False charges

ComplaintsBanksHSBC Bank

Complaint

0
X-HSBC customer
Country: United States
I never used my hsbc credit card and cannceled it. Three months after caneling I get a bill for annual fees. I called and told them the account was closed , they said they would reverse the charges and I would have a zero balance on my account. Still 3 months later I recieve notices that my account has an unpaid balance for the annual fee charges. I tried to make a purchase at Best Buy using their special financing offer but I was denied because of the illegal charges from HSBC. I called HSBC again , again they said the charges would be removed/reversed and I would have a zero balance I told them I would check in 2 days if the charges were still on my account i would take legal action.

Dear Best Buy..
Do not partner with HSBC they are costing you 1000's of dollars in lost business because of HSBC's bad business practices.

Comments

  • 0
    tj
    | 1 reply
    Follow up with a written dispute of the erroneous annual fee charges, sent to the dispute address from your last HSBC statement.  In your letter, memorialize the date you closed your account, the dates you were notified of the improper charges, and each date you contacted them and they promised to remove them.

    Then file a complaint with the Office of the Comptroller of the Currency, at www.occ.gov

    If you fail to put this in writing, with an additional complaint to regulators, it is likely to come back to bite you and damage your credit.


    HSBC is the bank used by Best Buy for financing.  There are a number of complaints of problems connected with "no interest" or special financing through HSBC for purchases from Best Buy.  

    If you have really had enough of HSBC, then push the issue on reversing the annual fees as they agreed, make sure you get a final statement and a letter confirming the account is closed for your records, and move on.
    • 0
      Pat T replies to tj
      HSBC did the same thing to me (tell me they were resolving an erroneous bill on an account that otherwise had $0 balance and that I'd requested be closed) - I never applied for HSBC credit again, and the account is not on my credit report - but they did NOT reverse the charges, they merely charged it off and never contacted me, and 4 years later when interest and penalties had accrued to hundreds of dollars, THEN I started getting calls and letters from CAs.    Nice, eh?
  • 0
    xhsbc
    Thanks I will as you have suggested I have kept all my past statements from hsbc and have phone records from cell phone calls that can date the calls to hsbc.

    I would have never imagined a credit card company would be so dishonest just to get $30.00 dollars. The one silver lining is that I now know from this website as well as a dozen others like it that HSBC should be avoided completely.

    I'm also going to contact Best Buy offices and inform them I will never be able to business with them because they use HSBC for financing and will take my money to their competitors that dont use HSBC.
  • 0
    tj
    Store cards are mainly of use for initially establishing credit, but not much more.  They tend to treat their customers as "captive", subject to high rates and low credit limits, and they assume they won't leave for better terms so they don't offer them.  Their attitude is more like the store and bank got a live one, so they split the profit.

    The "no interest for x months, same as cash" deals common with store cards turn into full interest due to "mix-ups" more often than is likely from error, so there appears to be an element of "bait-and-switch" in some such offers.  You can find Best Buy complaints indicating this type of problem.


    You are generally better off NOT using store credit cards for purchases from that store, even if they are VISA or MasterCard branded, because you want your credit card company on your side in any billing dispute.  

    And if you want to depend on a low rate, don't count on the purchase rate as that can be raised at any time.  The bank transfer rates, fixed for x months (or life of loan if you can get it) are more likely to be honored as truly fixed.


    In the current environment, it is probably wise to establish multiple banking relationships, after adequate research, and some of those should probably be with credit unions or local banks, since the large national banks are focused on profit to the detriment of their customers, and they appear to think their current customers have no choices.  It is easy for them to look at their profits, decide they want them higher, and just jack up some number and send out notices.

    Manage your finances, manage your risk, and choose your partners carefully, based on their reputations and track record, not just their teaser deal of the month.  Prune off your weak partners and fair weather friends, and periodically try an alternative, treating them as if they are on probation.

    You won't be over a barrel with anyone then, subject to the next financial hic-up or merger.

    This is what any completent business would do in choosing its vendors, and as consumers, we would be wise to follow.

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