Credit Cards | Instalment plans

How a credit card instalment plan could help you

Instalment plans give you a simple way to spread the cost of your larger purchases.

We'll let you know when you have an instalment plan offer available. When you do, you can choose eligible purchases to repay in regular instalments over a period that suits you - either 3, 6 or 12 months.

We won't charge interest on an instalment plan, just a monthly fee.

The amount of the instalment and fee will depend on the plan amount and period. It'll be the same amount for each month you have the plan.

Features and benefits

Spread the cost with fixed monthly repayments
You could pay less overall with an instalment plan
Select multiple eligible transactions
Personalise your plan to suit your needs

See FAQs for more information

How instalment plans work

You can see and choose eligible transactions to repay on an instalment plan in your HSBC Mobile Banking app. These will be purchases of at least £100 on your latest statement, or which you’ve made on your card since then.

You can choose up to 10 transactions to move to an instalment plan. They’ll need to add up to at least £250, as that’s the lowest amount you can repay on a plan.

An instalment plan will always cost you less than repaying the same spend on your card without a plan, by making fixed monthly payments over the same period.

See our typical instalment plan examples

Download the app

Setting up an instalment plan

We’ll check from time to time if you’re eligible to set up an instalment plan. If you have an offer available, we’ll let you know via the app, or we’ll write to you.

You can check by logging on and selecting your credit card account from the list. If you have an offer available, you'll see an option for ‘Instalments’.

Remember that any instalment plan offer will only be available for a limited time.

You can have up to 6 instalment plans at one time. Your statement will show the monthly instalment and fee for each plan and these will be included in your ‘minimum plus instalment plan payment’. That’s the amount you’ll need to pay to make your minimum payment and keep any plans on your account. If you don’t pay that amount for two months in a row, the newest plan will be cancelled first. That’s because we’ll apply your payments against plans in the order they were added to the account, starting with the oldest.

Frequently Asked Questions

No – we’ll work out your minimum monthly payment in the usual way, but we’ll also show the monthly instalment and the fee for your plan on your statement.

You don’t have to pay the monthly instalment and fee by the due date on your statement (as long as you make at least your minimum payment), but your plan will be cancelled if you don’t for two months in a row.

Yes - if you ask us to when you set up your instalment plan.

If you usually make your minimum payment by Direct Debit, this means we’ll collect your monthly instalment and fee at the same time. We call this the ‘minimum plus instalment plan payment’, and you’ll see it on your monthly statement.

If your Direct Debit is for a fixed amount, you can ask us to collect your minimum plus instalment plan payment if it’s higher than the fixed amount.

Once you have asked us to collect your instalment plan payment by Direct Debit, we'll do that for future instalment plans too.

If you usually pay your full balance each month, we’ll collect your monthly instalment and fee – but not the rest of the amount you owe on the plan. That’s so you can repay the plan over the time we’ve agreed.

Once you have asked us to collect your instalment plan payment by Direct Debit, we'll do that for future instalment plans too.

You’ll always be able to see how much we’ll collect, and when, on your monthly statement.

Yes – you can cancel the plan at any time and for any reason. Just tell us by sending a Chat message in the app.

After the plan is cancelled, the amount you still owe on the plan will move back to your main transaction balance. That means we’ll stop charging instalment plan fees and go back to charging interest at your standard purchase rate. If it’s part way through a month, we’ll refund part of the instalment plan fee - so it’s only charged for the time you’ve had the plan.

You can repay your instalment plan early by paying more than your monthly instalment. But if you owe any other amount on your account, the extra will be used to pay that off first.

We’ll only charge instalment plan fees for the time you have the plan.

Yes – we won’t charge interest on any purchases shown in a statement if you pay your transaction balance by the payment due date. Your transaction balance is the amount you owe excluding any instalment plan.

When you have an instalment plan, you’ll also need to pay that month’s instalment and fee.

You don’t have to pay the monthly instalment and fee by the due date on your statement, as long as you make at least your minimum payment. This could help you avoid a late payment fee or impact to your credit file.

If you don’t make your instalment plan payment one month, that amount will move back to your main transaction balance. That means interest will be charged at the standard rate. The next month, you’ll need to pay the amount you’ve missed plus that month’s instalment and fee to keep the plan on your account – otherwise we’ll cancel it.

When you make a payment, we’ll apply it in this order:

To your minimum monthly payment
To your monthly instalment and fee
To the rest of the amount you owe, excluding your instalment plan
To any instalment plan balance that’s left

This means that, depending on how you’ve used your card and how much you pay in a month, your payment could go towards your instalment plan before other amounts on which we’re charging you interest. So if you’ve used your card to take out cash for example, you could pay more interest on your cash balance than you’d pay if you didn’t have an instalment plan. That's because you won't pay it off as quickly.

Credit Card Instalment Plans

How a credit card instalment plan could help you

Features and benefits

How instalment plans work

Setting up an instalment plan

Frequently Asked Questions

Will it affect my minimum monthly payment?

If I have a Direct Debit set up, will HSBC collect my instalment plan payments?

Can I repay early or cancel an instalment plan?

Will I still get an interest-free period on any new purchases?

What happens if I don’t make an instalment plan payment?

How will my payments be allocated?

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