HSBC Direct Vs PC Financials

[et3rn1ty]

Hi RFDers,
Id like to open a new high interest savings account but before I do so, I'd like to hear your opinions. I'm considering to open an account in either PC Financials or HSBC Direct. Which one is better overall?or maybe do you have another suggestion?
Thanks

[ckyu15]

I had to do a lot of research before I left the country because I had to store my money wisely for the future. Mind you the information here is from roughly 2 months ago, so they might not be accurate today.

I had an ING direct saving account from a long time ago. They have an excellent web interface (the best) and friendly and efficient telephone support. They even have a branch downtown if you ever need to see them in person. But their rate was slightly lower the the other competitors.

I also held a PC Financial chequing account at the time. Transferring between that account and ING required some initial setup, simple nontheless. When they came up with the saving account I immediately went for it as it had the 2nd best rate at the time and transferring between my PC chequeing and saving as simple as clicking a few buttons. The process is also faster than ING <-> PC. I actually went to superstore to fill out the application and my account was setup instantly.

Now, call me crazy, but I also tried HSBC direct because they had this incredible rate during the promotion period back in Oct. I even opened an chequeing account with HSBC before I left. Their service is absolutely the worst. The counter staffs are clueless most of the time. Their fee are also ridiculous high. I had to call a number to setup my HSBC direct and they said I can't get the rate because I applied for a HSBC chequeing account a day before. However, the account manager specifically told me that I would be able to get that rate. You can tell that I don't think too highly of them based on my previous experience. Oh by the way, the phone staff is very clueless too. Their internet website is down a lot of the time due to never-ending maintenance. The times I was able to get through, their system locked me up during log in.

Here is the summary: Just get PC financial saving account if you already have a free chequeing account from them. Consider ING if your main account isn't PC. Forget about HSBC, they are horrible.

Just for the record, I also had a TD account, best customer service EVER.

[brunes]

Here is the summary: Just get PC financial saving account if you already have a free chequeing account from them. Consider ING if your main account isn't PC. Forget about HSBC, they are horrible.

Just for the record, I also had a TD account, best customer service EVER.

PCF - you can't open another chequing account with HSBC so you can transfer money from your savings to your chequing and use it with interac, and do it for no fees. You can with PCF.

[et3rn1ty]

Thanks for the heads up guys
Can anyone else share your experience with these banks?

[bbboi]

My experience is the opposite. HSBC is a bit old fashioned and sometimes they require you to jump through hoops (e.g. some things can only be done in branch and not online/over the phone), but I've only ever had one serious customer service issue with them and they went above and beyond to rectify it.

HSBC has a few advantages that really set them apart, IF they fit your banking patterns:

Free access to HSBC Group bank machines anywhere in the world. This can save as much as $5 per transaction.
Significantly better foreign exchange rates on debit transactions. In-branch and through debit, I have found HSBC's foreign exchange rates are much better.
Better rates on their savings accounts.
Free access to BMO and The Exchange Network (includes National Bank and a lot of credit unions) ATMs for deposits and withdrawals.
Ability to speak to your account manager face-to-face (which PC cannot offer).
Bank drafts and money orders are $5, which can cost significantly more with other banks (up to $10, I believe).
HSBC's chequing accounts offer better value for money than other fee-based account packages. They include more transactions for a lower cost, and they do offer fee waivers with minimum balances.


My experiences with PC were very negative. I had overdraft protection and I noticed they 'timed' my electronic deposits and withdrawals on different days so I ended up paying interest charges when my balance should have been positive! They would not admit there was any inconsistency and argued I was to blame. On other occassions, I was talked down to by their 'pavilion' reps simply because I was young and they made certain assumptions about me. I closed my accounts and haven't looked back. On the whole, my dealings with PC and CIBC led me to feel they were pretty arrogant and didn't value me as a customer.

[Noob1ee]

Correct me if I'm wrong, but doesn't HSBC send you a debit card for your direct savings account which allows you to use it to make purchases?

[brunes]

Correct me if I'm wrong, but doesn't HSBC send you a debit card for your direct savings account which allows you to use it to make purchases?

