It’s bad news if you’re a miles earner holding HSBC credit cards in Singapore, with the bank revealing that it is devaluing the transfer ratio from HSBC Rewards points to Singapore Airlines KrisFlyer miles from 16th January 2025, with 20% more points needed for transfers made from that date onwards, for the same miles return.
Assuming, like many of our readers, you convert to KrisFlyer miles, this will see credit cards like the HSBC Revolution have their bonus rate effectively slashed from 4 mpd to 3.33 mpd.
Similarly, the HSBC TravelOne card’s earn rates will be reduced from 2.4 mpd on foreign currency spend and 1.2 mpd on local spend to 2 mpd and 1 mpd respectively, again assuming you convert to KrisFlyer miles.
These changes represent a 16.7% reduction in the effective earn rate, driven by the requirement for 20% more points to redeem.
HSBC is retaining its current transfer rates for other partner programme conversions, though most of those are already at lousy ratios – as we’ve previously highlighted – making this devaluation for the popular KrisFlyer programme a significant hit.
What’s happening?
In a new notification on its website, HSBC has confirmed that 30,000 HSBC Rewards points will be required for each transfer ‘block’ to 10,000 KrisFlyer miles, instead of the current 25,000 Rewards points, for conversions initiated from 16th January 2025 onwards.
“Effective from 16 January 2025, the number of HSBC reward points required to redeem for 10,000 KrisFlyer miles will be revised from 25,000 to 30,000 HSBC points. Alternatively, you may redeem miles from other airline partners at the rate of 25,000 HSBC points for 10,000 miles.”
HSBC
The good news is there’s one month’s notice before the change takes effect, so you can still benefit from instant HSBC to KrisFlyer transfers right through to 15th January 2025 at the current 2.5:1 transfer ratio.
This effectively kills the miles earn rates on all HSBC cards by 16.7% if KrisFlyer is your Frequent Flyer Programme (FFP) of choice, and in the example of the TravelOne card for general overseas spend that shifts it from being one of the best (2.4 mpd) to one of the worst (2 mpd).
Important: Don’t be confused – HSBC is still awarding the same number of HSBC Reward points per dollar spent on its cards. It’s the transfer ratio to KrisFlyer miles which is effectively devaluing the KrisFlyer earn rate.This will make HSBC the only bank in Singapore that offers transfers to “other” FFPs at a better rate than to the Singapore Airlines KrisFlyer programme.
Here’s how it looks, including the upcoming impact for the KrisFlyer programme.
= Good transfer ratio
= Lousy transfer ratio
HSBC FFP Transfer Partners
| FFP |  |
Transfer Ratio | |
 |
 |
25,000 10,000
25,000
10,000 (till 15 Jan 2025) |
|
|
30,000 10,000
30,000
10,000 (from 16 Jan 2025) |
||
 |
35,000 10,000
35,000
10,000 |
||
 |
25,000 10,000
25,000
10,000 |
||
 |
30,000 10,000
30,000
10,000 |
||
 |
35,000 10,000
35,000
10,000 |
||
 |
35,000 10,000
35,000
10,000 |
||
 |
 |
25,000 10,000
25,000
10,000 |
|
 |
25,000 10,000
25,000
10,000 |
||
 |
50,000 10,000
50,000
10,000 |
||
 |
25,000 10,000
25,000
10,000 |
||
 |
35,000 10,000
35,000
10,000 |
||
 |
 |
25,000 10,000
25,000
10,000 |
|
 |
25,000 10,000
25,000
10,000 |
||
 |
 |
25,000 20,000
25,000
20,000 |
|
 |
25,000 10,000
25,000
10,000 |
||
 |
35,000 10,000
35,000
10,000 |
||
Why are some of these options lousy? Well the transfer ratio effectively reduces the ‘advertised’ miles per dollar earn rate of your card, since that always assumed you are using a 2.5:1 partner, like KrisFlyer.
Here’s how example earn rates look from 16th January 2025 onwards, with KrisFlyer relegated into the 3:1 ratio category, alongside Thai Airways Royal Orchid Plus conversions.
