Blog article
See all stories »

Stop the great HSBC graduate rip-off!

University graduates are furious at a decision by HSBC to charge interest on previously free overdrafts. UK broadsheet The Guardian reports on how thousands are now turning to Facebook in a 'viral campaign' against the bank

The rapidly proliferating campaign, called 'Stop the Great HSBC Graduate Rip-Off!'  has already brought in thousands of recent graduates. The campaign follows the bank’s decision in July to scrap interest-free overdrafts for university leavers and to charge interest at 9.9%. 

The cyber-rebellion, inspired by the National Union of Students (NUS), has attracted hundreds of angry postings and cast a shadow over HSBC’s attempts to lure freshers into taking up accounts when the new University term starts up in September.

Powerless to respond directly, HSBC has offered to meet representatives from the NUS at the end of September.

The case highlights the importance to banks of developing clear strategies for engaging with their customers over important emerging social networks and the reputational risks that lie in wait for those that fail to do so. It also demonstrates the ease with which disgruntled customers and switched-on consumer groups can use online community networks to air their grievances and rapidly escalate campaigns.

6880

Comments: (0)

Paul Penrose

Paul Penrose

Head of Research

Finextra

Member since

06 Oct 2006

Location

London

Blog posts

307

Comments

249

More from Paul

Blog post

ANZ and Visa lose the plot

Blog post

Now we are ten

Blog post

Finextra's Best of the Web

This post is from a series of posts in the group:

Trends in Financial Services

A community to discuss the future of financial services and any other interesting trends, strategies, ideas, views.


See all

Now hiring