HSBC +Rewards Mastercard Review 2024

• Cardholders pay an interest rate of only 11.90% on purchases, cash advances and balance transfers.
• The card comes with a very modest annual fee of $25.
• You’ll earn 2 points per dollar spent on dining and entertainment.
• Cardholders earn 1 point per dollar on all other purchases.
• Cardholders can redeem points for travel rewards, gift cards, merchandise and financial credits (e.g. credit on a HSBC savings account).
• There are no annual income requirements to apply for the card.
• The annual fee for the card is rebated for the first year.
• Primary cardholders can extend the manufacturer’s original warranty up to one additional year on eligible products purchased with the card.
• Your eligible purchases can be protected for up to 90 days from date of purchase.
• Cardholders can purchase optional travel and medical insurance for $69 per year.
• You can purchase an additional card for only $10 per year, per card.

The HSBC +Rewards Mastercard is arguably one of the lowest-interest cards on the market, with only a 11.90% interest rate. This low rate, combined with a near-negligible annual fee of $25 and no annual income requirement, makes HSBC’s offering stand out as a promising product for Canadians looking for effective ways to manage their credit card debt.

That said, the card’s rewards potential is not as high as other competitors—only earning 2 points per dollar on dining and entertainment and 1 point per dollar on all other categories. Sure, that there are no spending caps for earnings is a nice touch, but it’s questionable whether that makes up for the lack of earnings.

• You can earn 2 points per dollar spent on eligible dining and entertainment purchases.
• Cardholders have access to some of the lowest interest rates in the market at 11.90% on purchases, cash advances and balance transfers.
• Cardholders that purchase eligible items with the HSBC +Rewards Mastercard, that are later advertised at a lower rate, will be refunded the difference up to $500 per item.

Earning Rewards

The HSBC +Rewards Mastercard might not have the best earnings rate on the market, but it has no spending caps across all categories. Any eligible entertainment and dining purchase earn 2 points per dollar spent, and all other purchases earn 1 point per dollar.

Redeeming Rewards

Similar to other rewards programs, cardholders can redeem their points for a variety of travel, merchandise and gift cards. Where HSBC’s card offers an interesting twist is with its personal finance options. Cardholders can also redeem their points as a credit to the balance, a credit on their HSBC savings account or a credit towards their HSBC mortgage.

Though the rewards system is flexible, it has some confusing aspects. With travel rewards, for example, cardholders have the option to either redeem their points through their Book Travel service or purchase their flight tickets with their card and redeem their points as a statement credit on their card. HSBC does not clearly indicate what the benefits are for redeeming points in either manner, but regardless, redeeming points for travel shouldn’t be this nuanced.

Rewards Potential

Generally speaking, credit cards with limited application requirements (e.g. annual income) and fees come with fewer perks. HSBC’s +Rewards Mastercard is no exception. Based on average Canadian spending, Forbes Advisor Canada estimates that this card will earn approximately $152.15 per year. Note that this estimation takes into account the annual fee of $25.

Compared to other low-interest cards such as the BMO Preferred Rate Mastercard, HSBC blows it out of the water—BMO’s card has no rewards potential but a much lower interest rate. When comparing HSBC’s product to a low-fee reward card like the American Express Air Miles Credit Card, it holds its own: Amex’s card is estimated to earn $146.60 per annum. For a low-interest card, that’s impressive.

• Extended Warranty Coverage: Purchased items that qualify are automatically protected with double the manufacturer’s original repair warranty—up to one year of extra coverage.
• Purchase Peace of Mind: Any eligible purchases made with the HSBC +Rewards Mastercard are protected against theft, loss and damages for up to 90 days from date of purchase.
• Flexible Rewards Structure: Points earned by the cardholder can be redeemed for travel experiences, gifts cards or merchandise and helpful personal finance options—such as credits toward a HSBC mortgage or savings account.

Interest Rates

• Regular APR: 11.90%

Fees

• Cash Advance: 11.90%
• Foreign Transaction Fee: 2.5%
• Annual Fee: $25
• Any other fees: supplementary card fee of $10

HSBC +Rewards Mastercard vs. TD Aeroplan Visa Platinum Card

Though the TD Aeroplan Visa Platinum Card comes with an annual fee of $89—over triple HSBC’s—its earning potential more than makes up for it. TD’s offering can bring in net earnings of over $360 per year. This discrepancy may come as a surprise given that TD’s credit card has less earning potential of 1 point per $1 spent. But the value of Aeroplan points is much higher than HSBC’s counterpart.

While TD’s interest rates are double that of HSBC’s—and HSBC has more personal finance rewards—if you’re looking for better travel rewards, the TD Aeroplan Visa Platinum is a clear winner.

HSBC +Rewards Mastercard vs. PC World Elite Mastercard

The PC World Elite Mastercard carries some similarities to HSBC’s card, such as requiring a high credit score, but that’s about it. PC’s offering carries no annual fee and has an estimated earnings of $278.52—far beyond HSBC’s. That said, PC’s redemption system is a bit more rigid as it does not allow for personal finance redemptions like statement credits, or the ability to redeem flights.

Additionally, PC’s product comes with a host of other benefits such as travel insurance, a concierge service and car rental insurance. These benefits, along with the much higher earnings, put the PC World Elite Mastercard above the HSBC +Rewards Mastercard—even though it has no welcome offer on the table.

HSBC +Rewards Mastercard vs. MBNA Rewards Platinum Plus Mastercard

In the same vein of card type as HSBC’s, the MBNA Rewards Platinum Plus Mastercard is open to many Canadians as it has no annual fee and no income requirements. It also offers a similar reward system: Its MBNA Rewards Points can be redeemed for cash back, travel, gift cards, merchandise and charitable donations.

Both cards also come with similar insurance benefits, like purchase assurance insurance and extended warranty coverage—though MBNA’s card also carries mobile device insurance and rental car coverage.

In terms of earning potential, MBNA’s card fares slightly better. Cardholders can earn 4 points per dollar spent on dining, groceries, household utilities and digital media for the first 90 days—then earning 2 points per dollar up to $10,000 in spending per category. That small difference in earnings puts the MBNA Rewards Platinum Plus ahead.

When determining a rating for individual credit cards, the Forbes Advisor Canada editorial team factors in an exhaustive list of data points. With this card, the scoring model used takes into account factors such as, but not limited to, rewards rates and categories, fees, welcome bonus, and other benefits and features. Keep in mind what may be best for some people might not be right for you. Conduct informed research before deciding which cards will best help you achieve your financial goals.

Given its very low interest rate, low annual fee and no income requirement, the HSBC +Rewards Mastercard is ideal for Canadians struggling to pay off their credit card balance on a monthly basis—and earn a modest amount of rewards on the side. However, the high recommended credit rating does act as a bottleneck for many interested people. The card also offers more for HSBC banking customers with its ability to use points to pay down your mortgage, for instance.

On other hand, if you rarely retain a balance month-to-month and are looking for a robust rewards card, HSBC’s offering likely isn’t a good fit. Its limited earning potential won’t appeal to frequent flyers, for example.

Related: Best Credit Cards To Apply for in Canada