For more than 25 years, the Hong Kong and Shanghai Banking Corporation (HSBC) has been an integral part of campus life, but by June 2006, that may no longer be the case. The contract for banking in the Student Union is expiring in June 2006 for the current occupant, allowing for possible changes in campus banking. A request for proposals was sent out by RPI on October 14, 2005, to nine banking institutions with interest in the Capital Region. An RFP is a several-page document which includes basic information about Rensselaer and the general requirements for the bidding process.
First named Marine Midland as a New York based trust in 1984, HSBC has now become one of the largest banking and financial services organizations in the world with more than 9,800 offices in 77 countries. In New York State alone, HSBC has nearly 400 branches, with 11 branches in Florida, six in California, and one branch each in Delaware, Pennsylvania, Oregon, Washington State, and Washington, D.C. Although HSBC prides itself in being the “world’s local bank,” many of the complaints in the student body have concerned the limited number of domestic branches.
“Because there is no HSBC in Corning, I have to have two separate bank accounts” said Arati Patil ’09. Due to the limited number of domestic branches, many other students choose to remain with a local bank, and many times have more than one bank account.
While there are a limited number of branches, the flexibility of online banking and other advanced services now offered by numerous banks compensates for the banks physical availability. Melissa Gallagher ’09 explained, “I’m satisfied with the services here on campus and the fact that the nearest branch is a few hundred miles doesn’t really bother me, I only use it as a school account.”
Many students make HSBC their campus banking service due only to the fact that it is the on-campus bank. Nishant Dalu ’07 said, “I only have an account here because it’s closest to school … it stores my money and I take it out when I need it. I don’t use any other services at the moment.”
As the use of ATMs grows, the newly installed Bank of America ATM in the DCC provides students with fast access and services, although the nearest full service branch is in downtown Troy. Bank of America is one of the many banks that may bid for a contract which has a minimum span of four years. Criteria for choosing the most appropriate banks are devised by the Student Union staff and the Executive Board taking into account feedback given by students and staff.
Criteria for selection include completeness/focus of the proposal, quality of available banking services, quality of available customer service, pricing-fees/lease, contingency plans, international banking capabilities, and ability to accept Rensselaer’s general terms and conditions.
Rick Hartt, director of the Union, explained: “The bidding process happens every time a contract expires; it’s normal operating procedure here at the Union.” Replies to the RFPs are due November 11, followed by pre-award presentations the week of November 28. The winner of the contract will be announced the week of December 12, 2005.
