Last Chance to Transfer HSBC Rewards to Airline Partners

By the end of March 2024, RBC will have finished its acquisition of HSBC Canada, which includes transitioning HSBC cardholders to RBC products.

As part of the transition, HSBC Rewards points will be converted into RBC Avion points. RBC has yet to confirm the ratio it will use to convert HSBC Rewards to RBC Avion, although we’re hopeful that we’ll learn more about it in the very near future.

However, we now know that the last day to transfer HSBC Rewards to its three airline partners is February 29, 2024. Therefore, it’s worth taking stock of your transfer options with HSBC Rewards, as you’ll soon no longer be able to convert them into airline miles.

Last Chance to Convert HSBC Rewards to Airline Miles

February 29, 2024, marks the last day on which you can convert HSBC Rewards to miles in one of three airline loyalty programs.

After that, you won’t be able to transfer points into airline miles, and your HSBC Rewards points will eventually be converted into RBC Avion points at an undetermined ratio by the end of March 2024.

RBC has stated that the conversion will be at a comparable value; however, it’s still not clear what the ratio will be. We hope to learn more about the transfer ratio in the very near future.

As a reminder, HSBC Rewards has three airline loyalty programs as transfer partners, with the following ratios;

On the other hand, RBC Avion has four airline transfer partners, with the following ratios:

• American Airlines AAdvantage: 1,000 RBC Avion points = 700 AAdvantage miles
• British Airways Executive Club: 1,000 RBC Avion points = 1,000 Avios
• Cathay Pacific Asia Miles: 1,000 RBC Avion points = 1,000 Asia Miles
• WestJet Rewards: 1,000 RBC Avion points = 10 WestJet dollars

As you can see, British Airways Executive Club and Cathay Pacific Asia Miles are transfer partners with both programs, while Singapore Airlines KrisFlyer is unique to HSBC Rewards, and American Airlines AAdvantage and WestJet Rewards are unique to RBC Avion.

If you have a balance of HSBC Rewards points sitting in your account, it’s worth taking stock of your options now, as you can then make a decision by the end of the month.

By that point, we hope to have learned the conversion rate that RBC will use, which will make the decision of whether to convert your HSBC Rewards or hold onto them much clearer.

Should You Convert HSBC Rewards to Airline Miles Now?

With a deadline now attached to the ability to transfer HSBC Rewards to airline miles, the clock is ticking for Canada to lose one of its transferrable points currencies.

Without knowing the rate at which RBC will convert HSBC Rewards into RBC Avion points, it’s difficult to say whether or not it’s best to transfer points out of your HSBC Rewards account now, or if it’s in your best interest to wait.

We hope to learn more about the conversion rate in the very near future, but until we do, it’s best to know what you can do with your HSBC Rewards points so you can make a decision when the time comes.

It’s worth noting that you can redeem HSBC Rewards points against travel purchases at a rate of 0.5 cents per point. If you’d like to simply redeem your points at a fixed value, this is the easiest way to redeem them.

As noted above, both HSBC Rewards and RBC Avion are transfer partners with British Airways Executive Club and Cathay Pacific Asia Miles. 

Therefore, you can choose to transfer your HSBC Rewards points now or wait until they’re converted into RBC Avion points, and you’ll still be able to access both programs. Again, the only unknown at this point is whether the transfer ratio will be the same, more favourable, or less favourable in the future.

On the other hand, HSBC Rewards is the only Canadian transferrable points currency to partner with Singapore Airlines KrisFlyer. As of March 1, 2024, the only other way to access the program will be by transferring Marriott Bonvoy points, or through US credit cards.

Therefore, if you have your eyes set on eventually booking Singapore Suites, the only way to book it on points is through KrisFlyer, and in this case, it’s certainly worth considering moving your HSBC Rewards to KrisFlyer.

However, it’s important to note that Singapore Suites awards are quite rare, so you’ll want to keep a keen eye on availability and pounce on the opportunity as soon as one presents itself.

Plus, your KrisFlyer miles will expire 36 months after they arrive in your account, which makes it very important to redeem them before they expire forever.

Aside from Singapore Suites, you could also take advantage of the monthly KrisFlyer Spontaneous Escapes deals, which offer a 30% discount on select routes in various classes of service.

For example, the Singapore Airlines fifth freedom route between New York JFK and Frankfurt is often featured, and you can book it in business class for just 56,700 points on a Spontaneous Escapes deal.

You’d need to transfer 165,000 HSBC Rewards points to book it, which would certainly result in great value for your points.

It’s worth noting that RBC Avion is the only Canadian points currency to partner with American Airlines AAdvantage. There are some excellent redemptions available in the program with oneworld airlines, including Qatar Airways Qsuites, as well as competitive pricing for Etihad Airways First Class.

Therefore, if the conversion rate is favourable, you could wind up with access to AAdvantage and the many sweet spots available therein.

Again, there’s no rush to convert your HSBC Rewards points, since we don’t yet know at what ratio they’ll be converted to RBC Avion. At this point, we recommend considering your options and thinking about how you’d like to eventually redeem them.

Once the conversion rate becomes public, we’ll then be able to make more clear recommendations about what to do with your HSBC Rewards points.

Conclusion

February 29, 2024 marks the last day on which you can transfer HSBC Rewards points to airline miles. As of March 1, 2024, Canada will effectively have lost a transferrable points currency, and your HSBC Rewards points will eventually be converted into RBC Avion points at an unknown ratio.

Without knowing the conversion rate to RBC Avion, we recommend thinking about your options with HSBC Rewards at this point. This is especially the case for Singapore Airlines KrisFlyer, which will become much more difficult to access as of March 1, 2024.

We hope to learn more about the rate at which RBC will convert HSBC Rewards to RBC Avion, and we’ll update this article as soon as that information becomes available.