EMI With Interest Cancellation

[vireshverma2594]

I know we can cancel No Cost EMI and still avail the instant discount that they offer to offset the interest component in EMI. However, I want to purchase something where there is no option of No Cost EMI (but additonal 2500 off on regular EMI). What happens if I take this option and later convert EMI to regular spends? How much will I be charged? Will I be charged what was to be the total amount including interest?

For example, say, product cost is 27000.

With EMI, there is an instant discount of 2500, meaning product price becomes 24500. However, there is no option of No Cost EMI. So, the options are (hypothetically):

1. 8500 EMI for 3 months (Total- 25500)
2. 3000 EMI for 9 months (Total- 27000).

In both of these cases, what happens if I take it on EMI but cancel it with the bank later? Will I be charged 22500 or 25500/27000 (depending on the tenure I chose)?

Bank is IDFC for reference.

 

[Kumar93196]

I know we can cancel No Cost EMI and still avail the instant discount that they offer to offset the interest component in EMI. However, I want to purchase something where there is no option of No Cost EMI (but additonal 2500 off on regular EMI). What happens if I take this option and later convert EMI to regular spends? How much will I be charged? Will I be charged what was to be the total amount including interest?

For example, say, product cost is 27000.

With EMI, there is an instant discount of 2500, meaning product price becomes 24500. However, there is no option of No Cost EMI. So, the options are (hypothetically):

1. 8500 EMI for 3 months (Total- 25500)
2. 3000 EMI for 9 months (Total- 27000).

In both of these cases, what happens if I take it on EMI but cancel it with the bank later? Will I be charged 22500 or 25500/27000 (depending on the tenure I chose)?

Bank is IDFC for reference.

I also want to know

 

[D₹V]

I know we can cancel No Cost EMI and still avail the instant discount that they offer to offset the interest component in EMI. However, I want to purchase something where there is no option of No Cost EMI (but additonal 2500 off on regular EMI). What happens if I take this option and later convert EMI to regular spends? How much will I be charged? Will I be charged what was to be the total amount including interest?

For example, say, product cost is 27000.

With EMI, there is an instant discount of 2500, meaning product price becomes 24500. However, there is no option of No Cost EMI. So, the options are (hypothetically):

1. 8500 EMI for 3 months (Total- 25500)
2. 3000 EMI for 9 months (Total- 27000).

In both of these cases, what happens if I take it on EMI but cancel it with the bank later? Will I be charged 22500 or 25500/27000 (depending on the tenure I chose)?

Bank is IDFC for reference.

Whatever you've been charged at the OTP Page will be the amount in credit card after EMI cancellation.

Bank might take cancellation or other fees like GST, hope you're aware.

That's what I understand.

@xywowowvw might answer.

 

[SpiesCan'tCatchMe]

@Pankhuri is the correct person for this question

 

[sxchzy]

never done this so not my cup of tea

 

[Pankhuri]

I know we can cancel No Cost EMI and still avail the instant discount that they offer to offset the interest component in EMI. However, I want to purchase something where there is no option of No Cost EMI (but additonal 2500 off on regular EMI). What happens if I take this option and later convert EMI to regular spends? How much will I be charged? Will I be charged what was to be the total amount including interest?

For example, say, product cost is 27000.

With EMI, there is an instant discount of 2500, meaning product price becomes 24500. However, there is no option of No Cost EMI. So, the options are (hypothetically):

1. 8500 EMI for 3 months (Total- 25500)
2. 3000 EMI for 9 months (Total- 27000).

In both of these cases, what happens if I take it on EMI but cancel it with the bank later? Will I be charged 22500 or 25500/27000 (depending on the tenure I chose)?

Bank is IDFC for reference.

You would be charged the principal amount, whatever that is, without any interest. Caveat being you close the emi asap and the card is not of SBI.

 

[sxchzy]

does this also work for interest emis or only no cost emi

 

[Pankhuri]

does this also work for interest emis or only no cost emi

This work for any emi purchase, online or offline, no-cost one or interest one. Just that be aware that some banks (like SBI) charge a pretty penny to close the loan early but that's about it. It has been confirmed that Kotak, ICICI, HDFC and AXIS, don't charge anything for closing the emi.

 

[sxchzy]

what about citi
any experience with that?

 

[Pankhuri]

what about citi
any experience with that?

Nope. But can call customer care and ask. I got to know about SBI and Axis by just asking their customer care. SBI charges 3.5%+gst of the remaining principal amount.

 

[rayhan12]

This work for any emi purchase, online or offline, no-cost one or interest one. Just that be aware that some banks (like SBI) charge a pretty penny to close the loan early but that's about it. It has been confirmed that Kotak, ICICI, HDFC and AXIS, don't charge anything for closing the emi.

What about OneCard ?

 

[Pankhuri]

What about OneCard ?

Don't have one. Just call their customer care.

 

[VISHESH_BANSAL]

I know we can cancel No Cost EMI and still avail the instant discount that they offer to offset the interest component in EMI. However, I want to purchase something where there is no option of No Cost EMI (but additonal 2500 off on regular EMI). What happens if I take this option and later convert EMI to regular spends? How much will I be charged? Will I be charged what was to be the total amount including interest?

For example, say, product cost is 27000.

With EMI, there is an instant discount of 2500, meaning product price becomes 24500. However, there is no option of No Cost EMI. So, the options are (hypothetically):

1. 8500 EMI for 3 months (Total- 25500)
2. 3000 EMI for 9 months (Total- 27000).

In both of these cases, what happens if I take it on EMI but cancel it with the bank later? Will I be charged 22500 or 25500/27000 (depending on the tenure I chose)?

Bank is IDFC for reference.

First Call IDFC to know if they allow cancellation of "MERCHANT EMI" .

If yes, then Upon Cancellation You will have to pay the Amount which is mentioned in Txn SMS along with GST and Processing Fee if not reversed by Bank.

If no, then Foreclosure Option is always there irrespective of Bank.
In case of Foreclosure, Bank will charge
3-5%(Including GST) of Outstanding Principal Amount at the time of Placing ForeClosure Request.

 

[vireshverma2594]

Can bank refuse to cancel merchant EMI?

 

[sxchzy]

if once emi is processed then yes but you always have foreclosure option

 

[D₹V]

This work for any emi purchase, online or offline, no-cost one or interest one. Just that be aware that some banks (like SBI) charge a pretty penny to close the loan early but that's about it. It has been confirmed that Kotak, ICICI, HDFC and AXIS, don't charge anything for closing the emi.

There is trick for SBI too .

 

[D₹V]

Can bank refuse to cancel merchant EMI?

No, never .

 

[rayhan12]

Don't have one. Just call their customer care.

One card levy charges on EMI foreclosure, experienced yesterday.

 

[Pankhuri]

There is trick for SBI too .

DM karoge ya khule mein batoge guruji ?

 

[Pankhuri]

One card levy charges on EMI foreclosure, experienced yesterday.

What % do they charge? or it is flat rate?