Doesn't say anything about that on the website... it looks to me like you would have to have a fee-based chequing account for interac access.

[ItemFinder]

Doesn't say anything about that on the website... it looks to me like you would have to have a fee-based chequing account for interac access.
http://www.hsbc.ca/1/2/en/personal/chequing-savings/savings-accounts
4 Including Telephone banking withdrawals, Personal Internet Banking withdrawals, Interac ®3 Direct Payments, ABM withdrawals/transfers out and pre-authorized/electronic debits. Fee does not apply to transfers from a High Rate Savings Account to another HSBC account in the same name.
If that isn't enough, I personally have the HSBC Direct Savings account, I've received my debit card, PIN number, and have made Interac purchases as well as withdrawals from BMO machines; all for no fee. The only thing I am unsure about are ABM withdrawals outside of Canada. It was mentioned by another poster that they are free at HSBC locations outside Canada, but the website contradicts that.

[brunes]

HSBC has a few advantages that really set them apart, IF they fit your banking patterns:

Free access to HSBC Group bank machines anywhere in the world. This can save as much as $5 per transaction.
Significantly better foreign exchange rates on debit transactions. In-branch and through debit, I have found HSBC's foreign exchange rates are much better.
Better rates on their savings accounts.
Free access to BMO and The Exchange Network (includes National Bank and a lot of credit unions) ATMs for deposits and withdrawals.
Ability to speak to your account manager face-to-face (which PC cannot offer).
Bank drafts and money orders are $5, which can cost significantly more with other banks (up to $10, I believe).
HSBC's chequing accounts offer better value for money than other fee-based account packages. They include more transactions for a lower cost, and they do offer fee waivers with minimum balances.


Assuming you aren't a global traveler to places with HSBC machines, the only real advantage in the above is the ability to see the branch manager. The access to BMO machines and the Exchange network is just a "ti-for-tat" benefit - if you have more BMO machines around you than CIBC machines HSBC is better, if you have more CIBC machines around you and shop at Loblaws PCF is better.


My experiences with PC were very negative. I had overdraft protection and I noticed they 'timed' my electronic deposits and withdrawals on different days so I ended up paying interest charges when my balance should have been positive! They would not admit there was any inconsistency and argued I was to blame. It sounds to me like you have a misunderstanding with when your deposits were actually scheduled WRT your withdrawals. The idea that PCF was "timing" things to screw you over is simply ludicrous. I think you need to post more details on exactly what was happening.

[brunes]

http://www.hsbc.ca/1/2/en/personal/chequing-savings/savings-accounts

If that isn't enough, I personally have the HSBC Direct Savings account, I've received my debit card, PIN number, and have made Interac purchases as well as withdrawals from BMO machines; all for no fee. The only thing I am unsure about are ABM withdrawals outside of Canada. It was mentioned by another poster that they are free at HSBC locations outside Canada, but the website contradicts that.

Ok I am corrected. If the account offers Interac and debit card withdrawals it really should have that listed on the MAIN PAGE - they might get more customers.

[Octavius]

Correct me if I'm wrong, but doesn't HSBC send you a debit card for your direct savings account which allows you to use it to make purchases?

HSBC sent me a debit card for my Direct Savings Account. Admittedly I haven't done a debit transaction in almost a year for any of my accounts (except BMO to pay off my CT MC...yay free Air Miles), but my HSBC debit card does have an interac logo on the back.

There's also no hold period unlike PCF Interest First or Interest Plus Accounts, so the funds are available right away. I would see no reason why you couldn't debit funds from your HSBC Direct Savings account for a purchase.

[bfr]

I have also been using the hsbc direct account and really like it. It's especially great if you can do without cheques. Otherwise it is a 'chequing' account and a savings account rolled into one. For bill payments and adm purchases, you don't have to screw around with making transfers into the chequing account. Very nice.

I havent used PC banking of yet. But it seems to me a combination of their chequing and the hsbc direct savings could work well if you need cheques.

[bs9999]

I've had both HSBC Direct Savings Account and PCF Interest Plus, Interest First, and No-Fees Account (which are just fancy names for their savings and chequing accounts).

