Is HSBC Advance Credit Card A Better Cashback Card?

Cashback credit cards are really gaining popularity with consumers in Singapore these days. During the credit card promotion by SingSaver in March, Standard Chartered Unlimited Cashback Credit Card received overwhelming response that processing took a little longer than expected! Unfortunately, that particular promotion by SingSaver had already ended. In its place, SingSaver has released 6 credit cards that would feature in its promotion for the month of July. One particular credit card caught the eye of Heartland Boy and that was the HSBC Advance Credit Card. Jumping onto the cashback bandwagon, HSBC did a major refresh of the HSBC Advance Credit Card which was made effective from 1 June 2017 onwards. In summary, HSBC Advance Credit Card is a cashback card that competes well when compared against with the very popular Standard Chartered Unlimited Cashback Credit Card.

1) 1.5% to 3.5% Cashback On All Types Of Spend

The amount of cashback earned varies between two interconnected conditions:

1. the amount that Cardholders spend in a month and
2. whether Cardholders have an existing HSBC Advance banking relationship.

So this is how the cashback credit card works. For spend of less than $2,000 per month, Cardholders who are also HSBC Advance bank account clients enjoy 2.5% cashback while cardholders who are not existing HSBC Advance banking clients get 1.5% cashback. For spend of more than $2,000, the cashback increases by 1% for both categories to reach 3.5% for existing HSBC Advance Banking clients and 2.5% for non-HSBC Advance banking clients respectively. Therefore, it is evident that HSBC Advance Banking clients enjoy a bonus cash back rate of 1% in every category tier.

The simplicity of HSBC Advance Credit Card is that retail purchases made locally or overseas, online transactions and recurring bill payments* would all qualify for cashback. There is no need to curtail your spending according to specific categories to qualify. The high cashback offered beats a host of other cashback credit cards out there, including the Standard Chartered Unlimited Cashback Card.

The downside is that the maximum cashback per month for the HSBC Advance Credit Card is capped at $125 and $70 for HSBC Advance Banking clients and non HSBC Advance Banking clients respectively. Therefore, to mitigate this downside, Heartland Boy added a row into the table above where he recommends the maximum spend to be incurred per month for each category. This is to ensure that your per dollar cashback does not drop unnecessarily. In this regard, HSBC really wants you to work for your cashback because you have to monitor your spending in order to ensure that you stay within the most lucrative band.

*Some common exceptions are payments made at AXS machines, top up to EZ Link Cards etc. Readers are advised to check the terms and conditions for details.    

2) Savings Galore For Movie Buffs

HSBC Credit Cards are well loved by movie buffs because of its special tie-up with Golden Village.  HSBC Credit Card and Debit Card holders are entitled to purchase HSBC Movie Card from Golden Village. The HSBC Movie Card contains a stored value of 10 movie tickets which can be redeemed at any Golden Village Outlet. Depending on the type of HSBC Movie Card you purchase, HSBC Card holders can save between $15 to $30. For instance, the All Days Movie Card effectively prices a weekend ticket at $8.50 as compared to the usual $11.50. This Golden Village offer works out to be a very useful credit card deal for all HSBC Card holders. Therefore, by owning the HSBC Advance Credit Card, you would also be eligible to purchase the various HSBC Movie Cards from Golden Village as well! This is fantastic savings for movie-holics.

3) Low Eligibility Barrier

HSBC Advance Credit Card is again a credit card that is very suitable for young adults. With only a $30,000 annual income requirement, it would be very suitable for a fresh graduate just entering the workforce. Besides, the annual fee is waived for the first year and that means no cash upfront from the applicant. This truly makes it one of the best credit cards in Singapore for cashback.

Awesome Cashback Card If You Qualify For HSBC Advance Banking

At 3.5% cashback for existing HSBC Advance banking clients, the HSBC Advance Credit Card is one of the best cash back credit cards in Singapore. If you have an existing Advance banking relationship, which acts like a pseudo entry-level type of Preferred Banking programme, using this credit card for your purchases is a no-brainer. To qualify for HSBC Advance status, customers may either:

i) total relationship balance of at least $30,000 with HSBC (could be in the form of deposits, investments, insurance). There is a 6 months grace period to place the funds

ii) Home Loan starting from a quantum of S$200,000

iii) Credits a salary of minimum $3,500 per month or re-occuring deposit of $2,5000 per month and have applied/hold a HSBC Credit Card or HSBC personal loan (Heartland Boy has an article on how to optimise this to elevate to Advance status easily)

iv) Reoccuring deposit of at least $2,500 per month, with 24 months grace period to reach Total Relationship Balance of at least $30,000

Besides enjoying a higher tier cashback, customers with HSBC Advance status also enjoys perpetual waiver of annual fees.

If the HSBC Advance Credit Card suits your lifestyle, you can apply via this link.

*Note that Heartland Boy earns a small fee for every successful referral