China’s UnionPay scrambling to sign deals with banks in UK so HSBC cardholders can still use ATMs there after April 1
UK rule change forces China’s domestic bank card organisation to ink fresh agreements with each of 36 banks in network; report says at least 60 per cent of cashpoints will still work for UnionPay users
HSBC is warning customers in Hong Kong that its UnionPay-backed ATM and credit cards may not work at some cashpoints in the United Kingdom from next month due to regulatory changes there.
To ensure the cards remain valid, UnionPay, China’s only domestic bank card organisation, is now racing against time to sign separate agreements with each of its 36 member banks in the UK of the Link network, as mandated by the amended rules.
Unless more deals are inked by April 1, Hongkongers may find themselves unable to withdraw cash as thousands of people fly to London during the Easter holidays.
The problem will affect at least 27,000 British cashpoints run by Link, which operates a network of 66,700 ATMs.
HSBC warned its customers this week about the problem and recommended they prepare to withdraw cash from its branches in the UK. Other Hong Kong-based banks are thought to be affected, too.
But a spokesperson for London-headquartered HSBC told the Sunday Morning Post yesterday that UnionPay has signed new contracts with operators of 60 per cent of the UK cashpoints.