HSBC DOES give you a convenient Debit card....there is no fee i've seen attached to using it to make purchases ever...but forget about using it at a bank machine (consider it like using it like any other debit card at a different bank...pcf is the same way).

HSBC has a higher interest rate ... sitting at 4.25%....PCF recently dropped there from 4.25% to 4.1%....granted that isnt much of a drop but still, we are redflaggers and want every bit of change ... so minus one for PCF on that.

One serious gripe i have currently with PCF is there bank-to-bank transfer ability. Once you set up an external bank with your PCF account you will notice that any transfers you make tend to be "conveniently" lost in PCF's favor...causing you to have to reset up the transfer request yet again for a future dated 1-business day advance planning.....That is horrible....I have done this about 5x now and each time i have been required to re-set it up again. For example, last week wednesday i did a request to transfer $1000 from PCF to my TD account....i've decided to hold off and see what PCF will do...as soon as i made the request the transfer details "disappeared" from its list (which it vaguely tries to explain why its gone)....2 biz days have passed and the funds have not been removed from my PCF account...I am waiting until late Monday to concede that the process failed AGAIN...and set up another request....I figure the system needs "two" transfer requests before it takes you seriously. I can understand why PCF (cough*CIBC*cough) would want to keep your money instead of transfering it to another bank but it gets very inconvenient at times.

HSBC has a bank-to-bank transfer feature and it works flawlessly.

HSBC doesnt give you any cheques (for their Direct Savings account)...If you sign up for a chequing account get reading for rediculuous fees....i read them and its not worth it.

HSBC has next to nothing in ABM machines anywhere (i live in London).

PCF gives free cheques any time you want (linked to your No-Fees chequing account)...nice touch ... oh btw, when u open a PCF account you ALWAYS want to open 2 accounts really (everyone here on RFD who has a PCF account actually has at least 2)...You want to always, always open a "No Fees Account", AND either a "Interest First Account" (this is the 4.1% interest -- $1000 min balance req), or a "Interest Plus Account" (this is the 3.05% interest - no min balance req). I have all 3 accounts.

PCF has a 1 day transfer request hold between PCF accounts (from chqing to savings there is no wait time).


One BIG plus of HSBCs savings account is that there is no minimum Balance limit when earning savings interest....PCF must maintain a min of $1000.01 to get the 4.1%....their Interest First account gives 3.05% with no min balance but who wants 3%....Now HSBC on the other hand earns you 4.25% itnerest no matter the balance....so now, you have a debit card that can be used for free for any purchases which is linked directly to a savings account earning one of the highest interest rates in canada @ 4.25%....

This is the reason i keep both cards.....I would recommend you get both...but if i had to choose one then i will have to bite my tongue and bitterly choose PCF over HSBC simply because despite have a slightly lower interest rate vs HSBC and the CLEARLY INTENTIONAL transfer bug between banks it is quite possibly the most convenient card to use due to the fact that they are really CIBC in disguise (the 2nd most visible bank in terms of ABM machines in Canada).

Hope that helps

[ItemFinder]

HSBC has next to nothing in ABM machines anywhere (i live in London).
You can use BMO bank machines without service fees.
PCF gives free cheques any time you want (linked to your No-Fees chequing account)...nice touch ... oh btw, when u open a PCF account you ALWAYS want to open 2 accounts really (everyone here on RFD who has a PCF account actually has at least 2)...You want to always, always open a "No Fees Account", AND either a "Interest First Account" (this is the 4.1% interest -- $1000 min balance req), or a "Interest Plus Account" (this is the 3.05% interest - no min balance req). I have all 3 accounts.
You mixed up the savings account types.
Interest First: no minimum balance required, 3.05%
Interest Plus: 4.10% with a minimum $1000.01

I have all 3 as well. They are all very useful in their own right. With HSBC, the interest rate only applies to balances below $1 million. PCF has holds, but they are good to restrict yourself from spending money. PCF has a better banking interface, but HSBC gives you more access to your money. PCF has cheques, but HSBC flawless bank-to-bank transfers. It all really depends on your needs, but since both are free, you might as well get both.

