Equated Monthly Instalments, more popularly known as EMIs, come very handy when you have to make a purchase of a large sum of money. The convenience of paying back the money to the credit card or the lending company in easy instalments gives the financial freedom to manage funds without putting an extra burden. This facility of EMI so far has been easily available only via credit card. While in some cases there’s an option to avail EMIs on the debit cards too, it’s generally only when the bank or the financial institute has a special tie-up with the merchant of that purchase. Now, Kotak Mahindra Bank Ltd has introduced a facility under which customers will be able to avail EMI option on their debit on any merchant of their choice.
The scheme offered under the Kotak Smart EMI initiative will allow customers to buy anything from fashion accessories to electronics to groceries to almost anything on EMI. The only requirement here is that the transaction should be worth at least Rs 5,000. The EMI conversion process is hassle-free without the requirement of any paperwork. The EMI facility provided by KMBL is subject to RBI guidelines and terms and conditions may change depending upon the change in rules and regulations by the RBI.
How to convert Kotak Mahindra Bank’s debit card purchase into EMI
— When a Kotak Mahindra Bank customer makes a purchase of a minimum of Rs 5,000 online or offline using their debit card, they will receive an SMS from the bank.
— The SMS will feature the options to convert the purchase into an EMI.
— Interested customers can click the link to review transaction details and select EMI tenure and option according to their needs.
— Once the customer makes the required selection and submits their request, the purchase will be converted into an EMI.
— The money spent on the transaction will be reversed to the account and customers will have to pay it back in EMI
This new offering by Kotak Mahindra Bank is seen as its effort to increase its market presence and penetration among the new customers. The offer is expected to get good response from customers especially the one who do not use credit cards.