HSBC has implemented a significant change to its current accounts, with customers being alerted.
The change by the high street bank could result in some individuals losing access to a popular account – as the financial institution now demands customers to have an annual income of at least £100,000. Previously, the bank’s Premier Account required customers to earn £75,000 per annum or more, or hold £50,000 of savings and investments with HSBC.
However, the HSBC Premier Account will now necessitate customers to earn a minimum of £100,000 annually. HSBC stated: “We’re changing the rules on who can qualify for the HSBC Premier Bank Account.
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“These new rules have been in place since last September for new customers, and from 9 April 2025 they will apply to all Premier customers. You’ll still be able to enjoy all the benefits of your HSBC Premier Bank Account as long as you meet one of the following eligibility requirements.”
The requirements include having savings or investments totalling £100,000 or more with HSBC UK, an annual personal income of £100,000 or more coming into your Premier Account and “already have a HSBC Premier Bank Account in another country.”
Nicholas Mendes, mortgage technical manager at John Charcol, commented: “HSBC has announced a fresh round of mortgage rate reductions specifically tailored to individuals meeting the Premier eligibility criteria, helping to limit any potential impact on service levels.
“Eligibility requires an annual income of at least £100,000 paid into an HSBC Premier Bank Account or savings or investments of £100,000 or more with HSBC in the UK. HSBC premier clients already enjoy some of the best buy purchase rates in the market, and these latest repricing further solidifies its position across the 70% LTV to 90% LTV range.”
“This move is particularly notable in a period where swap rates have been rising, defying expectations. While most lenders have not significantly raised their rates in response to recent increases in swaps, the pressure to do so is mounting.”
“Swap rates, which heavily influence mortgage pricing, have been steadily increasing, narrowing the gap between them and the lower LTV best mortgage deals available. Lenders appear to be holding back on rate increases to avoid unsettling the market, but this restraint is unlikely to last indefinitely.
“If swap rates continue to rise, it inevitable that mortgage rates will have to give at some point, as lenders cannot absorb higher costs indefinitely.”