Numerous customers at various banks could have been subject to having accounts opened in their name without permission, prompting further investigation about whether or not fake HSBC bank account opening practices were encouraged by bank management.

The results of a federal investigation into many banks around the country has not yet revealed which ones were involved in opening fake bank accounts, but consumers can help themselves by carefully reviewing their banking statements for any strange activity.

Unfortunately, fake HSBC bank account opening practices might have been in existence, according to an investigation that is exploring just how many banks could have been involved in this process of opening accounts without consumer authorization.

Wells Fargo was the first bank named in the fake bank account scandal, but investigators are currently trying to determine whether a not a similar practice could have involved the opening of a fake HSBC bank account for that bank’s consumers.

Fake Accounts Risk

Post Wells Fargo revelations, federal regulators have identified that employees at other banking institutions are engaged in similar behavior. Regulators have not yet named any banks, but it is possible that fake bank account opening practices could have been used by employees at HSBC or other banking organizations.

Fake bank and credit card accounts could be used to meet sales quotas or to pad the sales numbers for banking institutions. A consumer who suspects that a fake HSBC bank account might have been opened in their name should collect any necessary evidence and bring it to their banks attention.

The opening of an unauthorized account, such as a fake HSBC bank account, could be connected to further instances of identity theft and fraud, which should be taken seriously by anyone who might have fallen victim to these practices by any bank.

Problematic Practices

More than 40 large and mid-sized banks were evaluated by the Office of the Comptroller of the Currency after the discovery of the Wells Fargo scandal hit the news. Many different problematic practices were discovered, including deficient account, closing and opening procedures, sales promotions without appropriate risk controls and other isolated issues linked to employee misconduct.

The opening of a fake bank account might not be discovered by a consumer until weeks or months after the issue has occurred. Signs of a fake bank account being opened in your name could include unexplained charges, bank statements you don’t recognize or identity theft.

Careful monitoring of a person’s credit status and identity fraud risk could help to flag whether or not a fake HSBC bank account was opened in their name. Taking identity protection seriously shortly after the opening of a suspected fake HSBC bank account or a bank account opened without your authorization at any other financial institution is important to protect yourself.

While the Office of the Comptroller has not yet revealed all of the details about the banks involved in the investigation and their alleged connections to possible fake bank account openings, consumers should be aware of these dangers and be prepared to take necessary controls and steps to protect their interests.