First Direct
Encyclopedia
First Direct is a telephone and internet-based retail bank in the United Kingdom
, a division of HSBC Bank plc
. First Direct has headquarters in Leeds
, West Yorkshire
, England
, and has 1.16 million customers.
First Direct is based at two call centres in Stourton
(Leeds
) and Hamilton, South Lanarkshire
, Scotland
. Hamilton is the larger of the two call centres however the Leeds call centre handles risk assessment and some processing roles and the Hamilton call centre shares space with HSBC Direct banking.
, one of the "Big 4" banks in the UK. The call centre has famously never closed since this date. In 1992, it became a part of HSBC
following the acquisition of Midland Bank
.
First Direct took its first call on 12.01am on 1 October 1989; more than 1,000 calls were taken within the first 24 hours. The launch of First Direct in 1989 was advertised with different adverts run concurrently on different ITV and Channel 4, one offering a negative view showing the aspects of normal banking and the other a positive view of First Direct.
By May 1991 the bank had 100,000 customers on its books and by March 1993 it had 250,000. It first achieved breakeven in December 1994. In April 1995 the bank gained its 500,000th customer.
The bank began limited trials of Internet Banking in July 1997, launching the service fully in 1998. In May 1999 it launched text message (SMS
) banking, a service through which the bank will alert customers by SMS if the balance on their current account goes below a certain amount, and if set, will send weekly mini-statements also by SMS.
In July 2001 the bank's Offset Mortgage was launched.
In January 2004 the bank launched first directory, a service whereby additional services were added to current accounts such as free text message banking, annual travel insurance
and mobile phone
insurance
for a fixed monthly charge. In April 2004 the bank launched Internet Banking Plus, a service whereby account information was taken by third party Internet Banking from the bank's other accounts with different banks and the information was unified under First Direct's Internet Banking Plus service.
The bank has also recently launched a service whereby customers can access accounts via their mobile phone in partnership with MONILINK
.
In February 2007, First Direct became the first UK bank to introduce a fee for basic financial transactions, fuelling concern for the future of fee-free banking in the UK for personal customers.
United Kingdom
The United Kingdom of Great Britain and Northern IrelandIn the United Kingdom and Dependencies, other languages have been officially recognised as legitimate autochthonous languages under the European Charter for Regional or Minority Languages...
, a division of HSBC Bank plc
HSBC Bank (Europe)
HSBC Bank plc is one of the four major clearing banks in the United Kingdom and is a wholly owned subsidiary of HSBC Holdings. The business ranges from the traditional High Street roles of personal finance and commercial banking, to private banking, consumer finance as well as corporate and...
. First Direct has headquarters in Leeds
Leeds
Leeds is a city and metropolitan borough in West Yorkshire, England. In 2001 Leeds' main urban subdivision had a population of 443,247, while the entire city has a population of 798,800 , making it the 30th-most populous city in the European Union.Leeds is the cultural, financial and commercial...
, West Yorkshire
West Yorkshire
West Yorkshire is a metropolitan county within the Yorkshire and the Humber region of England with a population of 2.2 million. West Yorkshire came into existence as a metropolitan county in 1974 after the passage of the Local Government Act 1972....
, England
England
England is a country that is part of the United Kingdom. It shares land borders with Scotland to the north and Wales to the west; the Irish Sea is to the north west, the Celtic Sea to the south west, with the North Sea to the east and the English Channel to the south separating it from continental...
, and has 1.16 million customers.
First Direct is based at two call centres in Stourton
Stourton, West Yorkshire
Stourton is a mainly industrial area of the city of Leeds, West Yorkshire, England.The area is 2 miles to the south east of Leeds city centre and lies between Hunslet, the M1 motorway and Cross Green in the LS10 postcode area....
(Leeds
Leeds
Leeds is a city and metropolitan borough in West Yorkshire, England. In 2001 Leeds' main urban subdivision had a population of 443,247, while the entire city has a population of 798,800 , making it the 30th-most populous city in the European Union.Leeds is the cultural, financial and commercial...