[tkyoshi]

You can use BMO bank machines without service fees.


That's correct, you can also use "The Exchange" machines without service fees which continue to expand the number of machines you can use. You will find The Exchange at pretty much every Credit Union in Canada.

Combined HSBC then has the 2nd Largest Surcharge Free ABM network in Canada.

[et3rn1ty]

This is the reason i keep both cards.....I would recommend you get both...but if i had to choose one then i will have to bite my tongue and bitterly choose PCF over HSBC simply because despite have a slightly lower interest rate vs HSBC and the CLEARLY INTENTIONAL transfer bug between banks it is quite possibly the most convenient card to use due to the fact that they are really CIBC in disguise (the 2nd most visible bank in terms of ABM machines in Canada).

Hope that helps

Right now I already have an account with CIBC so I guess, there is really not much of additional benefits in terms of the ABM machines availability and thanks for bringing up the issue about the inter bank transfers because I would like an easy transfer process. Im thinking of putting most of my money on hi interest account and transfer some money to my cibc chequing account when I need money

[ckyu15]

Another thing I thought I'd share with you..

After looking at all the banks I have found Xe.com to be the best for wire transfer to another country. It's an absolute pain to setup, but once it's setup, I was able to remotely wire money to myself online when I am in another country.

If foreign bank you're with have better rates than XE, then you can consider using PCF to transfer, but that rarely happens.

For XE I believe is, processing fee $15.00 CAD to wire, XE's rate (for example, right now CAD:JAP is 1:111.42), plus receiving bank fee which is 2500 yen in my case.

For PCF is, processing fee $20 to wire, receiving bank's rate (1:112.40) and fee (2500 yen).

[Salinger]

I've had the HSBC Direct Savings account for some time now, and I find both the account, as well as HSBC customer service to be excellent.

Among HSBC, BMO and Exchange ATM's, there's always one close by. Being able to withdraw cash and make debit purchases FREE from an account that is paying 4.25% interest, is astounding. Their inter-bank transfers are super fast and a breeze to do. All in all, I don't see any other high interest account option coming close to this right now.

[et3rn1ty]

I was trying to register for an HSBC account but i noticed that on the form it says only Canadian resident can apply. I'm an internatinal student, does that mean i'm not able to open the account? And if you are international students, how do you get your SIN number anyway?

[Shadow Rider]

So if I"m reading correctly you can debit directly out of your HSBC direct savings? Would you be able to pay your credit card bills or other bills directly from the HSBC savings as well then?

If you can, then the only difference (aside from CIBC v. BMO ABMs) between HSBC and PC is that PC gives free checks?

Also, a little off topic, but was just looking at the HSBC app. I had forgotten whether or not I gave my bank my SSN when I opened my account, why is it that banks need your SSN but credit card companies in Canada SSN is optional?

[jcipher]

I was trying to register for an HSBC account but i noticed that on the form it says only Canadian resident can apply. I'm an internatinal student, does that mean i'm not able to open the account? And if you are international students, how do you get your SIN number anyway?
They will need your SIN to report your income to CRA. I believe the SIN is only for citizens, immigrants, or temporary workers though.

http://www.servicecanada.gc.ca/en/sin/apply/who.shtml
If you are a Canadian citizen, a newcomer to Canada or a temporary resident, you need a Social Insurance Number (SIN) to work in Canada or to receive benefits and services from government programs.
If you don't plan to work, you should ask them directly to see if you can be issued SIN to open a interest earning bank account.
why is it that banks need your SSN but credit card companies in Canada SSN is optional?
The banks need your SIN to report your income if you are applying for a income generating product. You are not required (http://www.servicecanada.gc.ca/en/sin/protect/provide.shtml) to provide your SIN to any organizations if they legally do not need it.

[Noob1ee]

I was trying to register for an HSBC account but i noticed that on the form it says only Canadian resident can apply. I'm an internatinal student, does that mean i'm not able to open the account? And if you are international students, how do you get your SIN number anyway?

I belive you can call Canada Revenue Agency and inquire about it, I think they will give you forms to obtain a (temporary?) SIN number.

