Date：18 Feb 2011An Amendment to the Credit Card Terms and Conditions

With the amendments to the law, HSBC has made certain revisions to the Credit Card Terms and Conditions. The amendments shall be binding on you if you continue to use or retain your HSBC credit card after the effective date. Please note your right of termination under clause 20 of Credit Card Terms and Conditions.

Credit Card Terms and Condition
Original Terms and Conditions Amended Terms and Conditions
Article 7:　Annual Fee
1. Cardholder shall pay the annual fee within the requested period after receiving the credit card unless HSBC agrees to remove or deduct the annual fee. HSBC may, without prior notice or warning, terminate the terms and condition or terminate the right to use the credit card. 1. Cardholder shall pay the annual fee within the requested period after receiving the credit card, except for waiver and discount annual fee. (Please find detailed information for annual fee in the credit card application.).....
Effective Date：2011/4/27
Article 15:　Revolving Credit
4.In the event that the Cardholder fails to make the minimum required payment by the payment due date, the Cardholder will be charged revolving interest pursuant to the third paragraph of this Article and imposed a default penalty fee. The default penalty fee is calculated as follows (In the event that the Cardholder violates the agreement and fails to make the minimum required payment by the payment due date of each month for over
3 terms, the default penalty will be charged utmost for 3 consecutive terms.):
In the month of default or late payment, the default penalty fee imposed is TWD500. When the cardholder defaults or fails to make the minimum payment for 2 consecutive months, the default penalty fee imposed is TWD600. In the event that the cardholder fails to make the minimum payment by the payment due date for 3 or more consecutive months, the default penalty fee imposed is TWD700. The cardholder whose outstanding balance is below TWD999 on a monthly basis will not be imposed a default penalty fee.

For example 1: Mr. Chang was using revolving credit in the previous month.
The closing date for Mr. Chang’s credit card statement is December 21, and the payment due date is January 8 of the next year. The accumulated balance for the previous term is NT $19,600. If Mr. Chang pays NT$ 10,000 on January 3, has cash advances of NT$ 10,000 on January 12 and spends NT$ 27,000 on January 15, for which the accounting date is January 17. If he spends NT$ 14,200 on January 17, for which the accounting date is January 19. The revolving interest of the January 21 statement is NT$ 228. The calculation is as follows (in this example, the annual percentage rate is 19.929％):

12/22~1/02
NT$ 19,600×19.929％/365×12 days＝NT$ 128.42
1/03~1/21 (NT$19,600－NT$10,000)×19.929%/365×19days =NT$99.59
NT$ 128.42 + NT$99.59 = NT$228.01

[The spending of NT$ 41,200 on January 15 and January 17 is the spending of the current term, and the cash advance of NT$ 10,000 made on January 12 belongs to current term as well, which will not be included in the principal for calculation of the revolving interest. If revolving credit is exercised in the next term, the said spending and cash advance will be included in calculation for revolving interest of the next term.]

For example 2: Mr. Chang has paid off his balance in the previous month.
The statement date for Mr. Chang’s credit card is December 21. He spends NT$ 2,000 on November 29, for which the accounting date is December 1. At the end of the period, on 21 December, there is NT$2000 in his balance outstanding. Mr. Chang pays NT$ 1,000 on January 3, takes a cash advance of NT$ 10,000 on January 12 and spends NT$ 27,000 on January 15, for which the accounting date is January 17. He then spends NT$ 14,200 on January 17, for which the accounting date is January 19. In this case, the revolving interest of the January 21 statement is NT$46. The calculation is as follows (in this example, the annual percentage rate is 19.929％):
12/1~1/2 NT$2,000×19.929%/365×33 days =NT$ 36.03
1/3~1/21 (NT$2,000-NT$1,000)×19.929%/365×19 days =NT$ 10.37
NT$ 36.03 + NT$ 10.37 = NT$46

[The spending of NT$ 41,200 on January 15 and January 17, and the cash advance of January 12 are all counted in the current term, and no revolving interest will be charged. If revolving credit is exercised in the next term, spending and cash advance will be included in calculation of interest in the next term.]

