HSBC pummelled by crunch

HSBC pummelled by crunch


HSBC have revealed that in the last year, and in the wake of the credit crunch in the US, they have incurred a $700 million rise in loan impairment charges… resulting in a massive $4.3 billion in losses between July and September. 

Most of the other high street banks have been forced to hand over dividends to the government, since receiving billions in October’s bailout plan. Luckily, previous growth in the Asian markets has helped to cushion the blow for HSBC, and so they have managed to retain some dividends.


Unfortunately for customers, in spite of the government’s plea to British banks to pass on the rate cuts, HSBC are making no promises. They have ascertained that their rates will reflect the cost of their own borrowing, which, in light of the huge losses they have sustained this year, will leave hopeful mortgage hunters right out of the loop.


By Danielle Williams

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