Credit Card-EMI: To avoid interest rates up to 36% on credit cards, now convert the outstanding amount of credit card into EMI like this

[ad_1]

For those whose financial condition is bad, credit card is a good option for payment. Credit cards make it easy to make purchases and make other payments when you don’t have enough cash on hand. Credit cards usually have 30 days to pay off the balance. Unfortunately, many credit card users forget to make their credit card payments before the due date. Due to this, the total outstanding amount increases in interest rate and late payment penalty.

Experts recommend paying off all your credit card loans in one go before the due date as interest rates for most credit cards can go up to 36% per annum. On the other hand, if you are unable to pay off your entire credit card statement balance in one go, you have the option of splitting large purchases into EMIs.

How does EMI work on credit cards?
Credit card EMI operates in a straightforward manner. You can convert it into EMI while buying anything above Rs.10,000 like electrical appliances, furniture, vehicles etc.

The interest rate of the bank, the tenure you choose and the down payment you have to make will be taken into account while calculating the EMI.

If you spend Rs 10,000 as down payment on a Rs 20,000 phone. Remaining Rs. 10,000 can be paid in one year’s installments at 12% interest rate. You will have to pay Rs 1,200 in EMIs over the course of a year.

Key points to keep in mind:

Not every credit card offers EMI option.
EMI purchases reduce the limit on your card.
Choose Online Shopping.
You may be eligible for a prepayment penalty waiver.
Make all your payments on time.

[ad_2]

Source link