) and Hamilton, South Lanarkshire
South Lanarkshire
South Lanarkshire is one of 32 unitary council areas of Scotland, covering the southern part of the former county of Lanarkshire. It borders the south-east of the city of Glasgow and contains many of Glasgow's suburbs, commuter towns and smaller villages....
, Scotland
Scotland
Scotland is a country that is part of the United Kingdom. Occupying the northern third of the island of Great Britain, it shares a border with England to the south and is bounded by the North Sea to the east, the Atlantic Ocean to the north and west, and the North Channel and Irish Sea to the...
. Hamilton is the larger of the two call centres however the Leeds call centre handles risk assessment and some processing roles and the Hamilton call centre shares space with HSBC Direct banking.
History
First Direct was formed on 1 October 1989 by Midland BankMidland Bank
Midland Bank Plc was one of the Big Four banking groups in the United Kingdom for most of the 20th century. It is now part of HSBC. The bank was founded as the Birmingham and Midland Bank in Union Street, Birmingham, England in August 1836...
, one of the "Big 4" banks in the UK. The call centre has famously never closed since this date. In 1992, it became a part of HSBC
HSBC
HSBC Holdings plc is a global banking and financial services company headquartered in Canary Wharf, London, United Kingdom. it is the world's second-largest banking and financial services group and second-largest public company according to a composite measure by Forbes magazine...
following the acquisition of Midland Bank
Midland Bank
Midland Bank Plc was one of the Big Four banking groups in the United Kingdom for most of the 20th century. It is now part of HSBC. The bank was founded as the Birmingham and Midland Bank in Union Street, Birmingham, England in August 1836...
.
First Direct took its first call on 12.01am on 1 October 1989; more than 1,000 calls were taken within the first 24 hours. The launch of First Direct in 1989 was advertised with different adverts run concurrently on different ITV and Channel 4, one offering a negative view showing the aspects of normal banking and the other a positive view of First Direct.
By May 1991 the bank had 100,000 customers on its books and by March 1993 it had 250,000. It first achieved breakeven in December 1994. In April 1995 the bank gained its 500,000th customer.
The bank began limited trials of Internet Banking in July 1997, launching the service fully in 1998. In May 1999 it launched text message (SMS
SMS
SMS is a form of text messaging communication on phones and mobile phones. The terms SMS or sms may also refer to:- Computer hardware :...
) banking, a service through which the bank will alert customers by SMS if the balance on their current account goes below a certain amount, and if set, will send weekly mini-statements also by SMS.
In July 2001 the bank's Offset Mortgage was launched.
In January 2004 the bank launched first directory, a service whereby additional services were added to current accounts such as free text message banking, annual travel insurance
Travel insurance
Travel insurance is insurance that is intended to cover medical expenses, financial default of travel suppliers, and other losses incurred while traveling, either within one's own country, or internationally...
and mobile phone
Mobile phone
A mobile phone is a device which can make and receive telephone calls over a radio link whilst moving around a wide geographic area. It does so by connecting to a cellular network provided by a mobile network operator...
insurance
Insurance
In law and economics, insurance is a form of risk management primarily used to hedge against the risk of a contingent, uncertain loss. Insurance is defined as the equitable transfer of the risk of a loss, from one entity to another, in exchange for payment. An insurer is a company selling the...
for a fixed monthly charge. In April 2004 the bank launched Internet Banking Plus, a service whereby account information was taken by third party Internet Banking from the bank's other accounts with different banks and the information was unified under First Direct's Internet Banking Plus service.
The bank has also recently launched a service whereby customers can access accounts via their mobile phone in partnership with MONILINK
MONILINK
MONILINK Limited is the banking service operating in the United Kingdom that gives customers access to their financial information directly from their mobile phones. Created in 2003 MONILINK is a joint venture between Monitise and LINK...
.
In February 2007, First Direct became the first UK bank to introduce a fee for basic financial transactions, fuelling concern for the future of fee-free banking in the UK for personal customers.