The market is flooded with all kinds of products across categories, with some of them featuring technology and hardware that would make any enthusiast skip a beat. On top of that, the constant upgrades and iterations of existing products that keep coming out in the market can make anyone wish that they had that new phone, laptop, television set, etc.
Since not everyone may have the extra fund needed to splurge on products, many choose to opt for a loan to get their hands on that latest piece of hardware.
However, not everyone has a credit card, so what about those people? Can they still buy their favorite products on EMI?
Well, the simple answer is ‘Yes’, the world has changed a lot over the years and people no longer require a credit card to qualify for EMIs as there are multiple other options that have cropped up in the last few years that offer EMI without credit card and are much better and simpler in their approach.
In this article, we will look at how a person can buy products on EMI without a credit card, and how to go about it!
Debit Card EMI
Many banks have come up with a new scheme where customers with a long-standing relationship with the bank are offered the option to buy products on EMI using their debit card. Mostly, these are pre-approved and there is no paperwork to fill. Once a person checks their eligibility and if approved, they can start using their debit card to buy their favorite products on EMI. This is a great option, because depending on the bank, you may not require to make a down payment or pay interest charges.
Credit Line Facility
Leading eCommerce platforms these days have postpaid schemes that give selected customers a pre-approved credit line that they can use to buy products from their respective online stores. Although these credit lines are exclusive to the platform itself, they are still a great option since they have almost all of the products in their stores giving shoppers an endless number of options when picking products, they want. The best part is that except for a KYC application, there is hardly anything else the customer needs to fill to activate these services.
Many digital wallets have also jumped into the fray and are now offering preapproved postpaid wallets that give customers a line of credit that they can use to pay for goods and services online as well as offline. They simply need to scan a QR code and choose the pay via postpaid option when the app prompts them to choose a payment option. It works like any other payment gateway with EMI options. Moreover, the user can choose to convert this pre-approved credit line to an EMI while still being able to the remaining amount available to shop as usual.
Buy Now Pay Later Schemes
These are mostly offered by apps that hand out microloans. The amount of credit that you can get depends on your credit score and your source of income. It’s one of the best choices for salaried people as the chances of getting approved are higher when you have a regular income. However, on the downside these are mostly offered at comparatively higher interest rates with shorter tenures; therefore, it’s best to stick with these for items of a lower value.
Now that we have looked at a few of the schemes that you can use to buy products on EMI without a credit card, let’s have a look at the documents that you would need to avail of such services!
Honestly, there is not much to it except for 2 things that you need to go through before qualifying:
- Fill Out KYC: The consumer needs to fill out a KYC form and submit an ID card and address proof. However, this won’t be applicable when opting for the debit card option since the bank should already have those details.
- Credit Check: The loan approver will run a credit check on the customer, and in case it has no flags the loan should in all probability be approved without any issues.
Getting products on EMI without a credit card is no longer unusual as there are so many other options that many people even with a credit card are opting for these schemes rather than using their cards as it’s more convenient.
They may get more benefits as far as interest rates and tenure is concerned than what they would with their credit card provider.
So, if you have been wanting to buy your favorite products lately but didn’t necessarily have the funds to spare, or don’t have a credit card, now you know how to go about it!