HomeLegalsTerms and ConditionsOur Account Terms and ConditionsA guide to our accounts

A guide to our accounts

In the following summaries, we've explained the key details of each of the accounts covered by these Terms and any details that are specific to them. These summaries form part of the overall Terms along with the ones that apply to all our accounts in the rest of this document.

Please read the summary for the account(s) relevant to you along with the rest of these Terms. You should also read:

  • any account brochure we send you
  • our Give me the facts brochure
  • the Savings Interest Rates information (if applicable)
  • any other information you get when you apply.

If you need extra copies of this information or these Terms, just let us know.

1st Account

Price: Our 1st Account costs £10 per month unless:

  • your account has been open for less than 6 months
  • at least £1,000 is paid in each month (not including transfers from other first direct accounts)
  • your 'average account balance' is more than £1,000 in any calendar month i.e. your total balance at the end of each day divided by the number of days in the month (again not including transfers from other first direct accounts)
  • you have a mortgage, credit card, Personal Loan, savings (except Regular Saver), First Directory or Home Insurance with us
  • there are no transactions on your 1st Account for more than 90 days and the balance is less than £10.

We don't charge a fee for any additional 1st Account you have in the same name(s) - if you have a 1st Account in your sole name and one in joint names, or you have joint accounts with different people, these aren't in the same name so you'll be charged another fee.

Account features:

  • UK and overseas payments
  • contactless debit card and cheque book
  • overdraft (if you ask and we can offer you one) - the first £250 is interest-free
  • manage your account via Internet Banking, our Banking on the go App, telephone banking, self-service machines and by post
  • withdraw cash, pay in cash/cheques and check your balance at HSBC Bank and Post Office┬« branches
  • you can automatically 'sweep' spare money into one of our savings accounts on whichever day you want, to help you save.

To be eligible: You need to be 18 or over when you apply.

Internet Banking means our online banking service.

Our Banking on the go App is our mobile banking application which can be downloaded to any mobile device that supports it and allows you to view your balances, last 90 transactions, make payments, transfer money between your accounts and much more.

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Overdrafts

If you're not reading this with a hot beverage, you're doing it wrong.

Overdrafts are a short-term way to borrow money on your account although we can't offer them to everyone. They can be a useful way to buy what you need, but we don't recommend you rely on them. Ours are only available on 1st Accounts, not savings accounts.

Overdraft interest i.e. what you pay for using an overdraft

You'll be charged overdraft interest if you're overdrawn by more than £250. Our current rate is 15.9% EAR (Effective Annual Rate) variable. In case you don't already know, overdrawn is where you borrow money from us to cover a transaction that's for more money than was in your account at the time.

If your 1st Account is linked to an Offset Mortgage, you'll be charged overdraft interest at your mortgage rate on your whole overdrawn balance - even the first £250.

A representative example

If your 1st Account isn't linked to an Offset Mortgage, we don't charge overdraft interest on the first £250 of formal overdrafts. So if your account has a limit of £1,200 and you use it all for 30 days, you'll be charged interest for borrowing £950 at a rate of 15.9% EAR variable which would cost you £11.59.

We can't offer overdrafts to everyone and they're only available on our 1st Account.

What we mean by 'formal' and 'informal' overdraft requests

A formal overdraft request is where you ask us for an overdraft before making any payments that would take your account overdrawn or over your current formal limit.

An informal overdraft request is when you authorise a payment that would take your account overdrawn if you don't have a formal overdraft or over your formal overdraft limit if you do.

Each time you go overdrawn (if you don't have a limit) or over your limit, we'll treat this as a new informal overdraft request. If we agree to it, you'll need to repay your informal overdraft within 31 days.

What you'll be charged for an overdraft

We may charge you interest for the amount and time your account is overdrawn. We'll calculate this each day and it will usually come out of your account once a month unless we have to make a demand for you to repay the outstanding debt or when the account is closed. The current rate is shown in the example above.

We'll give you at least 14 days' notice before any overdraft interest or charges come out of your account.

As well as overdraft interest, you'll be charged a £5 Informal Overdraft Usage Fee on any day your 1st Account's in informal overdraft. You won't be charged a daily Informal Overdraft Usage Fee if:

  • you pay in cleared money i.e. not a cheque before the end of the day (11:45pm) to cover the informal overdraft amount
  • your informal overdraft is £10 or less
  • your 1st Account has been in informal overdraft for more than 30 consecutive days.

If you're struggling to stay within your overdraft, please give us a call and we'll talk you through your options.

When it comes to daily Informal Overdraft Usage Fees, you won't be charged:

  • more than £80 in a single Charging Month
  • more than the amount your 1st Account was in informal overdraft during a Charging Month
  • if your 1st Account is in informal overdraft only because of an overdraft or interest charge.

When it comes to charging, a month isn't a calendar month. A Charging Month starts on the date your account was opened (unless you ask us to change it) eg if your account opened on the 20th, your Charging Month will run from that day until the 19th of the following month.