Example:
The closing date of Mr. Chang’s credit card statement
is 18 Jan, and the payment due date is 5 Feb.
Mr. Chang receives his statement on 21 Jan with the following items: total outstanding balance of TWD19,600, minimum payment of TWD1,000, revolving interest charge of TWD228 and Cash Advance Transaction fee of TWD450.

If Mr. Chang fails to make the minimum payment of TWD1,000 by 5 Feb, Mr. Chang will be imposed a default penalty fee of TWD500 on his Feb statement. 		4.In the event that the Cardholder fails to make the minimum required payment by the payment due date, the Cardholder will be charged revolving interest pursuant to the third paragraph of this Article and imposed a default penalty fee. The default penalty fee is calculated as follows (In the event that the Cardholder violates the agreement and fails to make the minimum required payment by the payment due date of each month for over
3 terms, the default penalty will be charged utmost for 3 consecutive terms.):
In the month of default or late payment, the default penalty fee imposed is TWD300. When the cardholder defaults or fails to make the minimum payment for 2 consecutive months, the default penalty fee imposed is TWD400. In the event that the cardholder fails to make the minimum payment by the payment due date for 3 or more consecutive months, the default penalty fee imposed is TWD500. The cardholder whose outstanding balance is below TWD1000 on a monthly basis will not be imposed a default penalty fee.

Revolving interest of unpaid outstanding balance calculation example:
Mr. Chang has paid off his balance in the previous month. The statement date for Mr. Chang’s credit card is September 3 and the payment due date is September 21. The revolving interest rate is 19.929%.
He spends NT$30,000 on August 20, for which the accounting date is August 22.
He also spends NT$10,000 on September 1, for which the accounting date is September 3.
9/3 statement detail:
1. Total outstanding balance: NT$40,000 (=NT$30,000+NT$10,000)
2. Minimum payment: NT$4,000 (=NT$40,000*10%)
Mr. Chang pays NT$500 on September 18. The remaining outstanding balance is NT$39,500(=NT$40,000-NT$500)
10/3 statement detail:
1. Revolving interest: NT$861 (=NT$193.38+NT$668.57)
8/22~9/2 (NT$30,000-NT$500)*19.929%/365*12days = NT193.38
9/3~10/3 (NT$30,000-NT$500+NT$10,000)*19.929%/365*31 days = NT$668.57
2. Default penalty fee: Because Mr. Chang fails to make the minimum payment of NT$4,000, Mr. Chang will be imposed a default penalty fee of NT$300 for the first delinquent month.
3. Total outstanding balance: NT$40,661 (=NT$39,00+NT$861+NT$300)
4. Minimum payment: NT$5,661　(=$3500+[(40661-3500-861-300)*2%(Calculated as NT$1,000 if less then NT$1,000)] +$861+ $300)
Effective Date：2011/4/27
(Penalty fee terms effective date: 2011/3/31)

