Credit cards provide easy access to funds and increase the card holder’s purchasing power. Further, individuals can also make big-ticket purchases and pay in EMI payment through their credit cards negating the need to make a lump sum repayment in the next billing statement.

The availability of this payment mode makes it ideal to have a clear idea about how to pay EMI through credit card. Considering a few tips can enable individuals to convert their credit card purchases to EMI and pay off as per convenience.

Some of these pointers include –

• Choice of a suitable tenor,
• Consideration of applicable processing fees, and
• Avoiding multiple purchases in a short duration.

When you opt to pay for your credit card purchases through EMI, you can choose a tenor as per your convenience. The repayment tenor can range up to an extended period of say 24 months. You should take into account that the EMI amount depends on the repayment tenor. Thus, if you opt for a longer tenor, the EMI will be small. Accordingly, a shorter repayment period will result in a higher installment amount, but you will be able to pay off the debt quickly.

Besides tenor, one should consider the processing fees charged by financial institutions if you plan on paying for your purchases through EMIs. Alternatively, individuals can also consider credit cards such as the Bajaj Card which allows you to make purchases in EMIs at minimum to nil additional cost. If you opt to pay through EMIs, you can also use the accumulated reward points on your card to make the down payment.

As for making multiple purchases within a short duration, it is ideal to avoid doing so as it will result in multiple EMIs accumulating in a billing cycle, thus canceling out the benefits of purchases made in installments.

Credit cards also come with several other features like an emergency loan with a long interest-free period. To avail of such benefits, you must opt for a suitable card issuer.