{"id":188,"date":"2007-11-15T12:20:31","date_gmt":"2007-11-15T12:20:31","guid":{"rendered":"http:\/\/www.the-finance-zone.co.uk\/uncategorized\/hsbc-us-bad-debt-exposure-34bn\/"},"modified":"2007-11-15T12:20:31","modified_gmt":"2007-11-15T12:20:31","slug":"hsbc-us-bad-debt-exposure-34bn","status":"publish","type":"post","link":"https:\/\/the-finance-zone.co.uk\/index.php\/2007\/11\/15\/hsbc-us-bad-debt-exposure-34bn\/","title":{"rendered":"HSBC US bad debt exposure $3.4bn"},"content":{"rendered":"\n\n\n
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UK bank HSBC has said its bad debts from the US sub-prime lending crisis were $3.4bn in the third quarter.<\/strong>But the bank’s overall profits will be more than a year ago as revenue growth offset the bad debt charge, HSBC said.<\/p>\n

HSBC is the latest victim of a credit crunch linked to problems in the US sub-prime market that lent money to people with poor credit histories.<\/p>\n

Rivals Citigroup, Merrill Lynch and UBS have also revealed billions of dollars of exposure to US sub-prime debt. <\/p>\n

HSBC, which was reporting on its performance during the three months to the end of September, said that the problems in the US real estate market could continue in coming months.<\/p>\n

It said that the bad debt charge at its US consumer finance business was $1.4bn more than implied by extending first-half trends, reflecting the extent of the credit crisis.<\/p>\n

“There is the probability of further deterioration if the current housing market distress continues and further impacts the broader economy,” HSBC said.<\/p>\n

Unlike the big write downs announced by several Wall Street banks, HSBC’s loss is related to mortgages it has on its books, rather than investment banking exposure to mortgage-related products.<\/p>\n

HSBC’s shares added 4.4% to 879 pence in early stock market trading in London.<\/p>\n

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UK bank HSBC has said its bad debts from the US sub-prime lending crisis were $3.4bn in the third quarter.But<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"colormag_page_container_layout":"default_layout","colormag_page_sidebar_layout":"default_layout","footnotes":""},"categories":[9,48],"tags":[],"class_list":["post-188","post","type-post","status-publish","format-standard","hentry","category-companies","category-uncategorized"],"_links":{"self":[{"href":"https:\/\/the-finance-zone.co.uk\/index.php\/wp-json\/wp\/v2\/posts\/188","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/the-finance-zone.co.uk\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/the-finance-zone.co.uk\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/the-finance-zone.co.uk\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/the-finance-zone.co.uk\/index.php\/wp-json\/wp\/v2\/comments?post=188"}],"version-history":[{"count":0,"href":"https:\/\/the-finance-zone.co.uk\/index.php\/wp-json\/wp\/v2\/posts\/188\/revisions"}],"wp:attachment":[{"href":"https:\/\/the-finance-zone.co.uk\/index.php\/wp-json\/wp\/v2\/media?parent=188"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/the-finance-zone.co.uk\/index.php\/wp-json\/wp\/v2\/categories?post=188"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/the-finance-zone.co.uk\/index.php\/wp-json\/wp\/v2\/tags?post=188"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}