Comments on: HSBC Has ‘Household’ Problems http://www.dailyreckoning.com.au/hsbc/2007/02/12/ An independent perspective on the Australian and global investment markets Sat, 20 Mar 2010 15:07:19 +0000 http://wordpress.org/?v=2.8 hourly 1 By: T. Blake http://www.dailyreckoning.com.au/hsbc/2007/02/12/comment-page-1/#comment-1760 T. Blake Tue, 06 Mar 2007 13:08:54 +0000 http://www.dailyreckoning.com.au/hsbc/2007/02/12/#comment-1760 We've monitored Household International since 1991, and continue to monitor HSBC and HSBC Finance Corporation. Household was in serious trouble before HSBC bought the company. All three top executives that came to HSBC with the Household acquisition are now gone, as two were summarily dismissed last week. The tree were only in it for the money, and were in over their heads. The problems HSBC is currently seeing are only the tip of the iceberg. As we monitor complaints from HSBC customers one can clearly see that HSBC is padding accounts with unfair and shady fees, holding payments until they are late, and other tactics to offset huge losses at HSBC Finance Corp and HSBC USA. In 2004 HSBC paid an $11 million (USD) settlement for this tactic but HSBC never stopped the practice. You can see live complaints which support that position. The US government is looking at New Century Mortgage. Expect them to look at HSBC next, where huge lawsuits and settlements have the potential to be greater than Household International's $484 million (USD) settlement of 2002. We've monitored Household International since 1991, and continue to monitor HSBC and HSBC Finance Corporation. Household was in serious trouble before HSBC bought the company. All three top executives that came to HSBC with the Household acquisition are now gone, as two were summarily dismissed last week. The tree were only in it for the money, and were in over their heads.

The problems HSBC is currently seeing are only the tip of the iceberg. As we monitor complaints from HSBC customers one can clearly see that HSBC is padding accounts with unfair and shady fees, holding payments until they are late, and other tactics to offset huge losses at HSBC Finance Corp and HSBC USA.

In 2004 HSBC paid an $11 million (USD) settlement for this tactic but HSBC never stopped the practice. You can see live complaints which support that position. The US government is looking at New Century Mortgage. Expect them to look at HSBC next, where huge lawsuits and settlements have the potential to be greater than Household International's $484 million (USD) settlement of 2002.

]]> By: Geoff Shapowloff http://www.dailyreckoning.com.au/hsbc/2007/02/12/comment-page-1/#comment-1663 Geoff Shapowloff Mon, 12 Feb 2007 08:13:15 +0000 http://www.dailyreckoning.com.au/hsbc/2007/02/12/#comment-1663 Could it be that Mr Geoghean was in nappies when the last real estate boom & bust occurred? Could it be that Mr Geoghean was in nappies when the last real estate boom & bust occurred?

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