Why didn’t HSBC change her job title or keep her on as an account executive, or even as a secretary? Obviously public outcry and bad publicity is going to offset any “benefit” to HSBC. To HSBC in London and Hong Kong I say this:

You saw the report. HSBC in London and Hong Kong visit this website every day. You read everything. Our logs indicate HSBC USA and Household International servers (HSBC Finance Corp) also visited and read the report. What are you going to do about it? Douglas Flint – are you going to step in? Michael Geohegan and Steven Green – is there a satisfactory resolution in this matter?

What will the board of directors think? Should everyone under the age of fifty worry about their retirement from HSBC? What about Gulliver, Stuart, Chief Executive – Global Banking and Markets and HSBC Global Asset Management, Executive Director. Stuart is only 49 years old.

After thirty-one years of faithful service no employee of any company should lose their retirement thirteen days before retirement. It is time for HSBC to correct this travesty.

With help from experienced watchdogs at Household – HSBC Watch, a new website has been registered. Complaints should be filed now, if Saxon and parent company Morgan Stanley want to file a protest. Start your whining and legal antics if you so desire. Otherwise SaxonWatch.com will start programming, thereby exposing this shady bunch.

There is no money at stake, no foreclosure, no late payments, and no contract dispute behind this new action. Basically, and it might be a good lesson for HSBC to learn, people do not want annoying phone calls when they are not late, no payment is due, and they owe nothing. Push too far and some people will push back. Just look at Household – HSBC Watch as an example.

First and foremost I must re-establish that we are not affiliated with HSBC or their merchants in any way. Like tests of early warning alert systems on the radio, our sirens are going off. This is a test. It is only at test, but this is a test that HSBC and HSBC Finance will not like at all. After reviewing all of the complaints received this week I was angered and amazed at how many people were told that their payments were late, lost, or not received at all. The problem has been a problem for years. The problem has spread from credit card payments to mortgage payments and home equity line payments. It must stop now.

Our “Guidelines for paying HSBC in 2009” proposal is simple. Customers who mail their payments should do so by priority mail with delivery confirmation. You will know when HSBC received your payment at their facility. You will know exactly, to the minute and second. You will be empowered with knowing if HSBC violated the FDIC regulations quoted here:

226.10 Prompt crediting of payments.

(a) General rule. A creditor shall credit a payment to the consumer’s account as of the date of receipt, except when a delay in crediting does not result in a finance or other charge or except as provided in paragraph (b) of this section.
(b) Specific requirements for payments. If a creditor specifies, on or with the periodic statement, requirements for the consumer to follow in making payments, but accepts a payment that does not conform to the requirements, the creditor shall credit the payment within 5 days of receipt.
(c) Adjustment of account. If a creditor fails to credit a payment, as required by paragraphs (a) and (b) of this section, in time to avoid the imposition of finance or other charges, the creditor shall adjust the consumer’s account so that the charges imposed are credited to the consumer’s account during the next billing cycle. (see entire reference)

To mail your payments simply use the online U.S. Postal Service Click and Ship website, or take your payment to your nearest post office. Use priority mail with delivery confirmation. You can check the delivery time and date from your computer, or the post office can do it for you. HSBC has nothing to do with it. It is your legal record of when the payment was delivered, as certified by the postal carrier, not HSBC, and therein is the answer and the evidence.

Forward your evidence to us and we will compile the data. Indicate the date sent, date received, tracking number, and date payment was applied.

Today we received an email that said, “I am a Customer Service manager here in (redacted). I know for certain that HSBC is not only a predatory lender, but we are the biggest predatory lender in the business. Never, ever do business with my company.”

Is that true? Does HSBC hold payments, including credit card payments, mortgage payments, and home equity line of credit payments? Our reports say HSBC does hold payments, reaping extra rewards at the customers expense.

If I were working at HSBC I would immediately process payments delivered by priority mail and delivery confirmation, just so the evidence gathering would fail, but that would mean your payment was applied correctly, which is a good thing. We will see how this goes. On the other hand if HSBC cannot apply payments as late payments then HSBC will not profit from it, which is also a good thing.

What I witnessed was a culture that views employees as exploitable and customers as mere consumers of product.

The culture there is indeed a horror story where anyone who is capable of thinking critically is considered a pariah. It is no wonder that we are experiencing an economic crisis of such magnitude that the taxpayers are forced to bail out these predatory bottom feeders.

And of course, was Household’s former CEO Bill Aldinger ever forced to account for his actions? No, he got a parachute.”

