While choosing the option of EMI on your credit card, keep these things in mind, you will be in profit


Credit Card EMI: Buying something expensive with a credit card is considered a good option. Under the credit card EMI scheme, purchases above Rs 2,500 can be converted into equated monthly installments over a specified period.

Through this scheme, you can avoid making the entire payment in one go. You can opt for this option if you feel that you can pay the EMI regularly. But to choose this option, some important things related to credit EMI should be known.

Get complete details of credit card

  • Although most of the credit cards offer EMI facility, but still take information about whether your existing or if you are taking a new card, then it has this facility or not.
  • Actually, banks have different policies regarding credit card EMI. Therefore, what kind of benefits are available on your card and what kind of charges are applicable should also be known.

Negotiation on Processing Fee

  • The bank charges you a one-time processing fee for opting for credit card EMI.
  • The processing fee is a small percentage of your total purchase amount or a fixed amount depending on your credit card.
  • If you have a good repayment history and have been a loyal customer of the bank for many years, then you can negotiate the processing fee with the bank.

Total credit limit gets reduced

  • The amount of shopping you want to convert into EMI gets reduced from your credit card.
  • If you have bought something worth 50,000 and your total credit limit is 100000 rupees, then 50 thousand rupees will be reduced in it.
  • As you keep paying the EMI, your credit limit will increase.

Many facilities are available when shopping online

  • Many types of offers and discounts are available when shopping from online platforms with credit cards. There is also no cost EMI, an opportunity to choose different EMI tenures to repay the loan.

Make full fement on time

  • It is important to make full payment of your EMI on time. Failure to do so will result in penalty and additional interest being paid.

prepayment fee

  • Many banks charge a prepayment fee for credit card EMI. You have to pay a prepayment charge on the payment of the remaining principal amount.
  • If you want to take advantage of credit card EMI, then ask the bank about the prepayment charge. If prepayment charges are being charged, then you can talk to the bank to eliminate it. Banks do this only if you are a loyal customer of the bank and have a good credit history.