HSBC Business Banking vs HUBFX: Transfer Cost Reality Check

Updated: November 2024

For UK businesses, HSBC represents traditional banking reliability, but at what cost for international transfers? This comprehensive analysis reveals the true cost of HSBC Business Banking international transfers versus specialist providers.

Executive Summary

Key findings for UK businesses:

• HSBC charges up to 2.4% margin on exchange rates plus fixed fees
• Average transfer cost: 3.1% total vs HUBFX's 0.6%
• Processing times: 2-5 business days vs same-day options
• Minimum relationship requirements vs pay-as-you-use flexibility
• Hidden costs in correspondent banking relationships

HSBC Business Banking Transfer Structure

HSBC Business Premier (£3M+ turnover)

• Exchange rate margin: 1.8-2.4% above market
• Fixed fee: £20-40 per transfer
• Relationship fee: £50-100 monthly account fees
• Processing: 2-5 business days standard

HSBC Business Banking Standard

• Exchange rate margin: 2.0-2.8% above market
• Fixed fee: £25-50 per transfer
• Relationship fee: £30-60 monthly account fees
• Processing: 3-5 business days standard

Real Cost Comparison: £100,000 Transfer

HSBC Business Premier Route:

• Transfer fee: £30
• Exchange rate margin: £1,800 (1.8%)
• Relationship costs: £75/month
• Total cost: £1,905 per transfer

HUBFX Business Route:

• Transfer fee: £25
• Exchange rate margin: £350 (0.35%)
• Relationship costs: £0
• Total cost: £375 per transfer

Your savings: £1,530 per transfer (81% reduction)