Important information for customers
Since the FSA announced its investigation into the sale of interest rate protection products to small business customers, we have been reviewing individual customer cases to ensure our products and procedures are fair. To find out more and see if affects you, take a look at this helpful information and FAQ guide.
On 29 June 2012, the Financial Services Authority (FSA) announced it had reached an agreement with a number of banks, including HSBC, in respect of its investigation of the sale of interest rate protection products to small business customers.
Between September and October, each bank conducted a pilot with a limited number of customers to test their proposed methodology for the review. The pilots were overseen by independent reviewers to ensure they were completely fair and objective.
On 31 January 2013, the FSA released the results of the pilots and announced that the review will commence shortly. After a brief period to ensure our procedures are consistent with the final approach, we commenced reviewing individual cases.
Since April 2013 the Financial Conduct Authority (FCA) has taken over the oversight of the review from the FSA.
To help you to understand the review and whether it might affect you, we have included a detailed set of questions and answers below.
Progress of the Review thus far
The Review has now progressed considerably. HSBC has now completed the majority of their sales reviews and have provided redress where appropriate. The FCA publish the progress of the Banks within the Review on their website.
The whole process has been scrutinised at each stage by an independent reviewer (the "Skilled Person") and overseen by the FCA. We have appointed Deloitte LLP to act in this capacity for HSBC1.
In agreement with the FSA, Interest Rate Cap products are not automatically included in the review; but if you have purchased a Cap product and wish to raise any issues, you can write to us at HSBC Bank plc, Interest Rate Hedging Review Team, Level 4, 8 Canada Square, London, E14 5HQ. Alternatively, you can email IRPCustomerresponse@hsbc.com.
The FCA set a final date of 31 March 2015 and complaints received before that date will be considered within the Review. All complaints received after 31 March 2015, the Skilled Person will not be part of the process and the complaint will be considered under our usual complaints handling procedures (please see the Complaints section of the FAQs below).
If you have purchased an Interest Rate Hedging Product between 1December 2001 and 29June 2012. and wish to raise any issues, you can still write to us at HSBC Bank plc, Interest Rate Hedging Review Team, Level 14, 8 Canada Square, London, E14 5HQ. Alternatively, you can email IRPCustomerresponse@hsbc.com. The Review Team will then assess your query and revert back to you as soon as possible.
Finally, if you have further general queries, please call our dedicated helpline. Please note however that the Helpline cannot discuss specific cases.
1 In cases where there may be a potential conflict of interest with Deloitte LLP, an alternative independent reviewer will serve as the Skilled Person
2 Lines are open 8am to 10pm Monday to Friday (excluding bank holidays). To help us continually improve our service and in the interests of security we may monitor and record your call.