Effective mpd rates by partner
from 16th January 2025
| Partner Ratio |
 HSBC T1 |
 HSBC Revo |
||||
| Local Spend |
FCY Spend |
Bonus Spend |
||||
| 2.5:1 |
1.2 mpd
1.2
mpd |
2.4 mpd
2.4
mpd |
4 mpd
4
mpd |
|||
 |
 |
 |
 |
|||
 |
 |
 |
||||
| 3:1 |
1 mpd
1
mpd |
2 mpd
2
mpd |
3.3 mpd
3.3
mpd |
|||
 |
 |
|||||
| 3.5:1 |
0.9 mpd
0.9
mpd |
1.7 mpd
1.7
mpd |
2.9 mpd
2.9
mpd |
|||
 |
 |
 |
 |
|||
 |
||||||
| 5:1 |
0.6 mpd
0.6
mpd |
1.2 mpd
1.2
mpd |
2 mpd
2
mpd |
|||
 |
||||||
As you can see KrisFlyer miles earning on some popular HSBC credit cards will effectively come with a 17% haircut if you transfer the points on or after 16th January 2025.
(Photo: Adam Moreira)
On the hotel side, HSBC cardholders can make transfers to four different loyalty programmes.
HSBC Hotel Transfer Partners
| FFP | |
Transfer Ratio | |
 |
 |
25,000 5,000
25,000
5,000 |
|
 |
25,000 10,000
25,000
10,000 |
||
 |
25,000 10,000
25,000
10,000 |
||
 |
30,000 10,000
30,000
10,000 |
||
In all cases the transfer ratios shown in the tables above represent the minimum transfer of HSBC Reward points to loyalty programme miles or points.
Over and above the minimum level, with HSBC you can ‘optimise’ transfers to the nearest whole point, rather than having to redeem in same-sized subsequent blocks, like with other banks such as Citi and UOB.
For example, the minimum transfer from HSBC Rewards to KrisFlyer is currently 25,000 points to 10,000 miles, but for larger transfers you can choose any redemption level, provided you redeem in blocks of 5 HSBC Rewards points (e.g. 25,505 points = 10,202 miles, if that’s what you need).
That’s perfect for cashing out on 15th January 2025 itself – just before the transfer ratio gets slashed – but remember to set up a calendar reminder to do so!
Transfers are ‘app-only’
HSBC’s new redemption system is now exclusive to the HSBC SG mobile app, which means you can no longer redeem via phone banking or online banking methods.
If you don’t have the app on your device, you can download it via the links below.
Here’s HSBC’s step-by-step summary of how transfers work via the app for the TravelOne card, as an example.
No conversion fees until further notice
HSBC has been promising that transfers to airline miles or hotel points will be completely free of charge until at least the end of January 2025.
In its latest update, the bank has confirmed that this ‘fee waiver’ is now pseudo-permanent, effective until further notice.
For HSBC Credit Cardholders, the redemption fee for miles/hotel points redemptions will be waived until such time as may be determined by HSBC.
Updated HSBC Rewards Programme T&Cs
That means partner transfers, including to KrisFlyer, remain completely free of charge even until the ratio rise takes effect.
Summary
HSBC’s upcoming devaluation of its KrisFlyer miles transfer ratio is likely to be bad news for miles enthusiasts in Singapore who rely on HSBC credit cards to accumulate KrisFlyer miles.
With a 16.7% reduction in the effective earn rate, popular cards like the HSBC Revolution and HSBC TravelOne will no longer be competitive for those who transfer solely into the Singapore Airlines frequent flyer programme.
While the bank’s transfer ratios for other airline partners remain unchanged, those are often far less attractive to most of our readers.
If a KrisFlyer transfer is your go-to for HSBC Rewards points, do ensure you take advantage of the current 2.5:1 transfer rate on or before 15th January 2025 (transfers are instant), since the new 3:1 ratio comes into effect on 16th January 2025.
(Cover Photo: Shutterstock)