subject: Hsbc Direct Savings Account: A Review [print this page] If you are looking for a high interest savings account, look no further than the HSBC direct savings account. Have you noticed that often, banks want to take more of your money in fees and expenses than they want to help you save? Looking at the features of this savings account. It's quite the opposite from the normal bank account.
First, while the interest rate isn't as attractive as one would like, this is more a reflection of the current market than it is of the bank. While it is comparable to other banks of its kind, the 2009 credit crisis has left the consumer disappointed with many of their fixed income investments. A fixed income investment is simply something where the rate of return changes less often then the minute by minute changes in the stock market. Bonds, certificates of deposit, and savings accounts are a few examples of this kind of investment.
With fixed income investments, they are tied to what the prime rate is at the time. When shopping for a bank, have an idea of what other banks are paying before evaluating the offer.
HSBC Direct has a low rate (although one of the highest compared to other banks of its kind) but depending on what you're doing with your savings account, convenience may make up for it. While other banks have a complicated fee structure, the HSBC Direct Savings account does not. There are no fees. Bank to bank transfers, bill payments, ATM fees are all free.
There is also no requirement to open a checking account and your first deposit can be as little as one dollar. You can deposit funds online, mailing a check, or from other bank accounts. This account is one of the most convenient on the market and it is backed by the HSBC Direct name which was named "Best of Breed" by Money Magazine in 2007.
There is only one drawback. The reason that the interest rate is much more competitive than traditional bank accounts is because the HSBC Direct savings account passes the savings on to you when they don't have to manage your account at one of their branch locations. For this reason, you cannot do anything with this account at one of their branches. It all has to be done online.
If you're looking for a savings account, look no further. This is a great deal with a great bank!
