Consumer complaint received 2019-08-08
Product: Checking or savings account — Savings account
Issue: Opening an account — Unable to open an account
Company: HSBC NORTH AMERICA HOLDINGS INC. (NY)

HSBC Bait and Switch Operations This spring I received in the mail a solicitation from HSBC Bank to open an account online called an Advance Checking account. I called the information number on the solicitation to ask some questions I had. At that time I was also encouraged to open a Direct Savings account online that paid 2.3 % interest using the bulk of the money I initially put into Advance Checking. 

I went online in XX/XX/XXXX using the code number for a bonus that came with the mail solicitation. After providing all the requested information on the designated HSBC website, it rejected the application. An auto-generated email to me said my identity couldn't be verified. I had provided my valid New York State Driver 's License information and my own phone number, address, SSN, etc.

I called their phone numbers for help, and after much time on the phone I was advised to try again. They could not tell me what exactly the problem was. I was also advised over the phone that after opening the account, I could open the online Direct Savings account paying 2.3 % interest and transfer most of the money to that account.

After another failed attempt to open the account online, with the same result, I called back and was advised to go to a branch to open the account. This I did. I went to the branch at XXXX XXXX XXXX ( XXXX XXXX, NY XXXX ) and presented the coupon that came in the mail, which the bank officer took. At the branch, I was advised by the bank officer that they had a 5-month 2.3 % CD I could shift most of the money into once I funded the Advance Checking account. This was at the end of XX/XX/XXXX. 

A few days later I sent {$10000.00} to my new HSBC account ( # XXXX ) by ACH transfer from another bank. I then went back online to open the 2.3 % online savings account. After completing the application, it was refused. Once again, the emailed reason was could not verify identity- even though I now had an account at HSBC . 

I called their " help '' number, was given another number to call, and after taking my information and supposedly doing something to fix the issue, this person said to try again in 24 hours. I did that, and once again was refused- " unable to verify identity. '' I emailed the branch officer who opened the Advance Checking account and asked if she could do a transfer into the CD we'd discussed. She did not reply. Instead another officer responded, I presume the branch manager, and said it had to be new funds, which of course was NOT what the first officer had said. Then I asked if they could open the 2.3 % savings account, and was told No, that's online only. 

As the bank had my verified identity in its possession after I had opened the Advance Checking account, it was invalid to refuse to allow me to open the Direct Savings account on grounds of non-verification of identity. I am entitled to interest from the date I attempted to open the account in XX/XX/XXXX. 

As of now, this is the response from HSBC : I raised two issues in my complaint against HSBC Bank. One issue was completely ignored by HSBC bank in its response, and remains unaddressed, and the other issue was responded to with false information and misdirection. 

There was no explanation or even a reference to why HSBC blocked me from opening the online Direct Savings account with the automated claim " could not verify identity '' even AFTER I ALREADY HAD AN ACCOUNT with the bank! Their " customer service '' dept. just said try again in 24 hours, after supposedly making a fix. Same thing happened. This account was offered as a teaser over the phone to induce me to open the checking account. To avoid fees I have to lock up {$10000.00} for 6 months. 

As to the matter of the CD offered at the branch, I did NOT request it on XX/XX/XXXX, but on XX/XX/XXXX, as my dated email proves. And this business of missing an imaginary deadline of XX/XX/XXXX by a day for the money I had on deposit to be considered " new '' is spurious. No officer at the branch said anything about a deadline. And the only mention of " new '' money came later from the branch manager, who emailed that " new '' money was required for a CD. Again,  nothing about missing an imaginary " deadline. '' I did some online research on HSBC and was shocked to discover a history of major criminality, as described in the following government announcements and news accounts : " HSBC Holdings Plc. and HSBC Bank USA N.A. Admit to Anti-Money Laundering and Sanctions Violations, Forfeit {$1.00} XXXX in Deferred Prosecution Agreement '' https : //www.justice.govXX/XX/XXXX" HSBC Bank Executives Face Charges in {$3.00} XXXX Currency Case '' - XX/XX/XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX " Investigation into Bank Uncovers Criminal Activity Dating Back to the XX/XX/XXXXs- Bank Violated U.S. Sanctions by Moving Hundreds of Millions of Dollars through the U.S. for XXXX, XXXX , XXXX , XXXX , and Other Sanctioned Clients- District Attorney XXXX Announces {$370.00} XXXX Settlement with HSBC Bank-XX/XX/XXXX . 
XXXX : XXXX HSBC Money-Laundering Case Yields {$110.00} XXXX Bounty for XXXX XXXX XXXX 
Updated XX/XX/XXXXhttp : XXXX Major criminal activity " dating back to the XX/XX/XXXXs!  '' It would seem that this institution hasn't learned its lesson and needs to be kept under strict supervision.