So if I"m reading correctly you can debit directly out of your HSBC direct savings? Would you be able to pay your credit card bills or other bills directly from the HSBC savings as well then?

If you can, then the only difference (aside from CIBC v. BMO ABMs) between HSBC and PC is that PC gives free checks?

Yes, you can use your HSBC account to pay bills =)

[Salinger]

So if I"m reading correctly you can debit directly out of your HSBC direct savings? Would you be able to pay your credit card bills or other bills directly from the HSBC savings as well then?

If you can, then the only difference (aside from CIBC v. BMO ABMs) between HSBC and PC is that PC gives free checks?


You can do pretty much everything with the HSBC account that you can with an ordinary chequing account, aside from write actual paper cheques. Transfers, Interac debit payments, ATM withdrawls/deposits, pre-auth debits, payroll/automatic deposits, bill payments etc, as long as it's done via phone, ATM or online.

[anabeces]

You can do pretty much everything with the HSBC account that you can with an ordinary chequing account, aside from write actual paper cheques. Transfers, Interac debit payments, ATM withdrawls/deposits, pre-auth debits, payroll/automatic deposits, bill payments etc, as long as it's done via phone, ATM or online.


does their 4.25% saving account work basically like a chequeing account in the sense I give my empoyer a void check and they can deposit my salaries into that account?

[Octavius]

does their 4.25% saving account work basically like a chequeing account in the sense I give my empoyer a void check and they can deposit my salaries into that account?

Where would you get a void check from considering this is a savings account and not a checking account :confused:

Assuming you modified the account numbers...then I suppose that it would possible to do this....OR you could inadvertently have your paycheck deposited into someone else's account.

[tkyoshi]

Where would you get a void check from considering this is a savings account and not a checking account :confused:

Assuming you modified the account numbers...then I suppose that it would possible to do this....OR you could inadvertently have your paycheck deposited into someone else's account.

For savings most employers can deposit if you provide the account numbers and a photocopy of your last statement or savings passbook.

[conforf]

i deposited 2 cheques and $200 cash for a total of something like $654.75 into my PCF account.
But I accidentally put $2.05 as opposed to $205 into the machine from one of th echeques. I called PCF, they told me that what they counted was right, and that their reports showed it was all cash deposited (not sure why). So I asked how can I deposit $0.75 and she said that must be a mistake on their side...I told her that it wasnt the first
in the end it took me like 4 months to get back my $200

in the past I have done the same with TD and they catch it and I never even have to call them. These guys actually tried to screw me out of my money with just the most BS excuses...

[karst]

does their 4.25% saving account work basically like a chequeing account in the sense I give my empoyer a void check and they can deposit my salaries into that account?

For the HSBC Direct account, you can ask for void cheque printouts and HSBC will send you a package of 12 personalized 'cheques', with void pre-printed across them, that you can use to initiate direct deposits and link to other banks that require a personal cheque.

Like others have said in this thread, HSBC Direct offers it all except cheque writing, with higher interest and far greater access than PCF. I keep a PCF account only to write the very occasional cheque.

[jchanq]

For the HSBC Direct account, you can ask for void cheque printouts and HSBC will send you a package of 12 personalized 'cheques',

I just called them and they said Direct Savings account cannot have void check printed. Is this for Direct Savings account or it's actually for a HSBC checking account.

[karst]

I just called them and they said Direct Savings account cannot have void check printed. Is this for Direct Savings account or it's actually for a HSBC checking account.

HSBC Direct Savings, correct. It is not truly a cheque, but a simulated cheque. It looks like a cheque with your name and account information on it but with void pre-printed across it, obviously designed to facilitate direct deposits and link external account when employers and external banks require such a void cheque.

My wife got a package of these, then when I asked for them the first person I dealt with gave me the same response you got. Just try again and insist that it can and has been done, and if necessary ask to speak to the HSBC Direct financial agent (or whatever they are called) that is assigned to you. I believe these are the people that normally have these 'void cheques' issued.

[jchanq]

Cool. But I had to speak to HSBC Direct financial agent to get my void check printed.

Karst, thank you very much :razz: