12 months interest free? How does that work?
When you take out Interest free, it means you will not have to pay any interest on the purchase you made during the promotional period of 12 months. You still have to pay a minimum monthly repayment as you would with any standard credit card purchase, but you pay no interest.
How do I take advantage of interest free?
Applying for interest free is easy and should only take between 5-10 minutes. If you are approved, you can take your new purchase home there and then. Your interest free purchase will be financed with an HSBC Low Rate Credit Card, which will be mailed to you.
If you an existing HSBC credit card holder, making interest free purchases is easy as long as you stay within your credit limit. Simply tell the shop assistant or travel agent you wish to make a purchase on interest free at that participating retailer, and your purchase will be settled in minutes.
Do I need to have a credit card to make an interest free purchase?
Yes, the interest free promotion is only available with a HSBC Low Rate Credit Card.
What is the minimum monthly repayment I will have to make?
When you make an interest free purchase, you must repay a minimum amount every month by the date shown on your statement (please note this is the date HSBC should receive the payment, not the date on which you make the payment).
For our HSBC Low Rate Credit Card, the minimum repayment is the higher of $30 or 3% of the outstanding balance. You do not have to make a repayment if your balance is zero or in credit, or if you are within a payment deferred promotional period.
You do have the flexibility to pay all of, or more, than the outstanding balance if you wish. You should also be aware that the minimum monthly repayment on your statement may not pay off all your outstanding balance within the promotional period.
Can I use my card for everyday purchases as well?
Of course. One of the real benefits is that interest free comes with a credit card. That way, you are able to use your HSBC Low Rate Credit Card for everyday purchases whenever you shop at any of the 24 million retailers worldwide that accept Visa.
What about extra interest free purchases?
Once you are approved and have your HSBC Low Rate Credit Card, you have the ability to make additional interest free purchases, as long as you stay within your approved credit limit. When you’ve found what you want, in one of the participating retailers, simply ask the staff member to make the payment for the new item as an ‘add on’ to benefit from interest free.
Do I have to pay off my interest free purchase before I can use my card again?
No. Once you receive your HSBC Low Rate Credit Card you will have a credit limit, which will often be higher than the amount of your interest free* purchase. As long as you have sufficient available credit left on your card, you can use it for additional every day or interest free purchases up to the full amount of your credit limit.
When will I receive my first statement?
You will receive your first statement within one month of taking delivery of your interest free purchase.
Can I pay off my balance before the end of the promotional period?
Yes, you can pay off the full balance at any time.
Is there an exit fee for early payments?
No, there is no exit fee for early repayments.
What happens if I don’t pay the total amount owing by the end of the promotional period?
At the end of the promotional period, any outstanding balances will incur interest at our cash advance interest rate. Interest is only charged on the remaining promotional balance from the day after the promotion expires and is not backdated to the start of the promotion.
*Lending criteria, terms and conditions, fees, and charges apply and are available on application. See in-store for details. Credit provided by HSBC Bank Australia Limited ABN 48 006 434 162 Australian credit licence 232595. Minimum purchase and conditions apply. Interest free finance is applied only to promotional transactions for the specified period. Balances outstanding at the end of the promotional period will form part of the normal account balances and will accrue interest at the cash advance rate current at the time. Monthly repayments are required and calculated at 3% of the outstanding balance or $30, whichever is higher.