While shopping online or offline, a good deal is on everyone’s mind. This is what the ‘NO Cost EMI’ feature refers to when it comes with these cards. But, when you have to make EMI payments on a monthly basis, it means you are not charged interest. The benefit of choosing the EMI option for borrowers is that you know precisely how much money you will need to pay toward your loan each month, which makes your personal budgeting easier.Ī credit card EMI lets you buy goods just as you would with a regular credit card. Almost every credit card company in the U.S. So, if you think a typical credit card from your bank is the only good option you have, think again.
With consumers increasingly looking for viable, cheaper credit card alternatives and payment options that still enables them to conveniently and securely make purchases for their favorite products and services, credit card EMIs present a great way to meet that need. But with EMI credit cards, borrowers are usually only allowed one fixed payment amount each month, which is different from variable credit card payment plans where the borrower can pay higher amounts at their discretion. Just as a normal credit card gives you the option of ‘purchase without cash now and pay later,’ an EMI credit card does that too. For example, today, consumer transactions are made better with digital EMI credit cards that leverage the power of the internet and NO Cost EMI to enable contactless payments and fast, convenient, and cheaper transactions.Ī dedicated EMI credit card like the Bajaj Finserv Card in India is a digital payment instrument that offers individuals a simple tool to purchase goods and services on equated monthly instalments (EMIs). Equated monthly instalments essentially means that a borrower makes a fixed payment to a lender on a specified date of each month.
Luckily, new credit solutions have emerged that offer an alternative and better benefits and possibilities to consumers. Unfortunately, this very nature of credit cards has sunk many people into serious credit debt. Compared to debit cards and checks, credit cards allow the holder to take short-term loans without the need to calculate their remaining balance before making a transaction. However, as more and more consumers get comfortable with the rapid advancements and innovation of financial technology (FinTech) that aims to compete with traditional financial methods, people are discovering and embracing new digital forms and avenues of payment.Ĭredit cards offer consumers a load of perks, such as cash back, rewards, air miles, and other benefits. In India, for example, more than 60 million Indians are reported to use credit cards. The situation with credit card usage and credit decline is not so different in other parts of the world, too.
But, the share of adults applying for credit declined. More than 80% of American adults had at least one credit card in 2020, according to the Federal Reserve.