HSBC Advance Credit Card – MoneySmart Review 2022

HSBC Advance Credit Card

The HSBC Advance Credit Card doles out up to 3.5% cashback on everything, which is a real godsend for people who simply can’t keep track of 7 different credit cards for different purposes. It’s one of the best cashback credit cards in Singapore for high spenders, especially those who spend over $2,000 a month.

Let’s see if it’s as good as it sounds:

HSBC Advance Credit Card terms & conditions

HSBC Advance Credit Card
Annual fee & waiver $192.60 (waived for the first year), unless a min. of $12,500 is charged to the card in each subsequent year. Free for HSBC Advance banking customers.
Supplementary annual fee
Interest free period 20 days
Annual interest rate 25.90%
Late payment fee $55
Minimum monthly repayment 3% or $50, whichever is higher
Foreign currency transaction fee 2.8%
Cash advance transaction fee 6% or $15, whichever is higher
Overlimit fee $40
Minimum income $30,000 (Singaporean) / $40,000 (non-Singaporean)
Card association Visa
Wireless payment Visa payWave, Apple Pay, Google Pay, SimplyGo

How the HSBC Advance Credit Card works

The HSBC Advance Credit Card has a simple cashback system that is based on the amount you spend that month (not on the specific categories you spend on). It offers preferential rates for HSBC Everyday Global bank account holders:

Monthly spending Cashback for HSBC Everyday Global bank account holders Cashback for non-holders
$2,000 and above 3.5% (capped at $125) 2.5% (capped at $70)
Below $2,000 2.5% (capped at $125) 1.5% (capped at $70)

To take full advantage of the HSBC Advance Credit Card, you will need to have a HSBC Everyday Global account. The 3.5% cashback, in our opinion, is generous enough to justify opening an HSBC Everyday Global account if you’re going to make this one of your main cards. Do note that you need to deposit fresh funds to that account via salary crediting, or inward bank transfers from non-HSBC bank accounts (min. $2,000 for HSBC Personal Banking customers, and $5,000 for HSBC Premier and Jade customers).

If opening an HSBC Everyday Global account makes sense for you, this is a very good card to have on hand because there’s no minimum spending requirement.

Unfortunately, for those who aren’t HSBC Everyday Global account holders and don’t intend to sign up anytime soon, the card isn’t that great due to the high $2,000 minimum spending requirement in order to get 2.5% rebates. If you don’t meet it, you get a rather measly 1.5% cashback.

HSBC logo
MoneySmart Exclusive
Earn up to 2.5% Cashback | Instant Activation*
Base Cashback
1.5%
Cashback when you spend more than S$2,000
2.5%
Cashback Cap per month
S$70

Who should use the HSBC Advance Credit Card?

The HSBC Advance Credit Card is ideal for newlyweds and married couples who now have to face the harsh reality of running a household in Singapore.

Honestly, it’s no joke. Not only do you need to make sure everyone gets fed and clothed, you also have to pay for an insane number of things you probably never thought about back when you were still living with your parents.

From the mundane like phone and utility bills to big ticket items like household appliances, you soon realise you were saving on much more than rent before you moved out.

That’s why married couples who own homes need a good credit card that rewards them for all that spending. As a single still living at home, you might have been able to get away with a card for dining, another for online shopping and so on.

But if you’re running a household, you’ll need a card that rewards you for all those miscellaneous expenses, from washing machine purchases to that sleek new sound system.

Your expenditure is also likely to be higher than a single person’s as you can charge the entire household’s expenses to the card. That means you’re more likely to be able to meet a $2,000 minimum spending requirement each month.

The fact that you don’t need to track your expenses down to the very cent is a bonus, because you’ll probably be busy enough as it is trying to get your life together.

 

Alternatives to the HSBC Advance Credit Card

Here are a couple of cards which offer cashback on all spending. Let’s see how they compare to the HSBC Advance.

American Express logo
MoneySmart Exclusive
LUCKY DRAW | Unlimited Cashback
on up to $5,000 spend in the first 6 months for new Card Members.
3.0% Cashback
all subsequent eligible purchases
1.5% Cashback
Cash Back Cap
Unlimited
MoneySmart Exclusive:

[MoneySmart Exclusive Offer | 1 to 23 July 2024]
Get S$130 Cash via PayNow when you apply for an American Express True Cashback Card and spend a min. of S$500 in Qualifying Spends within the first month of card approval! T&Cs apply.
 
[LUCKY DRAW | 1 to 23 July 2024]
Stand a chance to win a 3 Day 2 Night stay at Capella Ubud, Bali (worth up to USD4,000) or a Samsonite Choca Spinner 68/25 Luggage (worth S$700) when you meet the requirements in the MoneySmart x American Express Lucky Draw!  T&Cs apply.

Valid until 23 Jul 2024

American Express True Cashback Card – 3% cashback in the first 6 months on up to $5,000, and thereafter 1.5% cashback on everything with no limits and no minimum spending. Basically, if you are an HSBC Advance account holder stick with the HSBC Advance Credit Card. If you’re not, go for the AMEX True Cashback Card instead.

Maybank logo
Online Promo
Cashback on Local & Foreign Spend
Up to 3.33%
Min. Spend per month
S$300
Cashback Cap per quarter when you spend S$300 per month
S$30

Maybank Platinum Visa Card – Up to 3.33% cashback on all local spending provided you meet the minimum spending requirement of $300 for every month in a quarter. The HSBC Advance Credit Card is better only if you are an HSBC Advance account holder AND can meet the card’s much higher minimum spending of $2,000 a month.

UOB logo
MoneySmart Exclusive
LUCKY DRAW | Up to 10% Cashback
Cashback on McDonald's, DFI Retail Group, Grab, Shopee, SP and more
Up to 10%
Cashback Cap per quarter
Up to S$500
Min. Spend per month
S$500
MoneySmart Exclusive:

[LUCKY DRAW]
Stand a chance to win a Cartier Santos-Dumont Watch - Large Model, Blue (worth S$6,000) or an Apple 11-inch iPad Air WiFi, 128GB (worth S$899) or a Sony PlayStation 5 SLIM Digital Edition (worth S$669) when you apply and spend a min. of S$1,000 in Eligible Transactions each month for the first two consecutive months from the card approval date. T&Cs apply.
 
PLUS get S$350 Cash Credit from UOB when you are the first 200 new-to-UOB credit card customers in July 2024 who successfully apply for an eligible UOB Credit Card and spend a min. of S$1,000 per month for 2 consecutive months from their card approval date. T&Cs apply.

Valid until 11 Aug 2024

UOB One Card – The minimum spending requirements are complicated, but the card is generous if you can figure them out and fulfil them. Spend at least $2,000 on at least 5 transactions a month in all 3 months in a quarter, and you can get a flat quarterly rebate of $300, which works out to be 5%. Yeah, it’s complicated.

All in all, if you are able to consistently spend more than $2,000 a month, you might want to go for this card instead of the HSBC Advance, whether or not you are an HSBC Advance Credit Card member.

That said, the HSBC Advance credit card is one of the best low-effort cashback cards for big spenders and people who are too busy running a household to track their every expense.

HSBC logo
MoneySmart Exclusive
Earn up to 2.5% Cashback | Instant Activation*
Base Cashback
1.5%
Cashback when you spend more than S$2,000
2.5%
Cashback Cap per month
S$70

What is your go-to credit card for your household expenses? Share your recommendations in the comments!