HSBC credit card balance transfer guide

A low rate credit card balance transfer is a popular method to lower your monthly payments and free up money to pay off credit card debt faster and with less interest.

If you're thinking about a balance transfer to or from HSBC, there are a few important factors to consider. Learn how HSBC balance transfers work with this guide.

Transferring credit, store, and charge card debts to HSBC could significantly reduce your interest and monthly repayments.

• HSBC, the international banking powerhouse, has a longstanding track record as one of the most competitive banks in the Australian balance transfer market. Their balance transfer offers have consistently ranked highly on Finty.
• You can transfer debt from non-HSBC credit, store, or charge cards to HSBC at the introductory interest rate.

Most banks advertise balance transfer promotions at 0% p.a., which is significantly lower than the standard interest rate Australian credit cards charge.

Remember that even with a 0% balance transfer, you are still required to make the minimum monthly payment (usually around 2% of the owed balance).

Follow this step-by-step process to transfer debt from your HSBC credit card to another bank.

Step 1: Choose a new balance transfer card

These are some of the most important things to consider when comparing offers.

• Interest-free balance transfer. 0% p.a. is available from most banks.
• A long introductory period. With most balance transfers being offered at 0% p.a., the duration of the introductory period is crucial. A longer introductory offer is generally preferred.
• A small balance transfer fee. A one-time fee is common, especially on balance transfer offers with a longer interest-free introductory offer.
• The balance transfer limit. The new card's credit limit does not solely determine the amount you can transfer. Most banks also define how much of your approved credit limit that can be used for a balance transfer.

Step 2: Check if you’re eligible

Each bank has its own credit risk profile and set of criteria, which they evaluate regardless of the card type.

• Your earnings. Most credit cards require a minimum income as part of their criteria. While low rate cards typically have a minimum income attainable for most people, platinum, black, and metal cards tend to have a much higher minimum requirement.
• Your credit score. Most banks require the applicant to have a good credit score or better, with no recent missed repayments, defaults, or rejected credit applications.
• Your status. Temporary residents can apply for a credit card with most banks with limitations that do not apply to Australian citizens or permanent residents.
• 18+ years old.

Step 3: Apply

Applying for a new card is fairly easy and doesn’t take very long, although the bank may ask you to provide a few things.

• Photographic proof of ID, e.g. driver's licence.
• Details on your source of income, i.e. employment status, how long you’ve worked there, etc.
• Balance transfer details, including what bank to transfer from, account number, and the amount to transfer.

Existing HSBC customers can transfer balances from non-HSBC credit, charge, and store cards. However, the standard balance transfer rate will apply instead of HSBC's introductory balance transfer offer. Despite not being eligible for the introductory rate, you may still save money if the balance transfer rate is lower with HSBC, and you can eliminate paying multiple annual card fees.

To request a balance transfer, log in to your online banking or call HSBC's customer service number. You can use up to 90% of your current HSBC credit card's approved credit limit for balance transfers.

It is not possible to transfer a balance between HSBC cards.

Alternatives

• If you're attempting to transfer your balance from a HSBC credit card to your current HSBC card, which is not possible, compare non-HSBC balance transfer options and transfer to another bank instead.
• Another option worth considering is consolidating debt using a personal loan. Although their interest rates may not be as low as those offered by an introductory balance transfer card, they allow you to spread out payments over a longer period.an

How long does it take to transfer a balance from HSBC to a credit card with another bank?

Most banks will give you their decision on your application within 60 seconds, although this is typically conditional. Once approved, your new card will be delivered about one week later. It can take up to two weeks to process the balance transfer.

Do you have to close your HSBC credit card account after the balance has been transferred?

You do not have to close your HSBC credit card once you have transferred the balance from it. HSBC won’t close your account automatically. You can only close an account after paying the balance in full.

Can you transfer a balance from a HSBC credit card to a HSBC credit card?

No. You cannot transfer a balance between HSBC credit cards.

Can you transfer a balance from a personal loan to a HSBC credit card?

No. It is not possible to balance transfer from a personal loan to a HSBC credit card.

Can you transfer a balance from a buy now pay later account to a HSBC credit card?

No. It is not possible to balance transfer from a buy now pay later account, e.g. Afterpay, Zip, Klarna, to a HSBC credit card.

Can you transfer a balance from a store card to a HSBC credit card?

Yes. You can transfer a balance from a store card such as those from Coles and David Jones to a HSBC credit card.

Can you transfer a balance from a charge card to a HSBC credit card?

Yes. You can transfer a balance from a charge card such as those from American Express to a HSBC credit card.

Can you transfer a balance from an overseas card to a HSBC credit card?

No. It is not possible to transfer a balance from an overseas card to a HSBC credit card.

How long does it take HSBC to process a balance transfer?

It takes HSBC up to 7 business days to process a balance transfer after application approval.