HSBC Business Credit Card Review

Read our HSBC business credit card review and determine if this is the right credit card for your company.

Updated: May 18, 2024
Matt Crabtree

Written By

Matt Crabtree

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A business credit card can help almost any business, from bridging potential business cash flow gaps to putting all your business expenses onto one card. A business credit card can ensure your business and personal spending are separate. So, it’s no wonder you’re looking for one for your business.

There are many business credit cards on the market, and HSBC UK is one of the banks that offers a business credit card.

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In this business credit card review, you will learn more about the products of banking institution HSBC and find out if their business credit card is the right fit for your business.

Who Are HSBC?

HSBC group was founded in 1865 in Hong Kong to help financial trade between Europe and Asia. Since opening, HSBC has grown into a global financial institution serving over 39 million personal, wealth and corporate customers worldwide in 62 countries.

HSBCS provides an array of services for personal and business use. There is a wide range of features to help individuals and companies manage finances and make the most out of their money. HSBC believes in empowering all of their customers through their services.

HSBC provides the following services for businesses:

  • Business current accounts: HSBC offers various business current accounts such as the HSBC'S Kinetic current account and Small Business Banking Account for small businesses, business banking accounts for small and medium enterprises, business currency accounts, and corporate accounts.
  • Savings accounts: You can make the most of your business's profits with an HSBC business savings account such as a Business Money Manager, Business Money Market Account, Clients Deposit Account, and HSBC Kinetic Savings account.
  • Finance and borrowing options: You can take out a flexible business loan, commercial mortgage, business overdraft options, once-back loan schemes and more.
  • Import and export services: There are options to import and export letters of credit and collections. There are buy loans available as well as other services.
  • Payments: HSBCS also provides services for foreign exchange management, ETF BACS and Faster Payments, IBAN and BIC, receiving international cheques and more.
  • Insurance: Protect your business with various insurance covers from HSBC. There is a wide range of insurance policies, such as Buildings and Contents Insurance, Business Income Insurance, Cyber Insurance, Employers' Liability Insurance, Professional Indemnity Insurance, Public Liability Insurance and more.

HSBC Business Credit Card: The Review

HSBC Business Credit Card

HSBC Business Credit Card
Credit Limit
Subject to status
Representative % APR (variable)
22% APR
  • Seamless invoicing, tax and VAT.
  • Flexible solution for larger businesses.
  • No annual fee for the first year.

Representative Example – If you spend £1,200 at a purchase interest rate of 15.9% p.a. (variable) your representative APR will be 22% APR (variable). Your APR and credit limit may vary depending on your circumstances.

  • Annual fees: Free for the first year, then a yearly fee of £32.
  • APR variable: Representative 22% APR variable.
  • Credit limit: Starting from £500.
  • Minimum monthly payment: You must repay 1.5% of the total value of your purchases plus any interest rates for the month. The minimum payment amount is £5.

Representative example: Based on an assumed limit of £1,200, 15.9% annual purchase rate, 22% APR variable representative rate. The annual fee after the first year is £32 per credit card. The commercial credit card is subject to status and availability.

The Commercial card is the only HSBC business card, and it's available to sole traders, partnerships and limited companies. This credit card offers a secure and flexible way to manage cash flow. You can access working capital for your everyday business expenses.

This HSBC credit card has an adjustable credit limit tailored to your growing business's changing needs. You will also benefit from up to 56 days of interest-free credit to help boost cash flow each billing cycle if you continue to pay back your balance in full each month.

Each month, you can choose to either pay back the balance in full or you can pay the minimum amount. However, make sure you aim to pay off the balance at some point so you don't get into long-term debt.

When you make a minimum payment, you will either pay £5 or 1.5% of the total purchase value, plus any interest on purchases and fees. You’ll be expected to pay whichever is the more significant amount.

This card comes with the ability to use extended repayment periods to help manage larger purchases. You can make online payments or use a direct debit to repay the credit card balance.

You can order additional cards for your employees, and with the banking app, you can make purchases for your business simple and secure with employee misuse protection, and there's zero liability for fraudulent transactions.

If you hold an HSBC Business card, rewards such as travel discounts, tools and software are available. The offers may vary depending on the card you use, and you just need to visit recent offers on the HSBC Business Cards Offers page, where new offers are updated as they come through.

Exploring the HSBC Commercial Card Fees

A huge part of taking out a credit card, especially for your business, is considering all the fees that come with the credit card. We've compiled a list of potential fees with the account.

Other charges not previously mentioned are as follows:

  • Cash advances: Every time you withdraw cash from your credit card, there is a 2.99% handling fee; the minimum you'll pay is £3.
  • Late payment: If you've not requested an extended payment period and your monthly repayments are late, you will be charged a late payment fee of £12.
  • Non-sterling transaction fee: Depending on the transaction type, you may charge either a non-sterling transaction fee of 2.99% of the transaction or a cash fee of 2.99% and in some cases, you may charge both.

On the HSBC website, you can check your eligibility for a Commercial credit card. You can manage your credit card via the HSBC UK business banking app, allowing you to manage business finances via your phone as it's available on iOS and Android devices.

Benefits and Drawbacks of an HSBC Business Credit Card

Like any line of credit, taking out a business credit card has pros and cons. We've listed them below, so you don't have to search for them.

Benefits

✔️ First-year free: You don't have to pay for the account for the first year of opening the credit card account.

✔️ Interest-free period: You will get 56 days of interest-free credit if you repay the balance on time.

✔️ Accessible funds: You can manage HSBC credit cards via online banking. You can easily switch from your current account to your credit card account.

✔️ Widely accepted: HSBC credit cards are widely accepted in the UK and overseas.

✔️ Additional cards: You can request additional cards for your employees. You can track all company spending from one account, even with multiple cards.

✔️ Contactless payments: The Commercial Card is contactless, so you can easily make business purchases up to £100 by simply tapping your card on the card reader.

Drawbacks

❌️ HSBC business current account holders only: You must have a business account with HSBC to apply for the HSBC credit card.

❌️ Credit history may affect eligibility: If you, or the business, have a bad credit score or a poor credit history, your application will not be accepted.

HSBC Business Credit Card: The Verdict

The key features of the Commercial card are no annual fee for the first year, 56 days interest-free each billing cycle if you repay the balance on time, and if you need a little extra time to repay larger purchases, you can ask for a repayment extension.

So, if you’re looking for a business card with payment flexibility and interest-free periods, the HSBC Commercial Card may work best for your business. 

Related Guides:

FAQs

Does HSBC UK Offer Business Credit Cards?

What Fees Come With the HSBC Commercial Card?

What Are the Benefits of the HSBC Commercial Card?

What Are the Drawbacks of the HSBC Business Card?

Who Can Apply for a Commercial Card?

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