HSBC Personal Loans: 2021 Review

To review HSBC’s personal loans, NerdWallet collected data from the lender’s website, confirmed details with several customer service representatives and compared the lender with others that seek the same customer or offer a similar personal loan product. Loan terms and fees may vary by state.

HSBC’s personal loans offer rates and fees consistent with other large banks. People who don't currently bank with HSBC can apply for a loan, but existing customers may get more favorable terms.

For example, existing customers have access to rates as much as 1 percentage point lower than new customers. They can also get a loan up to $50,000; the maximum loan amount for new customers is $30,000. All loans come with two- to five-year repayment terms.

HSBC is best for borrowers who:

• Already bank with HSBC.

• Have good or excellent credit (690 or higher FICO) and qualify for the lowest rates.

• Want to apply for an unsecured loan without a co-signer or co-borrower.

HSBC at a glance

» COMPARE: Best bank loans

Where HSBC stands out

No origination or prepayment fees: HSBC, like many other banks, doesn’t tack origination or prepayment fees onto its personal loans. Origination fees are more common among online lenders, and prepayment fees are uncommon among all lenders.

Soft credit check to pre-qualify: HSBC offers pre-qualification, which is uncommon for large bank lenders. Pre-qualifying allows applicants to check potential rates and terms without any risk to their credit scores.

Fast funding: The bank says it can fund most loans the same or next business day. For existing customers, HSBC will deposit the funds immediately after approval. If you’re getting the money deposited into a non-HSBC account, you should receive it within three business days.

» MORE: Best personal loans for fast cash

Where HSBC falls short

Reports payments to only two credit bureaus: The lender reports payments to Equifax and TransUnion, but not Experian, according to multiple customer service representatives. Most lenders report payments to all three credit bureaus, which ensures your on-time payments help you build credit, so you can potentially access credit at lower rates in the future.

No secured, co-signed or joint loan options: HSBC offers only unsecured personal loans to single applicants, which means borrowers hoping to get a lower rate by adding a co-signer or securing it with a CD account or vehicle are out of luck. Many other banks offer at least one of the three options.

Poor mobile app experience: Like most large banks, HSBC has a mobile app for managing accounts. However, HSBC’s app has poor ratings, with users complaining of glitching, slow load times and needing to call customer service for help using the app.

No direct payments to creditors on debt consolidation loans: If you use an HSBC personal loan to consolidate credit cards and other high-interest debts, the lender will deposit the funds into your bank account but not pay your debts directly. Other large banks offer this service, which simplifies the debt payoff process for you.

» MORE: Best debt consolidation loans

How to qualify for an HSBC loan

HSBC doesn’t disclose many of its borrower requirements publicly. Borrowers with good or excellent credit (690 or higher FICO), little debt and high incomes will likely qualify for the best personal loan rates.

Loan example: A four-year, $10,000 loan with an 11.8% APR would have monthly payments of $262. You’d pay $2,576 in total interest on that loan.

How to get an HSBC loan

Apply on HSBC

To apply online, borrowers can visit HSBC’s personal loans page and either log in or click the “Apply now” button. To pre-qualify, applicants click “apply now” on the lender’s site and then are taken to an application form that includes a soft credit check.

Pre-qualify on NerdWallet

NerdWallet recommends comparing loans to find the best rate for you. Pre-qualifying may get you personalized rates from multiple lenders that partner with us. Pre-qualifying will not impact your credit.