Debit Card: How does Debit EMI work?

Getting a credit card is not always easy as it requires a good credit score,however, if you want to make the purchase using EMI, you can still do it without having a credit card. You can use your debit card to make any purchase above the balance in your bank account by using the overdraft facility of your debit cards—this facility to make the payment in easy installments known as Debit EMI.

How does Debit EMI work? 1. Several banks such as HDFC, SBI, Axis, ICICI, Federal and Kotak Mahindra allow you to avail the pre-approved overdraft facility on your debit cards. 2. You can use the debit EMI option on merchant websites such as Flipkart, Amazon, Paytm, Makemytrip etc. 3. Banks automatically deduct the EMI every month from the bank account. 4. To avail the debit EMI on your debit cards, you need to make a minimum purchase, which varies from bank to bank. 5. While you can avail the zero-cost EMI, with no extra charges; however, under the zero-cost EMI, banks will automatically adjust the interest amount in the purchase amount. Zero-cost EMI is available on specific products. 6. If you want to close the EMI facility on your debit cards before the determined tenure by paying the penalty charges. 7. You can choose the tenure of paying the EMI ranging between 3 months to 12 months. Read more about: How Does a Debit Card Works?

What is Debit Card and How to use it?

A debit card is a plastic payment card to make any transaction at the Bank ATM or to the merchant. Unlike another plastic card like a credit card any transaction done through a debit card transfers the money from the bank account of a cardholder.

A debit card offers the following benefits to card users.

1. With the debit cards, it has become possible to withdraw the cash 24*7.
2. A debit card has undoubtedly reduced the risk of money loss.
3. A debit card is easy to carry anytime and can be issued free of cost.
4. It can be used conveniently at our comfort zones for ATM withdrawals, Online shopping and making payment through Point-of-sale machines.
5. With the quick transactions and several bonuses and rewards, the debit cards have indeed become the preferred choice for making transactions.

Using and paying with debit cards:

A virtual debit card is used for online shopping, paying rents and other utility bills, ordering food etc. It can be used at the payment gateway by entering details such as Account number, Expiry date and CVV number. To use debit cards in the swipe machine, you will be asked to enter your debit card Pin after the merchant swipes the card in the swiping machine. The transaction is completed as you press enter in a few minutes. A debit card can also be used at ATMs to withdraw money from the bank account.

Read more about: What is Debit card and how to apply for debit card?