HSBC Closing Credit Card Servicing Call Center, 240 Jobs Lost

Consumer credit giant HSBC is closing a credit card call center in Jacksonville, Fla. and laying off some 240 workers, according to local paper The Florida Times-Union.

HSBC Finance Corp. Card & Retail Services is going to distribute the work done at the Jacksonville location to other offices around the country, according to a company spokesperson. The call center provided collection services for HSBC’s card products in addition to customer service and other work.

According to its Web site, HSBC’s Card & Retail Services division issues MasterCard and Visa-branded cards, the GM Card and AFL-CIO Union Plus cards. HSBC also offers cards to subprime and “underbanked” consumers through various affiliate programs.

Cindy Savio, a spokesperson for the company, told the Times-Union that workers had already been notified. The closure is part of a strategic review of the HSBC’s card unit that is focused on staffing levels in the division.

HSBC Holdings PLC is based in London and had revenues of $87.6 billion in 2007. The company employs more than 300,000 people around the world. HSBC is considered to be the largest consumer bank in the world based on a Forbes composite score.

HSBC became heavily invested in the U.S. consumer credit market with the 2003 acquisition of Household International – a subprime mortgage issuer – and the 2005 acquisition of credit card issuing giant Metris (“HSBC Finance Corporation to Acquire Card Issuer Metris for $1.6 billion,” Aug. 4, 2005).