If you're charged because of a problem caused by the Current Account Switch Service, we'll refund any of our charges and/or interest.

If you're a Northern Ireland customer using our switching service, your old bank should refund any charges or interest you've paid to them and, we'll give you an interest and charge-free overdraft for 3 months from the date you open your account with us, if we can offer you one which we'll confirm when we open your account.

In line with our Terms, we can cancel or ask you to repay all or part of your overdraft at any time but this will normally only happen if your personal circumstances change. Please give us a call if you have any questions.

What happens if we don't agree to your overdraft request

If you make a formal overdraft request, we'll tell you if it's agreed when you apply. If an informal overdraft request is declined we may not make the payment you've authorised although we'll always try to contact you before this happens so it's important you keep your contact details up to date.

When you have to repay your overdraft

Overdrafts are a short-term way to borrow money so you shouldn't rely on them. If you find you're often in your overdraft, it may be worth giving us a call to see if we can suggest a better or cheaper option.

If you're using your overdraft:

  • you need to make regular payments into your account and tell us straightaway if you can't
  • we can end your overdraft and ask you to repay it at any time. If we do this, we'll write to you
  • we can ask you to repay part of your overdrawn balance at any time.

We'd normally only end or reduce an overdraft due to a change in your personal circumstances.

Joint account overdrafts

We can ask either joint account holder to repay an overdraft on a joint account in full as both parties are equally responsible.

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Text alerts to avoid charges

Don't worry we won't use text speak - and definitely no emojis.

If we hold a mobile telephone number for you, we may send you text messages to help you avoid charges eg on a day where we've agreed an informal overdraft (an overdraft we haven't agreed in advance) on your account or there's not enough Available Balance in your account to meet your payments.

If you'd like to opt out of these messages, please give us a call.

It may not always be possible for us to send you text messages eg if we have system problems or after 10.45pm so it's important you check your account regularly to avoid unnecessary charges.

We'll send text messages to the mobile telephone number we hold for you so it's important you keep your contact details up to date.

When you're outside the UK, some mobile operators may charge you for receiving texts. If you tell us when you go, we can temporarily suspend text alerts so you can avoid these charges.

Your Available Balance includes all cleared funds (including any cleared cheques) and any formal overdraft you have.

One day in the future, terms and conditions will be beamed directly into your mind. Today is not that day. Sorry.

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Regular Saver Account

Account features:

  • make a payment of between £25 and £300 (in multiples of £5) from your 1st Account to open the account
  • you'll then need to make 11 more payments by Standing Order from your 1st Account up to the Maximum Monthly Balance which is £300 in month 1 and increases by £300 each month i.e. £600 in month 2, £900 in month 3 and so on
  • you can change the amount of your Standing Order by calling us, but you can't change the date
  • you can't make partial withdrawals
  • if you close the account early, we'll pay you interest at the relevant Savings Account rate - all our current rates are shown on the 'Savings... our rates' information - you can call us for a copy or view them on our website
  • your account will mature and close on the first anniversary of the date it was opened and we'll transfer the final balance to another savings account with us
  • can't be used as a Linked Account for the purposes of any Offset Mortgage you have with us.

To be eligible: You'll need to have our 1st Account when you apply and keep it open for as long as you have your Regular Saver. You can only have one Regular Saver and it can only be in your sole name.

Specific terms and conditions:

  1. We calculate interest daily on the balance and pay it on the anniversary of the account opening.
  2. You need to keep your 1st Account while you have your Regular Saver. If you close your 1st Account, we'll also take this as an instruction to close your Regular Saver and pay the balance (including interest) into your 1st Account before we close it.
  3. If you're switching your 1st Account to another provider using the Current Account Switch Service and your 1st Account's in credit, we'll send your total balance (including interest at the relevant Savings Account rate) to your new account. If your 1st Account is overdrawn on the day of the switch, we'll close your Regular Saver on the Working Day after, use the money to repay the debt then send any remaining money to you.
  4. Once a month you need to make a Standing Order payment from your 1st Account into your Regular Saver on the same day you opened your Regular Saver or the next Working Day. You can only make one payment to your Regular Saver each month.
  5. You can save between £25 and £300 each month, up to a maximum of £3,600. If your regular payments are less than £300, you can carry your allowance over and increase your Standing Order in later months.
  6. If you save more than the Maximum Monthly Balance (explained above), we'll pay you interest on the extra at the relevant Savings Account rate - all our current rates are shown in 'Savings... our rates' - if this isn't enclosed you can call us for a copy or view them on our website.
  7. Your account will close automatically on the first anniversary (365 days) after you opened it and we'll then send you a closing statement by post.
  8. If you have one of our Everyday e-Saver or Savings Accounts in the same name as your Regular Saver, we'll transfer your money and interest to that account. If you have both, we'll transfer to the one with the highest interest rate at the time. If you don't have one of these accounts, we'll convert your Regular Saver into a new Savings Account in the same name. It can take up to 5 Working Days for the account to convert and you'll earn interest at your new account's rate during that time. If you need access to it while this is happening, please give us a call.
  9. You can close your account at any time by sending us a Secure Message via Internet Banking, giving us a call or by writing to us. If you close your account before its first anniversary, we'll pay you interest up to the date it closes at the relevant Savings Account rate and pay your money (including any interest) into your 1st Account unless you tell us to pay it somewhere else.

