EXHIBIT 12.1

HSBC FINANCE CORPORATION
COMPUTATION OF RATIO OF EARNINGS (LOSS) TO FIXED CHARGES AND TO
COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS

	For the Three-Month Period ended March 31,						Fiscal Year Ended December 31,
	2011			2010			2010			2009			2008			2007			2006
	(dollars are in millions)
Income (loss) from continuing operations	$	(19	)	$	(646	)	$	(1,899	)	$	(7,466	)	$	(2,608	)	$	(4,316	)	$	1,194
Income tax expense (benefit)	193			352			1,007			2,632			1,087			1,060			(674		)
Income (loss) from continuing operations before income tax expense (benefit)	(212		)	(998		)	(2,906		)	(10,098		)	(3,695		)	(5,376		)	1,868
Fixed charges:
Interest expense	674			818			3,023			3,829			5,680			7,098			6,518
Interest portion of rentals(1)	3			5			7			37			37			59			50
Total fixed charges	677			823			3,030			3,866			5,717			7,157			6,568
Total earnings from continuing operations as defined	$	465		$	(175	)	$	124		$	(6,232	)	$	2,022		$	1,781		$	8,436
Ratio of earnings to fixed charges	.69			(.21		)	.04			(1.61		)	.35			.25			1.28
Preferred stock dividends(2)	52			14			57			57			57			58			57
Ratio of earnings to combined fixed charges and preferred stock dividends	.64			(.21		)	.04			(1.59		)	.35			.25			1.27

(1)Represents one-third of rentals, which approximates the portion representing interest.

(2)Preferred stock dividends are grossed up to their pretax equivalents.