Credit Card Terms and Conditions Additional Clause – Credit Card Installment Plan Terms and Conditions　　Effective Date：2011/4/22
  1. Credit Card Installment Plan (“installment plan”) only applies to customers holding any primary credit card issued by HSBC Taiwan (“cardholder”). Corporate and Business credit cards do not qualify for participation in installment plan.
  2. The cardholder may apply for the following installment plans if qualified:
    (1) Post Installment: If the cardholder’s statement exceeds NT$3,000, the cardholder may apply for Post Installment to convert any single transaction above NT$1,000 into equal monthly installments for 3, 6, 12 tenors.
    (2) Statement Installment: If the cardholder’s statement exceeds NT$3,000, the cardholder may apply for Statement Installment to convert the entire statement amount into equal monthly installments for 3, 6, 12, 18, or 24 tenors.
  3. The monthly fee shall be 0.45%~0.90% of the approved installment amount. The annualized percentage rate (APR) shall be: 8.80%~16.13% for 3 tenors, 9.20%~18.29% for 6 tenors, 9.82%~19.37% for 12 tenors, 10.00%~19.57% for 18 tenors, and 9.82%~19.37% for 24 tenors. For example, if the approved installment amount is NT$100,000, for 12 tenors and with monthly fee rate 0.45%~0.90%, total fee charged shall be NT$5,400~NT$10,800 and the APR shall be 9.82%~19.37%. Remark: 1. The APR is calculated according to the method set out in the relevant guidelines referred to the Authority. HSBC's decision in all matters relating to the installment plan shall be at our absolute discretion and shall be final and binding on you. The precise APR binding on each customer shall be based on respective product and credit conditions. 2. The APR does not equal to the installment fee rate. 3. The APR is calculated on the basis of 2010/12/27.
  4. Installment Plan is only applicable for retail transactions, not valid for utility fees, Cash Advance, monthly payment of Loan on Card, spending over credit limit (including spending during temporary credit limit increase period), annual fee, revolving balance, revolving interests, default penalty fee, handling fees of card re-issuance, Cash Advance, postal transfer, retrieving the copies of signing bills, other quasi-cash transactions, risk-based transactions, prepaid expenses, other installment plan transactions and such other transactions that HSBC may determine.
  5. A one-time processing fee shall be charged on the first month of approved installment plan. The processing fee may also, under HSBC’s discretion, be charged by installments and will be regarded as monthly minimum payment. In the event that the cardholder chooses to pay the processing fee by installments, the cardholder may at any time during the installment period repay the full installment amount, subject to payment of an early settlement fee of NT$300.
  6. The approved installment amount shall be settled in NT dollar. Transactions carried out in foreign currency will be processed based on the converted NT dollar amount of merchants.
  7. HSBC accepts no liability for the goods and services purchased with HSBC Credit card and placed under the installment plan. Any complaints or comments in relation to any goods or service purchased are to be directed to the manufacturer or supplier and shall not be the plea to repay the bill.
  8. HSBC will pay to the merchants at a time based on the applied amount. The cardholder shall pay the approved amount by installments (If the installment amount cannot be divided into equal monthly installments, you agree to pay the difference together with the first Installment.) The monthly installment amount and the monthly fee shall be listed as credit card minimum payment and shall be paid before the payment due date.
  9. In the event the monthly installment amount is not paid in full before the payment due date, or the credit card is suspended during installment period, HSBC may, without prior notice or warning, terminate the installment plan and charge revolving interest and penalty fee of the remained principal in accordance with Credit Card Terms and Conditions.
  10. Payments made to the credit card account are applied in the following order of priority, namely, annual fee, fees (including default penalty fee), interest charges (including but not limited to revolving interest), monthly installment amount, Cash Advance, and general transactions. If the credit card statement is overpaid, the overpaid amount will be listed as premium in the statement of next month and will not offset the remained principal in advance.
  11. All applications for installment plan must be made known to HSBC 3 days before the payment due date. If the cardholder already uses direct payment, the request must be made 8 days before the payment due date. Cardholder may, via written notice or phone, inform HSBC to cancel the installment within 7 days after applying for installment plan.
  12. HSBC reserves the right to approve or reject the application, and has the final decision on the installment amount, tenor, processing fee, and the eligible criteria. In the event of any inconsistency between these Terms and Conditions and the Credit Card Terms and Conditions, the Credit Card Terms and Conditions shall prevail.
  13. HSBC reserves the rights to amend, change, and cancel installment plan at any time with appropriate notice.

Top

Privacy and Security   |   Terms of Use   |   Hyperlink Policy   |   Online Security   |   Form Download   |   FAQ

© Copyright. HSBC Bank (Taiwan) Limited 2013. All rights reserved.