Working Day means Monday to Friday excluding bank holidays.

Something not clear? Don't worry, we're happy to explain anything you're struggling with over the phone - contact us if you need help.

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Savings Account

Account features:

  • instant access by transferring to another account with us
  • manage your account via Internet Banking, our Banking on the go App or by giving us a call
  • online statements and/or an annual paper version
  • you can automatically 'sweep' spare money from your 1st Account on whichever day you want, to help you save
  • can be used as a Linked Account for any Offset Mortgage you have with us.

To be eligible: You must have our 1st Account.

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Bonus Savings Account

Account features:

  • instant access by transferring to another account with us
  • manage your account via Internet Banking, our Banking on the go App or by giving us a call
  • bonus rate for any month you don't make a withdrawal - all our current rates are shown in 'Savings... our rates' information - you can call us for a copy or view them on our website
  • online statements and/or an annual paper version
  • can't be used as a Linked Account for any Offset Mortgage you have with us.

To be eligible: Open the account with a minimum deposit of £1. You can only have one Bonus Savings Account and it can only be in your sole name.

Specific terms and conditions:

If you don't close your Bonus Savings Account or make a withdrawal during a calendar month that month's interest will be paid 'with bonus'. If you close or make a withdrawal, your interest will be paid 'without bonus'.

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Fixed Rate Savings Bond

(Fixed Rate savings)

The name is Bond, Savings Bond.

Account features:

  • Fixed Term savings Bond
  • you can only make one deposit, of £2,000 or more into the Bond when it's opened
  • you can have more than one Bond
  • no cooling-off period
  • quarterly paper statements
  • the term and the interest rate of the Bond will be confirmed in the information sheet we send you before it's issued
  • you can't make partial withdrawals but you can withdraw your deposit before the end of the Fixed Term for a fee of £100
  • at the end of the Fixed Term we'll pay any remaining deposit and your interest into a new Savings Account
  • if you die during the Bond term, we'll pay your deposit and interest to the person dealing with your estate at the end of the Fixed Term. If your deposit is made in joint names, this payment will be made to the other party instead if applicable
  • can't be used as a Linked Account for any Offset Mortgage you have with us.

To be eligible:

  • you need to have our 1st Account when you apply and for as long as you have the Bond. If you close your 1st Account during the term of the Bond, we may also close the Bond but we'll discuss this with you before we do
  • your deposit needs to be made from a first direct account and we can only accept cleared money i.e. not a cheque. If cleared money isn't available when we process your application, we won't be able to open the Bond. If your funds clear after the start date of a Bond issue, we won't be able to accept your application
  • you'll need to call us to arrange a joint Bond and we can only accept deposits made from a first direct account in the same joint names
  • we need to receive your Bond application before the issue start date which will be shown on the Information Sheet we sent you.

Only Bonds in your sole name are available when you apply via Internet Banking.

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Everyday e-Saver

(no longer on sale)

Account features:

  • instant access by transferring to another account with us
  • manage your account via Internet Banking, our Banking on the go App or by giving us a call
  • electronic statements via Internet Banking
  • you can automatically 'sweep' spare money from your 1st Account on whichever day you want, to help you save
  • can't be used as a Linked Account for any Offset Mortgage you have with us.

To be eligible: Open the account with a minimum deposit of £1.

Specific terms and conditions:

  • we can send communications about your account by secure e-message within Internet Banking
  • you need to log on to Internet Banking to check your messages and balance at least once every 30 days
  • if you don't have any other accounts with us, you can specify one payment destination or request a cheque to access your money.

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e-Savings Account

(no longer on sale)

Account features:

  • instant access by transferring to another account with us
  • credit interest isn't paid in calendar months where you make a withdrawal
  • manage your account via Internet Banking and our Banking on the go App only
  • electronic statements via Internet Banking
  • you can automatically 'sweep' spare money from your 1st Account on whichever day you want, to help you save
  • can't be used as a Linked Account for any Offset Mortgage you have with us.

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Everyday Savings Account

(no longer on sale)

Account features:

  • instant access - by transferring to another account with us
  • manage your account via Internet Banking, our Banking on the go App or by giving us a call
  • monthly paper statements
  • you can automatically 'sweep' spare money from your 1st Account on whichever day you want, to help you save
  • can be used as a Linked Account for any Offset Mortgage you have with us.

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