Consumer complaint received 2025-02-23 00:00:00
Product: Credit card — General-purpose credit card or charge card
Issue: Other features, terms, or problems — Other problem
Company: HSBC NORTH AMERICA HOLDINGS INC.
State: FL

Complaint narrative:
To whom it may concern, I am a HSBC USA customer and have been since XXXX when I set up the bank account in conjunction with my HSBC XXXX account ( latter being held for for 24 years ). I'm not just a regular customer with HSBC, but a XXXX  Customer ' on both sides of the XXXX which is an advanced type of customer account due to very high levels of investment, savings and salary paid into the account ; there is strict criteria to apply for this type of account. 

This complaint is regarding my HSBC USA account of course given you only deal with US financial institutes and the fact I have no issues with my HSBC XXXX bank account/credit card. 

For context, I hold a checking account with HSBC USA and a XXXXXXXX XXXX XXXX ; I've had both, as mentioned, since XXXX ( 16 years ). 

Today I have come to find out that my HSBC XXXXXXXX XXXX XXXX has a {$95.00} USD posted annual fee. This is news to me, and I have never in the whole 16 years that I've had the card, paid an annual fee. Turns out HSBC have 'forced ' an annual fee onto its XXXXXXXX XXXX XXXX  customers due to 'increase in card benefits for member ' and apparently communicated this by letter in XXXX ( so the agent told me when I called today ). It is XXXX, who sends paper letters out these days? Why no email, no account message, or notification? 

Regardless, the point here is that HSBC USA has now 'forced ' an annual fee onto this XXXX XXXX XXXX for existing customers and expect them to pay it, otherwise their alternative is to outright close the XXXX XXXX XXXX  down altogether. I explained that I did not sign up to these new terms and conditions and should not be expected to have to pay a fee for a card I have never signed up for. They are backing customers into a corner by making them pay this annual fee or having their credit card closed. This is illegal behaviour, surely? Any credit lends/bank institutions, by law, are required to offer the customer an alternate product should they wish not to commit to 'forced ' changes on their current product whereby they will be at a disbenefit. HSBC USA are not offering any alternatives and will not switch me to another credit card that has no annual fee and without running another credit check. Diobolical behaviour. 

I've had this account open for a very long time, and a benefit of this is that it impacts positively on my credit score given it's a very old account and I've kept it in good standing without any late payments for all this time. So, if I close it, I get penalised, but if I continue the card, I get penalised also by having to now pay {$95.00} annual fee. This is absolute absurdity, and I do not agree to these new terms and conditions. The benefits they say have been 'enhanced ' on that card will not benefit me in the slightest so why am I being forced to pay an annual fee when I already had the card many, many years prior them changing this condition an imposing an annual fee on it. I should not have to pay the fee. 

They are well and truely backing me ( and other XXXX XXXXanking account customers ) into a corner that can not get out of. I basicall have to pay the annual fee I never chose the card for when signing up, or have the card closed. No like-for-like switch to another product that has no annual fee. Why should this impact and be absorbed by the consumer? It should not and their behaviour surrouding this has been a complete and utter disregard for their existing and loyal members. 

Yes, I can understand if someone signs up for the card now, XX/XX/XXXX, when the annual fee has been imposed, but the fee should not be forced on those grandfathering this is without being about to switch to another product whereby there is no annual fee and we continue as normal not paying for the card. If I close this card I lose the positive impacts this has on my credit score but if I don't close it I am forced to pay the XXXX annual fee. This is upsetting and diablocial behaviour by HSBC XXXX and this needs investigating and they need reprimanding in my opinion. 

Their conduct around this is illegal in my opinion and they are not providing the consumer an alternative whereby they will not suffer one way or another. 

HSBC USA need to waive the annual fee for those who have inhertied this. Anyone with the card prior to them changing and including the annual fee ( XX/XX/XXXX ) shoud not have to pay. That is a solution. Alternatively, they need to offer a like-for-like product to me ( and others ) with no annual fee and without the need to run a new credit check.. 

I trust you will investigate and help solve this issue with me one way or another. 

Thank you for your time. 

Kind Regards, XXXX XXXX

Company response to consumer: Closed with explanation