Know The Other Side Of Attractive EMI Schemes

2. Higher Amount Paid

Many people are not aware of how EMIs actually work. They plainly consider that the amount they pay at once is split into several parts, so that it could be paid easily. But it’s not just that. For instance, let’s consider that you by a phone for Rs.10, 000 with the down payment of Rs.1000 and with the monthly EMI of Rs.1500 for 7 months. But by the end of your last EMI you will discover that you have paid approximately Rs.2000, where you end up paying an additional Rs.3500. This is how credit card companies levy hidden charges on every credit card purchases.

3. Default In Paying EMIs

Every month, your credit card will show you all the details of the EMIs you have paid and the other dues that you are yet to pay. If you neglect to make a payment for a particular month or you delay to pay it before the last date, it will be recorded in the statement and eventually it might even result in a negative credit score.

Also Read: 7 Apps That Will Take Complete Care Of Your Finances for You Invest In These 5 Assets To Become Richie Rich