Credit Card vs. Debit Card EMI | Which is Better - Bajaj Finserv (2024)

FAQs

Credit Card vs. Debit Card EMI | Which is Better - Bajaj Finserv? ›

Opting for a debit card EMI can be beneficial if you prefer to avoid accumulating debt or if you have sufficient funds in your bank account. However, if you are looking for flexibility in repayment and are confident in managing credit responsibly, a credit card EMI may suit your needs better.

The Bajaj Finserv Insta EMI Card stands out as the best EMI card in India, offering instant approval, wide acceptance, and a No Cost EMI option. It provides customers with the convenience to shop for their desired products and services on easy EMIs without worrying about hefty interest charges.

There is no additional benefit to repayment of the principal amount or interest payment before possession in case of Pre-EMI. An interest amount of more than Rs. 2 lakh is paid between 3 and 7 years in both the cases. The loan is paid back much faster through the Full-EMI option compared to the Pre-EMI option.

If you need more than three months to repay the outstanding, opt for EMIs. If you need less than three months, then you should avoid EMIs, as revolving credit can multiply your debt quickly. Also look for alternative options to fund your purchase.

Primarily used for high-value purchases, EMI cards allow you to convert the cost into fixed monthly instalments. They often come with no interest charges but may have processing fees. However, credit cards offer a revolving credit line, allowing you to make purchases and pay later.

The maximum limit of up to ₹3 Lakhs on the Bajaj Finserv EMI Network Card allows you to convert purchases into affordable instalments. This limit depends on several factors but you can get an increase at a nominal charge.

The Bajaj Finserv EMI Network Card is a preferred choice due to its wide acceptance across various partner stores, allowing for easy and hassle-free purchases on EMI. With a high pre-approved limit, flexible tenures, and minimal documentation, it provides a convenient shopping experience.

Generally, credit card EMI interest rate starts from 12.5% per annum and it varies from bank to bank. This incurred interest can eat up customer's savings especially if a longer tenure is chosen. Blocked Credit Limit: The transacted amount is blocked against the credit limit and released upon the payment of EMIs.

Can I use the Bajaj Finserv Insta EMI Card as a credit card? The Insta EMI Card cannot be used as a credit card when it comes to withdrawing money from the ATM or drawing a personal loan against the available limit.

Does debit card EMI affect CIBIL score? ›

Impact on credit score: While debit card EMI does not involve borrowing money in the traditional sense, certain transactions may still impact the individual's credit score. Late or missed payments could adversely affect the creditworthiness of the customer, potentially impacting future borrowing capabilities.

Although EMI on credit cards allows you to pay for big purchases in parts, sometimes it may lead to overspending. If you have too many EMIs, or if the EMI amount is too high, you may struggle to repay it on time. EMIs need to be paid on time every month; failing to do so may negatively impact your credit profile.

EMIs on credit cards can generally be cancelled, but it depends on the bank's policies. You may need to pay the outstanding principal amount along with applicable charges or interest.

Bottom line. Credit cards offer the most benefits and protection against fraud, making them the overall best payment option. However, credit isn't for everyone. If you have a track record of overspending, it may be better to stick with a debit card until you can responsibly manage credit.

Opting for a debit card EMI can be beneficial if you prefer to avoid accumulating debt or if you have sufficient funds in your bank account. However, if you are looking for flexibility in repayment and are confident in managing credit responsibly, a credit card EMI may suit your needs better.

The limit of the Bajaj Finserv EMI Network Card acts as a pre-approved loan. The card helps convert the cost of buying appliances, gadgets, and more into easy and customised instalments. You can also pay in No Cost EMIs on eligible products and make your purchase more affordable.

Rate of Interest

Bajaj Finance Home Loan offers a low interest rate at 8.50% - 15% which is appealing for lower payments, while HDFC Home Loan with its 8.70% - 9.70% might be better for those interested in long-term financial gains.

The highest-paying job at Bajaj Finserv is a Business Head with a salary of ₹76.8 Lakhs per year. The top 10% of employees earn more than ₹15.53 lakhs per year. The top 1% earn more than a whopping ₹40.06 lakhs per year.

It is measured on a scale between 300 and 900, with 900 indicating maximum creditworthiness. The minimum CIBIL Score required for Bajaj Finserv Insta EMI Card is 720 or above. A score of 750 or above is considered excellent and can fetch favourable terms while availing of the Bajaj Finserv Insta EMI Card.