Shopping, in today’s day and age, is more than just a functional activity to feed utilitarian purposes - it is also about convenience, ease, comfort, and even leisure. Our needs for home appliances, our dependence on gadgets for daily functions, the frequency of our travels, faster obsolescence of technologies - all of these factors contribute to an increasing pace at which purchases are made. Especially, with the boom of online shopping, the convenience magnifies. Of course, there is a financial aspect to all the purchase transactions, so one has to budget meticulously for such expenditures.
One saviour in this respect has been the provision of being able to make purchases on EMIs or loans - through financial instruments like EMI Card or Credit Cards. These are less messy options than say, a consumer durable loan by nature of the flexibility accorded by them - in order to extend a conventional loan, financial institutions have set protocols, lengthy documentation and arduous procedures for loan applications. The loans often demand collaterals and the approval is rigidly based on the Credit score and the credit history of the applicant. This can systematically exclude or deter a lot of people who think of all this paperwork as a hassle. Some of these problems are addressed by newer products in fin-tech. A conventional credit card lets you buy products with just a swipe, but it also comes with strings attached. A more modern mode of payment is through an EMI card like the Bajaj Finserv EMI Card. Such EMI Cards offer a host of benefits that the traditional credit cards do not. Let us have a closer look at the nuances of both the payment options and understand if it would actually be worth it to ditch your credit card for an EMI Card. To begin with, we look at how the process works for both the options, one by one.
The credit card functions on the basic premise that you can buy now, pay later. This means that you can opt for an EMI option on your credit card and pay for the purchase in equated monthly instalments over a specified, extended period of time. So if you were eyeing that latest phone from OnePlus, you can now own it without having to pay the entire amount upfront. On the surface, it is an appealing offer of convenience. However, because of the interest and processing fees, you end up paying a lot more than the actual price of the product. Credit cards have high-interest rates that are charged on the cost of the product. Credit cards have a stipulated minimum amount to be paid every month as the credit card bill - this amount carries interest on top of the amount of money you owe through your purchases. This stipulation also implies that you need to keep paying the bills until you cancel your credit card or stop using it.
On top of that, in order to secure a credit card, you need to be older than 18 with a regular income, a savings account, and good credit history and a robust credit score. It may seem that the paperwork doesn’t end - in addition to the identity documents to be furnished, credit cards require salary proof and age proof. But it does not end there - you will also be asked to furnish your bills and receipts, financial transactions to ascertain your credit history.
This is where an EMI Card can come in extremely handy to make purchases. Here’s how.
An EMI Card is an advanced online payment instrument to help you shop for the latest products on easy and convenient EMIs on the Bajaj Finserv EMI Store and the partner stores. The Bajaj EMI Card, for instance, allows you to shop across a plethora of lifestyle products ranging from refrigerators, air-conditioners, washing machines, microwave/ovens, water purifiers, inverters/generators; electronics such as smartphones, tablets, laptops, television sets & home entertainment sets, speakers and cameras; home, kitchen & furniture products; fitness, travel and fashion deals.
Essentially, it is a pre-approved loan that gives a certain amount of money to you that you can utilize to make instant purchases and repay conveniently in monthly instalments. The exact amount of the pre-approval for purchases is decided at the time of your EMI card application. Most importantly, the EMIs are based on a No Cost EMI policy. This means that your instalments are interest-free unlike those made on credit cards.
It is clear that an EMI card is a clear winner - it does not levy interest charges in the repayment amount and thus helps you to save money on your purchases. The same amount could get accumulated to a significant sum over a period of time under a credit card transaction.
The Bajaj EMI Card offers a pre-approved loan of up to Rs.1.5 lakh, which has instant approval without any formalities. The tenor of the loan is flexible, ranging from 3 to 24 months. You can choose the tenor that best suits your needs and repayment capacity. There are no hidden charges. You don’t need to pay foreclosure charges on your EMI Card! More than 84,200 stores in India have partnered with Bajaj Finserv. You can shop for big-ticket items like appliances, gadgets and furniture as well as clothes and travel bookings from partner stores like Flipkart, Amazon, MakeMyTrip, Paytm Mall, Yatra, Samsung, Vivo, Choose My Bicycle, Pepperfry, among others.
Having established the functional utility of an EMI card, here’s how you can apply for one. You can apply through the online customer portal.
Step 1: Fill in your personal details
Step 2: Pay one time EMI card fee of Rs.530/- only
Step 3: Schedule an appointment for Document pickup
Step 4: Your Digital EMI card will be activated within 24 hours.
You can apply for an EMI card offline when you purchase gadgets, electronics, or lifestyle products on easy EMIs, through any of the partner stores on the EMI network of Bajaj Finserv.
Thus, with the EMI card, you can buy what you want when you want, without having to pay the whole amount up front and without having to shelve out extra in terms of interest fees.