Hilton launches first-of-a-kind journey rewards debit card

Two new debit cards which earn rewards points like a credit card have been launched by hotel giant Hilton powered by travel debit card platform Currensea.

The cards are the first of their kind as they are debit cards which work like a normal bank card while earning Hilton Honor rewards points. 

Both of the cards come with an annual fee and low foreign transaction fees.

We look at what the cards offer and how they stack up to reward card giants such as American Express and Barclaycard, the latter of which has a Hilton Honors reward credit card. 

What do the cards offer 

Rob Burgess, of frequent flyer website Head for Points, said: ‘This is genuinley something different.

‘A debit card which works like your existing bank-issued debit card, taking money from your bank account every time you make a transaction, except you earn Hilton Honors loyalty points on every purchase and will pay only 0.5 per cent or 0 per cent when you make transactions in a foreign currency.’ 

There are two versions: the Hilton Honors debit card, which carries a £60 annual fee and the Hilton Honors Plus debit card, which comes with a £150 annual fee. 

The cards are linked to your existing current account – virtually all UK banks participate – and transactions are charged to it as if you used your normal bank debit card. 

Unlike with most rewards cards, there is no APR as they are debit cards not credit cards. 

Both cards come with instant Hilton Elite status (more on this below) and a sign up bonus. 

Hilton Honors Plus Debit card 

For £150 a year, this card gives customers Hilton Honors gold status for as long as they hold the card. 

Gold status gets you free breakfast for two people on every stay outside of the US (worth £30-£50 per day), daily food and beverage credits for stays within the US and a room upgrade if available.

Ordinarily, to get gold status you would have to make at least 20 seperate stays or stay 40 nights within the calendar year at Hilton Honors-participating hotels or earn 75,000 base points to achieve Hilton Honors Gold Status, unless you have an American Express Platinum card.

There is a sign-up bonus of 12,000 Hilton Honors points if you apply by 30 November 2024. It is triggered by foreign currency spending and you need to spend £2,500 in foreign currency in your first six months to receive the bonus.

A huge benefit of this card is that it comes with 0 per cent forreign currency fees. 

Burgess says: ‘The Hilton Honors debit cards work best when used outside the UK, where you can earn up to 4.5 Hilton Honors points per £1 spent.

‘For UK spending (earning 1 to 1.5 Hilton Honors points per £1) it is more rewarding than a typical retailer cashback credit card, which typically rewards you with 0.1 per cent to 0.2 per cent back of your spending.’

Head for Points values a Hilton point at 0.33p. 

Here is a breakdown of the Hilton Honors Plus Debit card rewards earn rate:

• 1.5 Hilton Honors points per £1 spent in the UK
• 3 Hilton Honors points per £1 spent in Hilton properties in the UK
• 3 Hilton Honors points per £1 spent in foreign currency
• 4.5 Hilton Honors points per £1 spent in Hilton properties outside the UK

Burgess said: ‘If you and your partner are doing five or more nights per year in Hilton Honors hotels, paying £150 for gold to get free breakfast on your stays is a good deal. ‘

Hilton Honors debit card

This card carries a lower £60 annual fee, but comes with less attractive benefits than the Honors Plus. 

The card gives card holders Hilton Honors silver status for as long as they hold the card. 

Silver status includes benefits such as 20 per cent bonus points on purchases made directly with Hilton, 15 per cent off at the spa during all-inclusive stays, the fifth night free on reward stays at Hilton.  

There is a sign-up bonus of 3,500 Hilton Honors points if you apply by 30 November 2024. You need to spend £1,000 in foreign currency in your first six months to receive the bonus.

The card comes with a low foreign exchange fee of 0.5 per cent on foreign spending. 

Here is a breakdown of the Hilton Honors Debit Card rewards earn rate:

• 1 Hilton Honors point per £1 spent in the UK
• 2 Hilton Honors points per £1 spent in Hilton properties in the UK
• 2 Hilton Honors points per £1 spent in foreign currency
• 3 Hilton Honors points per £1 spent in Hilton properties outside the UK

Burgess said: ‘There’s nothing to get excited about in terms of benefits, although it is clearly better than having no status at all.

‘The only exception would be if you were planning a five-night Hilton Honors points redemption. Silver status activates ‘five nights for the points of four’ (all Silver, Gold and Diamond members get this) which could lead to a substantial saving on your booking.’

Cardholders of the basic Hilton Honors debit card can upgrade to the Plus card at any time. 

How do they stack up to the Hilton Honors Barclaycard and other competitors? 

Hilton Honors Barclaycard holders can also hold the Currensea issued debit cards.

If you already have a Hilton Honors Barclaycard, which has been closed to new customers for six years, it is probably not worth ditching it and switching for one of these cards now. 

That is because the Barclaycard is free, earns more points for UK spend (two per £1) and gives a gold card if you spend £10,000 per year.

Burgess said: ‘It’s only worth getting Plus debit instead if you find yourself missing the £10,000 target for Gold and want to have the status guaranteed, which you get with the Plus debit card. 

‘Even then, arguably you should pay £150 for the Plus debit card to get the Gold status but keep doing your UK spending on the Barclaycard because it earns more.’

If you have an airline credit card, such as British Airways American Express, Barclaycard Avios, Virgin Atlantic Reward the return offered by the Hilton cards is not as valauble. 

Head for Points values a Hilton point at 0.33p, making one Hilton Honors point per £1 spent in the UK less valuable that 1 Avios or 1 Virgin Point per £1 spent. 

Burgess said: If you currently pay £650 per year for the American Express Platinum card, partially ‘to get Hilton Honors Gold status, you may now decide to switch and save.

‘It will also be of interest to students, the retired and other groups may not have the £20,000 income required for an American Express card for example.’