Controversies
Controversies tied to this brand in public sources. A listing is not a finding of fault.
Back to profile4 entries
2016
Deceptive billing practices penalty
The OCC imposed a $35 million penalty and required restitution after finding deceptive billing practices affecting customers.
2015
Overdraft-fee litigation
HSBC Bank USA paid $30 million to settle litigation concerning its overdraft-fee practices.
2012
Anti-money-laundering and sanctions-compliance failures
U.S. authorities found that HSBC’s controls were inadequate to prevent money laundering and sanctions violations. The investigation cited the movement of at least $881 million in suspected drug-trafficking proceeds through the U.S. financial system and transactions involving sanctioned jurisdictions. HSBC Holdings and HSBC Bank USA entered a deferred prosecution agreement and paid approximately $1.9 billion in fines, forfeitures, and penalties.
2010
Low customer-advocacy ranking
A Forrester Research survey ranked HSBC poorly on a measure asking customers whether their financial provider acted in their best interests. This was a customer-perception finding rather than a regulatory determination.