HSBC Bank Certificates of Deposit

HSBC Bank Certificates of Deposit Review

HSBC Bank Certificates of Deposit are offered by HSBC Bank USA, a bank founded in 1865 and based in New York, NY. HSBC Bank Certificates of Deposit are available in 50 states (and Washington, DC).

Key Takeaways

• Only one CD type available. HSBC CD only offers traditional CD accounts.
• Very high annual percentage yield (APY). This account offers an annual percentage yield of up to 0.4%, which is much higher than the national average for a CD account.
• $1,000 minimum deposit. This is a typical minimum initial deposit for the CDs we track.
• Limited selection of CD terms. HSBC CD only offers three CD terms. This limits your options when trying to set up a CD ladder.

Pros & Cons of HSBC Bank Certificates of Deposit

HSBC Bank Certificates of Deposit FAQ

Are CD from HSBC Bank USA federally insured?

Yes, your HSBC Bank USA CDs are insured up to $250,000 per person by the Federal Deposit Insurance Corporation (FDIC #57890). The FDIC is an independent agency of the United States government that protects you against the loss of your insured deposits if an FDIC-insured bank or savings association fails. FDIC insurance is backed by the full faith and credit of the United States government.

What types of CDs does HSBC Bank USA offer?

• Traditional CDs. These CDs pay a fixed interest rate if you deposit a fixed amount of money for a specific term. Once the maturity date arrives, you have the option of cashing out or automatically renewing the CDs for another term.

What rates does HSBC Bank USA offer on its CDs?

HSBC CD offers an APY starting at 0.3% and ranging up to 0.4%. APY stands for annual percentage yield and shows the interest rate paid by the CD after taking into account compounding.

What is the minimum deposit to open a CD account with HSBC Bank USA?

HSBC CD require a minimum deposit of $1,000 to open an account.

What is the grace period for HSBC CD?

There is a 10-day grace period for HSBC CD. A grace period is a period of time during which you can withdraw the money in your CD without paying an early withdrawal penalty. A grace period starts the day after a CD’s maturity date, or the final day a CD is opened. Standard CDs renew automatically at the same term if you don't withdraw your money after the 10-day grace period. Note that the new CD rates probably won’t be the same as the original.

What types of fees, such as early withdrawal penalties, does HSBC Bank USA charge?

Financial institutions don't typically charge many fees on CDs. However, most charge a fee if you choose to withdraw your money before the term ends.

HSBC Bank USA does not charge an early withdrawal fee.