Editor’s note: This is the second reference to William F. (Bill) Aldinger this week. See the comment by CD in Minnesota. I don’t feel sorry for the guy.

JS in Maryland asks “Why havn’t there been any reports on here recently about more layoffs and Beneficial and HFC branch closings next week? We’ve heard another 100-200 by October 10th. Do any of your insiders have any other info? There are a lot of concerned branch employees and their familys out there. DGMs met one on one with their RGMs. Have heard more mega branchs and consolidations. Does anyone have any info on how they are making their decisions this time around? Will it still be based on performance or would it be seniority. Any insight would be appreciated. Thanks!”

That is a good question. HSBC has been very silent, and employees have been voting in our polls but we have not received any valid information concerning the next round of consolidations. I agree with you that many employees are concerned, as are their families. The concern is valid. If you remember back to Thanksgiving 2007 there was very little to be thankful for as layoffs and cutbacks struck with full force.

If you have any information let us know. We publish after we have the same input from more than one source, where the input matches valid research in other areas.

The states are asking lenders to create systems to fast track changes for distressed mortgage holders. Those lenders include Wells Fargo Home Mortgage, Morgan Stanley Home Loans, HSBC Finance Corp., JPMorgan Chase & Co., Citigroup and American Home Mortgage Servicing Inc. The states cite protocols set up by Countrywide Financial after its merger with Bank of America as an industry example.

Does this sound sweet and rosy, like it might work? You tell me. Here is evidence to the contrary. DW in Iowa said: “We will be losing our house in a couple of weeks to HSBC. To sum it up. I had to give up my job. HSBC, who says that they are willing to work with people, refused our hardship case. Turned around raised our mortgage payments and then refused another hardship letter. They do not work with people or care about the people who put food on their table so that they can party it up while we get to live God knows where.”

We thank each and every one of you for your support. Everyone that sent a report received a reply. At this point it is very clear that mortgage and credit card lending needs reforms, oversight, and regulation. We do not align ourselves with any specific group or advocacy organization. In fact some of those organizations have come under fire recently for their efforts. Some have been accused of making matter worse, or pressuring lending institutions under the Community Reinvestment Act. We also watch United States banks and international banks as part of our Mortgage Blues effort.

Some banks fought wild lending ideas, claiming instead to price based on risk (customer credit worthiness) alone. Those banks seem relatively unhurt by today’s subprime and CDO fiasco. Others, including HSBC Finance and Decision One Mortgage, decided to participate in wild and crazy lending that has effected countries around the world. It also effected the lending industry and job losses related to lending.

Unfortunately the United States diminished themselves in the eyes of the world. Excesses and lack of regulation cuased billions of dollars in losses in other countries. Damage has been done. What banks and the mortgage industry accomplished relative to America’s standing in the world community is considered by many as treason similar to Jane Fonda and Viet Nam. They undermined this country, put the dollar at risk, and asked for a bailout. At the same time many of the same banks are fighting consumers, like you and me, as they seek to deny us a credit card users bill of rights.

Household – HSBC Watch exists to examine the global picture while studying the role of HSBC and HSBC Finance (formerly Household International.) While lobbyists and big money conduct business in Washington DC, we also call and write on your behalf. We do it for free, with little funding other than what comes from our websites. To that end we celebrate our tenth anniversary and look forward to many more.

Things have been quiet at HSBC. With each investment bank or major lender in trouble, HSBC was mentioned as a possible buyer. HSBC bought nothing. HSBC is consolidating and combining to save money, but made no major moves. Silence and lack of activity seems to speak volumes about HSBC’s actual worldwide plans.

Recently a major information technology group examined HSBC computer failures, detailing what went wrong and how delays in recapturing information seemed unacceptable. Attempts to contact HSBC regarding the issues were unsucessful. Giving HSBC the opportunity to speak to the matter or comment on lessons learned, the group said instead that “calls to HSBC were not returned.” More silence. Perhaps the future will tell us why.

$700 Billion (USD) of taxpayer’s money with part of it going to UK-based Hong Kong Shanghai Bank is unacceptable. The fact that HSBC bought and facilitated mortgages through what was once known as predatory lender Household International should not be lost in the begging and plea for inclusion in the bailout. The United States already sprayed dollars around the world last week, in an effort to prop up the dollar. When will the madness end?

Suffice it to say this is our first look at politics, back office money, lobbying money, and favoritism behind the proposed mortgage US government initiative to buy $700 billion of bad-mortgage investments.