This is an introduction to the UK based HFC Bank. It outlines history and some of the services that HFC Bank presently offers to the UK market.
HFC Bank provides consumer finance services in the United Kingdom. In summary, HFC Bank provides insurance products and loans, as well as retail credit and personal banking. HFC Bank also offers products and services through retailer and branch networks.
History of the HFC Bank
The Household Finance Corporation was founded was founded in the year 1878 by Frank J. Mackey of Minnesota. The bank claims that it was the first financial company to offer the installment plan in 1895. Under the installment plan, the consumer’s loan could be paid in a regular monthly basis rather than the lump sum method which was usually given on the due date.
HFC Bank company was founded in 1973 and based in Birmingham, United Kingdom. The HFC Bank Limited functions as the subsidiary of the HSBC Finance Corporation. HFC was restructured in the year 1981 under a holding company known as Households International Incorporated. In 1998, it acquired the Beneficial Corporation.
In the United Kingdom, HFC Bank has adapted to market conditions and remained at the forefront of lending for over 30 years. When HFC Bank merged with the Beneficial Bank, it was transformed into a new bank in terms of size, scale and opportunity. After the HFC Bank became a part of the HSBC Group, it subsequently became a private limited company.
HFC Bank Services
Households International was the provider of credit cards and consumer loans in the United States of America., United Kingdom, and Canada. Operating under the Beneficial and HFC names, the HSBC Finance Corp. is the second largest finance company in the US. It has over 900 branches that are distributed in 46 states of America. It provides various forms of real estates, secured and unsecured loans primarily to sub-prime customers. There are also an increasing number of product lines like service plan policies and auto loans. Om March 2, 2009, HSBC announced the stop of business transactions from HFC and Beneficial and would eliminate 6,100 employments.
Currently, HFC Bank provides and offers financial services through many retailers such as the B&Q, Dixons, PC World, and Currys. HFC Bank also currently manages the Beneficial Finance personal loans from a central operation center located at Birmingham.