HSBC Bank Canada Sale to Royal Bank of Canada Explained

HSBC Bank Canada was sold to Royal Bank of Canada in 2020.

The sale was a significant move in the Canadian banking industry.

Royal Bank of Canada acquired HSBC Bank Canada for $13.5 billion.

This marked a major milestone in the history of both banks.

The sale was finalized on March 2, 2020, and all HSBC Bank Canada operations were subsequently integrated into Royal Bank of Canada.

This integration allowed Royal Bank of Canada to expand its services and customer base.

For another approach, see: Royal Bank of Canada Stock Quote

HSBC Bank Canada has a rich history that spans over a century. The bank was established in 1875 in Hong Kong and Shanghai Banking Corporation, with its first Canadian branch opening in 1877 in London, Ontario.

The bank's expansion into Canada was a strategic move to tap into the country's growing economy. In 1900, HSBC acquired the Bank of British Columbia, expanding its presence in Western Canada.

HSBC Bank Canada began to grow steadily, with its headquarters moving to Toronto in 1934. The bank's growth was fueled by its commitment to innovation and customer service.

The bank's commitment to innovation was evident in its introduction of the first automatic teller machine (ATM) in Canada in 1967.

For your interest: Hsbc Bank Hong Kong Swift Code

HSBC Bank Canada operates through several divisions, including HSBC Investments, HSBC Capital, HSBC Trust Company, HSBC Securities, and HSBC Insurance Agency.

These divisions offer a range of services, from investments and securities to insurance and trust services. HSBC Securities even includes a discount brokerage division called HSBC InvestDirect.

Here are the operating divisions of HSBC Bank Canada:

HSBC Bank Canada is also implementing changes in its payments and transfers services. The HSBC Global Transfers service will no longer support intra-HSBC group payments between accounts and family and friends in selected countries/regions, effective March 17, 2024.

Worth a look: HSBC Bank Polska

HSBC has a diverse range of operating divisions that cater to various financial needs.

HSBC Investments (Canada) is one of the company's operating divisions.

The company also has a securities division called HSBC Securities (Canada), which includes a discount brokerage division called HSBC InvestDirect.

HSBC Trust Company (Canada) is another operating division that provides trust services.

HSBC Insurance Agency (Canada) offers insurance services to its customers.

Here is a list of some of the company's operating divisions in Canada:

HSBC Global Transfers service will no longer support intra-HSBC group payments between your own accounts and family and friends in selected countries/regions from 10 p.m. EST 16 March 2024.

You'll need to set up new payees with their Royal Bank of Canada account details for any future payments to your beneficiaries who have HSBC Canada accounts.

Future-dated payments set up to HSBC Canada accounts using the International Payments service will continue to be processed for some time (6 months) after the sale.

Here are the key changes to keep in mind:

If you have payees set up for HSBC Canada using the Global Transfer (GT) service or Global Transfer Friends and Family (GTFF) service, these payees' details will no longer be valid from 10 p.m. EST on March 16, 2024.

These payees will be deleted from your Global Transfers/GTFF payment journeys for you. You'll need to set up new payees using the payee's new Royal Bank of Canada account details.

New payees and payment instructions will need to be set up by you, using your or your payee's new Royal Bank of Canada account details, if you use the International Payment service to pay yourself or others in Canada.

Future-dated payments will be re-directed to your or your payee's new Royal Bank of Canada account for 6 months after the sale, but after that, such payments will not be processed with HSBC and will fail.

Check this out: Payment Bank

HSBC Bank Canada has joined Royal Bank of Canada.

CDIC member HSBC Bank Canada is now part of Royal Bank of Canada, as announced on March 29, 2024.

Deposits held within HSBC Bank Canada, HSBC Trust Company Canada, and HSBC Mortgage Corporation Canada have migrated to RBC.

This means that deposits held in these HSBC entities will now be managed by RBC.

The Canada Deposit Insurance Corporation (CDIC) will be removing HSBC Bank Canada, HSBC Trust Company Canada, and HSBC Mortgage Corporation Canada from the list of members and deposit insurance calculator on their website.

Intriguing read: Royal Bank of Canada Tfsa

However, insured deposits that a client had at any HSBC entity and RBC entity before the amalgamation will continue to be insured separately, up to $100,000 per depositor per category for a period of two years post-amalgamation.

In the case of term deposits, separate coverage will continue until maturity or redemption.

HSBC Canada customers will have the option to become customers of the Royal Bank of Canada from March 28, 2024.

The transaction only affects HSBC Canada and does not concern other parts of the HSBC business in the Americas or elsewhere.

To fully activate the service with Royal Bank of Canada, you need to digitally enroll with Royal Bank of Canada and accept their Terms & Conditions.

Your Royal Bank of Canada accounts will show under the header 'Canada - Royal Bank of Canada' in your HSBC Global View.

If you haven't consented to extend your HSBC Global View service to Royal Bank of Canada, your Global View link to HSBC Canada was removed on March 28, 2024.

Your account visibility in the RBC/HSBC Global View dashboard depends on three factors: your consent, the migration weekend, and your account choices.

If you're having trouble accessing your HSBC Canada Online and Mobile banking, it's likely due to the migration to Royal Bank of Canada that started on March 28, 2024.

This migration activity began at 18:00 PT and will continue until April 1, 2024, during which time you may see error messages or not be able to view your balances.

You must have consented to extend your HSBC Global View service to Royal Bank of Canada before March 21, 2024, at 23:59 PT to access your accounts.

To fully activate the service, you need to digitally enrol with Royal Bank of Canada and accept their Terms & Conditions through their Online Banking.

You can only view your Royal Bank of Canada accounts in your HSBC Global View if you have a chequing and/or savings account, and those accounts must be active.

Inactive or dormant accounts will not appear in the Global View dashboard.

Recommended read: Online Banking and Mobile Banking Difference

If you didn't consent to extend the Global View service to Royal Bank of Canada, your Global View link to HSBC Canada was removed, and relinking is no longer possible.

You can still transfer money between your HSBC and Royal Bank of Canada accounts via International payments in HSBC Online and Mobile Banking.

Here are the steps to access your Royal Bank of Canada accounts in your HSBC Global View: