HSBC Premier credit card - too good to be true?

[Chicken]

Is the Premier the best SQ earning card, and with no annual fee?

First, I just need to have my $9000 salary credited into Everyday Global Account, which is free / no fee. (then just move the money back to my normal bank)

Then apply for Premier World Mastercard which is $0 annual fee.

So first off, everything is free at the moment.

Then SQ earn rate is $1 = 1.5 HSBC points, and 2 HSBC = 1 SQ, giving effective rate of AUD$1 = SQ 0.75

This earns more than any other Visa Mastercard in Australia, even earn more than any AmEx except Platinum charge which also earns AUD$1 = SQ 0.75

Well, except the HSBC Star Alliance, which is $1 = SQ 0.8, but with $450 fee

Too good to be true?

 

[neeyuese]

up to $120,000 annually , that mean 80000 sq miles maximum.

 

[Chicken]

up to $120,000 annually , that mean 80000 sq miles maximum.

That's on par with other cards?

 

[leyy]

I've started the process to qualify for HSBC Premier banking.

You have meet the requirements for 6 consecutive months for you to automatically get Premier status.

That is great value @Chicken ill definitely apply in due course!

 

[leyy]

I also noticed that HSBC changed the earning structure on this card recently. I think its definitely better. It has increased from 1 point per dollar to 1.5 point per dollar for spend in Australia and is capped at $120,000 p.a

Last year it was the below:

"Premier cardholders receive one HSBC Rewards Plus point per dollar spent in Australia and 1.5 Rewards Plus points per AU$1 spent overseas, where a reduced 2% international transaction fee applies".

 

[Chicken]

"Premier cardholders receive one HSBC Rewards Plus point per dollar spent in Australia

That would be AUD $1 = SQ 0.5. That would still be better than Citi free for life at AUD $1 = SQ 0.4.

 

[SOPOOR]

is it $9000 per month of your salary being credit properly, or just transfer $9000 into the account?

 

[anchew]

is it $9000 per month of your salary being credit properly, or just transfer $9000 into the account?

You can transfer $9k in then transfer out straight away if you want.

 

[oz_mark]

is it $9000 per month of your salary being credit properly, or just transfer $9000 into the account?

It has to be $9,000 or.more..whether that is a transfer from another bank, or from salary doesn't matter.

 

[Viridis]

"where a reduced 2% international transaction fee applies".

I seem to recall an update to the T&Cs recently that indicated an increase to 3%

 

[Brissy1]

You can transfer $9k in then transfer out straight away if you want.

I understand HSBC is not part of Osko, don't think I could live without instant interbank transfers anymore.

 

[asterix]

I understand HSBC is not part of Osko, don't think I could live without instant interbank transfers anymore.

They have fast payments now, although they don't call it NPP/Osko, they just call it fast payments. I transfer instantly from uBank to HSBC and back multiple times a month.

 

[Chicken]

I understand HSBC is not part of Osko, don't think I could live without instant interbank transfers anymore.

Osko is not for credit card transactions.

They have fast payments now, although they don't call it NPP/Osko, they just call it fast payments. I transfer instantly from uBank to HSBC and back multiple times a month.

Because it is not Osko.

HSBC AU > Ways To Bank > Online Banking > New Payments Platform

"Why am I not able to receive Fast Payments from some financial institutions?
HSBC supports single credit transfer Fast Payments, however, some banks do not support this payment type and their customers are unable to make Fast Payments to HSBC."

So they use SCT, but not Osko by BPay. They do not use Osko overlay. This explains why don't they support PayID, because PayID is a feature from Osko.

"What is PayID?
HSBC does not support PayID at this stage."

 

[Viridis]

Well, except the HSBC Star Alliance, which is $1 = SQ 0.8, but with $450 fee

And don’t forget that only applies up to A$3000 for each month - after that it halves I think

 

[MELso]

Thanks for pointing this card out. I'm hunting for good fallback options as my everyday non-churning card in case NAB nerfs the fee-free Citi Signature card when it gets switched over late next year.

The Qantas version of this card also seems to be an excellent candidate offering 1.5ppd in the first year and 1ppd afterwards (which is better than the non-Qantas version in outright earning if you're willing to forgo the flexibility of converting into Velocity, Krisflyer or Asia Miles at 0.75ppd), no annual fee, (paid) lounge access and travel insurance. Are there any catches I wonder?

 

[dairyfloss]

Some more goodies you might not be aware of... HSBC Premier World MC also comes with a MasterCard Travel Pass (which is a co-branded DragonPass membership), with two annual visits included; similar to Priority Pass, but more focused on the APAC region.

Another benefit which I think comes with their card (I have a number of Premier products, so not sure whether the card alone provides this) is the 'Frequent Values' membership. It's like a 'lite' version of the Entertainment Book (published by the same people), and has quite a few good offerings for F&B, travel related, and more. HBSC covers their side of the details here: Credit Card Offers and Discounts | Instant Savings - HSBC AU

Also - on the points capping, I thought it might be worth noting for those who are looking at the Qantas version of the card, that most Qantas spend (excl. Freight, Qantas Holidays & Qantas Business Travel) is uncapped. So even if you breach the 120K, you will still earn 1 ppd on QF spend after that. You also earn this as a bonus point per dollar while under the cap (so a total 2.5 ppd under the promo level, and 2 ppd afterwards).

Cheers,
Matt.

 

[kokoikaka]

Hi all,
did anyone go with the path to put 150,000 into the account and get the premier status?
And also do they check the eligibility every month or it’s just a one-off thing?
cheers!

 

[dairyfloss]

Hi all,
did anyone go with the path to put 150,000 into the account and get the premier status?
And also do they check the eligibility every month or it’s just a one-off thing?
cheers!

The details aren't very clear but it does say you need to maintain this investment, and it can't include an offset account. I suspect they check monthly, or have a grace period of a couple of months, maybe. You could call and ask before going to the trouble.

 

[kokoikaka]

The details aren't very clear but it does say you need to maintain this investment, and it can't include an offset account. I suspect they check monthly, or have a grace period of a couple of months, maybe. You could call and ask before going to the trouble.

Hi @dairyfloss ,
thanks for your info.
I think I find the answer in the Premier service guide.

Gaining and retaining Premier status


You can access exclusive HSBC Premier benefits provided you satisfy the following:


• "Premier balance" qualification - a minimum combined balance of AUD150,000 equivalent in an HSBC Australia transaction, savings* or HSBC Invest account 8


or


• "Premier money in" qualification - a minimum of AUD9,000 per month into an HSBC


Australia transaction or savings account and


• Holding an HSBC Everyday Global Account* which you must maintain.


Premier customers (excluding International Premier and Jade, Commercial Relationship, Private Banking Clients and children of HSBC Premier customers holding Premier Children's Savings Account)* must continue to meet the Premier eligibility criteria.


If you fail to meet the criteria for 6 months consecutively then your Premier status will be removed.


You will receive notifications from HSBC in advance of your Premier status being removed to give prior warning.


If you are not a Premier customer but meet the Premier qualifying criteria for 6 consecutive months then you may be upgraded to Premier status. This comes at no cost and you will have access to the Premier benefits outlined in this Premier Service Guide.


You will receive notifications from HSBC in advance of your status being upgraded to Premier.

———————————————-
So apparently they do check the eligibility per 6 months I think

 

[dairyfloss]

Hi @dairyfloss ,
thanks for your info.
I think I find the answer in the Premier service guide.

Gaining and retaining Premier status


You can access exclusive HSBC Premier benefits provided you satisfy the following:


• "Premier balance" qualification - a minimum combined balance of AUD150,000 equivalent in an HSBC Australia transaction, savings* or HSBC Invest account 8


or


• "Premier money in" qualification - a minimum of AUD9,000 per month into an HSBC


Australia transaction or savings account and


• Holding an HSBC Everyday Global Account* which you must maintain.


Premier customers (excluding International Premier and Jade, Commercial Relationship, Private Banking Clients and children of HSBC Premier customers holding Premier Children's Savings Account)* must continue to meet the Premier eligibility criteria.


If you fail to meet the criteria for 6 months consecutively then your Premier status will be removed.


You will receive notifications from HSBC in advance of your Premier status being removed to give prior warning.


If you are not a Premier customer but meet the Premier qualifying criteria for 6 consecutive months then you may be upgraded to Premier status. This comes at no cost and you will have access to the Premier benefits outlined in this Premier Service Guide.


You will receive notifications from HSBC in advance of your status being upgraded to Premier.

———————————————-
So apparently they do check the eligibility per 6 months I think

Yeah, ok - so you basically need to maintain that 150K balance ongoing, or run the risk of Premier services being removed. They might - for example - look at the trailing 6 months of closing account balances, at monthly intervals.

We maintain eligibility easily on the first point. Our salaries are paid into an HSBC cash management account, and then moved into other HSBC accounts including a home loan offset, after that occurs.

Cheers,
Matt.