Capital One and HSBC Credit Cards

Capital One might do a better job than HSBC Finance, Household Bank, and HSBC NV with regard to credit cards. Almost everyone has seen a commercial asking “What’s In Your Wallet”. Capital One is considered a financial holding company, and HSBC USA is made up of so many holding companies that the US government can’t even keep them straight.

This is a news alert.

Capital One plans to purchase sub-prime credit card assets from HSBC. Our website HSBC Watch has monitored HSBC since 2003, and before that we monitored predatory lender Household International. When HSBC bought Household HSBC got us as part of the deal. If Capital One buys HSBC’s credit card business then Capital One gets us as part of the deal.

Initially Capital One and HSBC said there would be no changes if the deal goes through. We all know how that will work out. HSBC said the same when HSBC bought Metris. Eventually everyone was without a job. But this is a case where we sincerely hope there are no changes in some areas and many changes in other areas.

See, HSBC had a hard time crediting payments in a timely manner. Their online payment website would mysteriously shut down, or specific customers could not log on. Payments were held until they were late. Eventually credit card reform stopped many of HSBC’s evil tactics, and HSBC NV got a little better. It was not because they wanted to. They were forced to.

Do Not Abuse Your Customers

Capital One uses its unique consumer profiling database to assess risk. They insist credit scores don’t tell the whole story. HSBC is similar. Welcome to customer profiling. Both will redirect you to their secured credit cards if you don’t qualify for unsecured accounts. It is not an excuse, open invitation, nor financial imperative to abuse credit card customers.

Unfortunately many subprime credit card lenders used to think it was a free fair market opportunity to abuse subprime customers. We will monitor the situation, accept Capital One complaints, and we will publish your Capital One complaints if the deal with HSBC goes through. After all, we have done so for twelve years. We will continue to dog this trail. Cowboy up Capital One. If you buy HSBC there is a new sheriff in town, and we are darn good at it.