Debit Card Coverage, everyday debit card purchases like groceries, may be approved at our discretion when you don't have enough money in your account.

Member FDIC

Chase Business Complete Banking℠ - $300 Bonus

Get $300 Coupon

Expires 7/21/2022

• Earn $300 when you open a new Chase Business Complete Checking account. For new Chase business checking customers with qualifying activities.
• Multiple ways to waive the Monthly Service Fee, including maintaining a minimum daily balance or purchases on your Chase Ink® Business credit card.
• Built-in card acceptance. Accept card payments anytime, anywhere in the U.S., and get transparent pricing with Chase QuickAccept℠
• Same-day deposits with QuickAccept℠. Free up the cash you need to keep your business moving forward with same-day deposits at no additional cost.
• Alerts to help you stay on top of your account activity.
• Easy account management through Chase Business Online and the Chase Mobile® app.
• Unlimited electronic deposits, ACH and Chase QuickDeposit℠.
• Convenient access to 16,000 ATMs and more than 4,700 branches.

Bottom Line

HSBC is a huge bank with a solid reputation. It could be for you if you're looking for a bank with a huge global presence. High net worth individuals also have more of an incentive with premium service and better loan rates. However, just make sure that you can meet the checking activity/balance requirements, or you'll pay a monthly service fee.

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