HSBC Bank USA Mortgage Interest Rate and Cost Review

Is HSBC Bank USA a cheap or expensive mortgage lender? We compare the interest rates and closing costs charged by HSBC Bank USA with other lenders for comparable mortgages. Nationally, here is what we find:

Interest Ratelower than average (-0.17%)
Loan Related Closing Costslower than average (-$594)
National Rate and Closing Cost Rating(4.5)

On average, HSBC Bank USA’s interest rates were lower than those of other lenders (-0.17%) for a comparable set of borrowers. Its average total loan related closing cost was lower than those of other lenders, with a difference of -$594. Overall, combining interest rates and closing costs we estimate that HSBC Bank USA tends to be a cheap lender, and give it a National Rate and Closing Costs Rating of 4.5 out of 5.0 stars.

HSBC Bank USA’s Rates by Area

Mortgage lenders often set different rates in different geographical markets. In particular, among the markets we track HSBC Bank USA was most active in:

  1. New York, NY
  2. Los Angeles, CA
  3. Miami, FL
  4. Yonkers, NY
  5. Jersey City, NJ

Furthermore, HSBC Bank USA is our top ranked mortgage lender in terms of interest rate and closing costs in Miami, FL, overall.

You can click through to check out HSBC Bank USA’s mortgage rate competitiveness by area. Or, for our data driven ranking of all the top mortgage lenders by area, click here.

HSBC Bank USA’s Rates by Mortgage Type

Mortgage lenders also tend to charge different interest rates and closing costs depending on the type of mortgage. In our data, HSBC Bank USA originated Conforming, FHA and Jumbo mortgages for new home purchases and refinances. We breakdown its interest rate and total loan related closing cost difference relative to other lenders for comparable mortgages by type in the table below.

New Purchase MortgagesConformingFHAJumbo
Interest Rate Difference-0.18%+0.01%-0.03%
Loan Related Closing Cost Difference-$628-$59-$77
Cost Adjusted Rate Difference-0.22%+0.00%-0.03%
Star Rating(4.5)(3.5)(3.5)
Refinance MortgagesConformingFHAJumbo
Interest Rate Difference-0.21%+0.01%-0.02%
Loan Related Closing Cost Difference-$808-$44-$84
Cost Adjusted Rate Difference-0.25%+0.00%-0.02%
Star Rating(5.0)(3.5)(3.5)

As a summary, HSBC Bank USA is cheap for Conforming purchase mortgages. It is similar to other lenders for FHA and Jumbo purchase mortgages. For refinancing, HSBC Bank USA is cheap for Conforming mortgage refinance. It is similar to other lenders for FHA and Jumbo mortgage refinance. Nevertheless, individual circumstances can matter, and we always recommend shopping among several lenders in your area before signing.

Other information about HSBC Bank USA:

Registered name: Hsbc Bank Usa
Registered city and state: Arlington Heights, IL, 60004
Regulator: Consumer Financial Protection Bureau (CFPB)

* Source of the data is Federal Financial Institutions Examination Council (FFIEC) and is for mortgages originated in the past year. Our comparable mortgages analysis controls for HSBC Bank USA’s distribution of loan term (e.g. 30 year vs 15 year), loan-to-value (LTV), debt-to-income (DTI), loan amount, loan program (e.g. Conforming/FHA), loan purpose (e.g. purchase/refinance), and commuting zone. Cost adjusted rates were computed based on each percent of the loan amount in above average loan related closing costs being worth +0.15 of a percentage point in interest rate. Furthermore, the amounts are regularized using a Bayesian approach to control for small samples.