Consumer complaint received 2026-01-15 00:00:00
Product: Mortgage — Conventional home mortgage
Issue: Trouble during payment process — Payment process
Company: HSBC NORTH AMERICA HOLDINGS INC.

Complaint narrative:
I am filing this complaint regarding HSBC Bank XXXX loan servicing and automatic payment handling, which resulted in avoidable payment delinquency and credit harm despite sufficient funds being available in my account. 

I have an active loan with HSBC Bank USA and had authorized automatic monthly payments ( autopay ) from my HSBC checking account. In [ XX/XX/year> ], XXXX automatic payment failed because the linked account temporarily did not have sufficient funds, however I do have another account with HSBC, which has more than enough amount of money for the monthly payments. At that time, I was residing overseas and was not physically present in the United States, HSBC knew I was an overseas client from their record. 

Shortly after discovering the failed payment, I promptly deposited sufficient funds into the account, reasonably expecting the automatic payment system to resume deductions. However, HSBC did not resume automatic payments, even though adequate funds remained available in the account for several consecutive months. 

I later learnedonly after proactively contacting the bankthat XXXX  system permanently stops automatic payments after a single failed attempt and does not automatically resume them, even when funds become available. Crucially : HSBC did not provide clear, written notice that automatic payments had been permanently suspended. 
HSBC did not notify me via email, secure online banking message, or formal correspondence, despite knowing that I am an overseas customer. They have tried to post me a normal letter to my overseas address, which takes at least more than half month to reach me. 
HSBC relied solely on calls to a XXXX phone number that I could not reasonably access while abroad. I have left an overseas number, which they did not even bother to try since it is an international call and they expect me to spend money on international phone call and they do not provide email contact for overseas clients. 
HSBC allowed multiple months of missed payments to accrue despite having full control over the payment mechanism and despite funds being available. 

At no point was I unwilling or unable to pay. The missed payments were not intentional and resulted entirely from XXXX  internal payment handling practices and inadequate communication. 

As a result of XXXX  failure to provide reasonable notice and its refusal to resume authorized payments, my account became delinquent and my credit standing may have been unfairly harmed. 

I believe this constitutes unfair and unreasonable loan servicing, particularly given : The lack of adequate notice regarding the suspension of autopay ( which usually as bank 's common practice, once you have provide sufficient money in the account, they would just go and deduct ) ; Failure to use reasonable communication methods for a known overseas customer ; and Continued non-collection despite available funds and no customer intent to default. 
I have requested to make an complaint with the bank, HSBC refused to do so, I have tried to email somebody, HSBC refuses to provide anyone 's email address. And further, I have requested the online customercare person to provide me with an email address to complaint this issue in XXXX, the person delibrately gave me an wrong email address. 

Resolution Requested : I respectfully request that HSBC Bank USA : XXXX. Conduct a formal review of its handling of my automatic payments ; XXXX. Reverse or correct any delinquency, late fees, or negative credit reporting resulting from this issue ; XXXX. Provide a written explanation of its autopay suspension policy and notification procedures ; and XXXX. Implement appropriate corrective measures to prevent similar harm to customers in the future. 
XXXX. Reverse this bad record on my credit report I am seeking a fair resolution and correction of any credit damage caused by this servicing failure.

Company response to consumer: Closed with explanation