HSBC is leaving Australia after 40 years. What customers need to do now
Key takeaways
- HSBC is winding down its Australian retail banking business after almost 40 years.
- Customers won't need to take any immediate action; accounts, credit cards and home loans will continue as normal, with the bank introducing changes over the next 18 months.
- The bank will sell its Australian home loan portfolio, so existing borrowers' will move with their loans to a new loan servicer (slated for the first half of 2027).
What happens to your money, mortgage and credit card?
HSBC is winding down its Australian retail banking business after almost 40 years.
They are the latest international bank to retreat from Australian consumer banking after struggling to compete with the Big 4 and aggressive digital lenders.
The 160-year-old bank is not leaving Australia entirely – it will continue operating its corporate and institutional banking, private banking and asset management businesses.
But if you have any type of retail product with HSBC, here's what you need to know:
What happens to your HSBC mortgage or personal loan?
- HSBC is no longer accepting home loan applications.
- If you have a pending application, HSBC will be in touch shortly.
- It will sell its $36 billion home loan and personal loan portfolio to Blackstone.
- The withdrawing lender has confirmed: "HSBC has entered into a sale agreement for its home and personal loan portfolio, subject to regulatory approval. As part of this, Pepper Money is expected to manage and service these loans from the first half of 2027."
- For now, HSBC home loan customers should continue making repayments as normal.
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What happens to your HSBC transaction and savings accounts?
- HSBC has stopped accepting new retail banking customers.
- Existing HSBC transaction and savings accounts will remain open during the transition and customers can continue using their accounts for now.
- Customers will receive notice before any accounts are closed.
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What happens to your HSBC credit cards?
- HSBC is no longer accepting credit card applications.
- If you have a pending application, HSBC will be in touch shortly.
- Existing HSBC credit card accounts will continue to work for now.
- You should continue making regular payments as usual.
- Customers should keep an eye out for future communications about when cards will be closed or replaced.
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What happens to your HSBC investment accounts?
- The HSBC Investment Service for Accredited Investors will cease.
- With the closure of the HSBC Investment Service, your HSBC Investment Specialist will contact you by 12 August 2026 with clear instructions on what you need to do.
Do HSBC customers need to do anything straight away?
Not immediately. Customers can continue banking as normal while the transition takes place over the next 18 months, so time is on your side.
However, it's worth:
- keeping an eye out for letters and emails from HSBC
- being alert to scams pretending to be HSBC
- considering where you'll bank; you can switch soon, or once your accounts are closed
- updating any direct debits once you're instructed to move accounts.
When will HSBC branches close?
HSBC says all 19 Australian branches will close progressively over the next 18 months, with dates for each branch listed on their website.
Still confused or have questions for HSBC? You can reach them on 1300 308 008
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