Enjoy the perks of shopping on installment with your HSBC card from the comfort of your home.
FREQUENTLY ASKED QUESTIONS on Zero% Installment, by HSBC:
1.) What is HSBC’s Card Installment Plan? And who can avail of the installment?
HSBC’s Card Installment Plan (HiP) is a feature of your HSBC credit card that allows you to pay credit card purchases made at accredited merchants in fixed monthly installments (“installment”) at zero percent (0%) interest over your preferred repayment period. “Repayment Period” refers to the number of months you have to pay off the purchase amount. It is also commonly called “tenor” or “term.” All HSBC credit cardholders in good credit standing are eligible to purchase on installment.
2.) What do you mean by zero percent interest? And what happens in case my installment transaction amount cannot be divided equally over the chosen tenor or term?
Zero percent (0%) refers to an installment transaction where there is no additional interest or finance charge that is applied to the actual cost of the item you purchased using your HSBC Credit Card’s installment facility over the selected tenor. As such, you only need to pay monthly a fixed amount computed by dividing the purchase amount by the chosen number of months to pay. Monthly Installment Amount at 0% interest = Purchase Amount/No. of Months to Pay.
The system shall make the necessary adjustment on the last monthly installment amount to be posted to your Statement of Account. For example, an installment transaction amount of Php10,000 payable over a 3-month tenor shall be posted to your SOA as follows:
1st of 3 installments = Php3,333.33
2nd of 3 installments = Php3,333.33
3rd of 3 installments = Php3,333.34
3.) Is there a minimum purchase amount for a transaction to be eligible for installment? And what tenors are available?
To qualify, cardholders must satisfy the single-receipt transaction minimum purchase amount prescribed by the merchant. Some merchants may allow cardholders to combine several items in order to reach the minimum purchase amount. The shortest installment tenor we offer is three (3) months to pay. Certain stores may offer longer installment tenors such as 6 months, 9 months, 12 months, 18 months, and above. Please ask the merchant your options before making a purchase.
4.) Are all the items in stores available for purchase on installment? And where can I avail of HSBC’s Card Installment Plan?
Our partner stores determine which items may be purchased on installment. Please ask the merchant your options before making a purchase.
The option to do installment is available at selected appliance centers, furniture stores, department stores, and specialty fashion retail shops. HSBC is continually expanding its network of partner stores so please always ask the merchant your options before making a purchase.
5.) Can I clearly see in my statement of account all installment transactions? My monthly installment amortization? And if I cannot pay the monthly installment amount for the month, will I incur penalty charges?
Yes, it will be reflected in your Statement of Account as a regular purchase transaction with the monthly installment amount and schedule of payment (e.g. 1st of 12 installments) shown. There’s also an installment summary section found at the lower left of your statement.
The monthly installment amount of installment transactions made starting 22 July 2013 will form part of your Minimum Amount Due–which must be fully paid on Due Date. Should you be unable to pay the monthly installment amount by the Due Date, or the full amount of your Minimum Amount Due by the Due Date as indicated in your Statement of Account, your account will become past due and your account will incur finance and late charges.
6.) If I am currently revolving a balance on my card, will I still be charged interest on my monthly installment amount even if I pay it off in full? And can my supplementary card get items for installment?
For installments availed starting 22 July 2013, no finance charges will be incurred on the installment itself if you pay the full Minimum Amount Due on or before the payment due date. Installments availed prior to 22 July 2013 will still incur finance charges if the monthly balance of the card is not fully paid.
Yes. Please note though that all installment purchases made by your supplementary card shall be posted and/or charged to your credit card account.
7.) How much of the installment amount will be applied to my available credit limit? And do I earn Bonus Points for my installment transactions?
You do not have a separate credit limit for installment thus the entire installment amount will be deducted from your card’s available credit limit. Your available credit limit will be replenished as you pay your total due amount each month.
Yes. You earn the bonus points from the time you made the installment transaction.