Electronics:
- Televisions (most popular)
- Laptops and computers
- Mobile phones
- Cameras
- Gaming consoles

Appliances:
- Refrigerators
- Washing machines
- Air conditioners
- Microwave ovens
- Water purifiers

Furniture:
- Sofas and beds
- Dining tables
- Wardrobes
- Mattresses

Others:
- Gym equipment
- Musical instruments
- Power tools
- Inverters and batteries

At Store Purchase Flow:
1. Select product
2. Choose EMI option at checkout
3. Provide KYC documents
4. Instant approval (2-5 minutes)
5. Down payment (if any)
6. Walk away with product
7. Pay EMIs monthly

Providers:
- Bajaj Finserv
- Home Credit
- HDFC Bank
- IDFC First
- Tata Capital

Features:
- Store tie-ups
- Instant approval
- EMI card/pre-approved limits
- 3-24 month tenure
- Interest: 0-24% p.a.

How It Works:
- Buy on credit card
- Convert to EMI (at checkout or later)
- Card limit blocked for tenure

Features:
- No new application
- Use existing card
- Interest: 12-18% typically
- 3-24 month options
- Processing fee may apply

Reality Check:
- Advertised as 0% interest
- Actually, discount forgone
- Or interest included in price
- Processing fee may apply

Example:
Product MRP: ₹50,000
Cash Price: ₹45,000 (10% discount)
No Cost EMI: ₹50,000 over 6 months
"Hidden" Cost: ₹5,000 (lost discount)

Growing Option:
- EMI on debit card
- Pre-approved limits
- Works like credit card EMI
- Less common but expanding

Banks Offering:
- HDFC Bank
- ICICI Bank
- SBI
- Axis Bank

Method 1: Discount Forgoing
MRP: ₹60,000
Cash Discount: ₹6,000
Cash Price: ₹54,000
No Cost EMI: ₹60,000

You Pay Extra: ₹6,000
That's Your "Interest"

Method 2: Interest Pre-Loaded
Actual Product Cost: ₹50,000
Price with Interest: ₹53,000
EMI: ₹53,000/6 = ₹8,833
Shown as "No Cost EMI"

Hidden Interest: ₹3,000

"No Cost EMI" Offer:
Product: ₹40,000
EMI: ₹6,667 x 6 months
Processing Fee: ₹999 + GST = ₹1,179

Effective Cost:
Total: ₹40,000 + ₹1,179 = ₹41,179
Interest Rate: ~8.8% p.a.

Not Really "Zero Cost"!

Formula:
True EMI Cost = (Total EMIs + Fees) - Cash Price

Example:
Cash Price (with discount): ₹45,000
No Cost EMI Total: ₹50,000
Processing Fee: ₹800

True Cost: ₹50,000 + ₹800 - ₹45,000 = ₹5,800
True Interest Rate: ~25% p.a.!

Requirements:
- Valid credit card
- Sufficient available limit
- Card in good standing
- No payment defaults

Pre-Approved Limits:
- Existing relationship customers
- Good credit history
- Salary account with same bank
- Previous EMI track record
- EMI card holders

EMI Card Features:
- Pre-approved credit limit
- Use at partner stores
- No documents at purchase time
- Quick checkout
- Multiple purchases on same limit

Popular EMI Cards:
- Bajaj Finserv EMI Card (most widespread)
- IDFC First EMI Card
- Home Credit Card

Features:
- Limit: ₹15,000 - ₹4,00,000
- 1.25 lakh+ partner stores
- Online and offline use
- 3-24 month tenures

How to Get:
1. Check pre-approved offer
2. Apply online/store
3. KYC verification
4. Card issued
5. Use at partner stores

Tips:
✓ Don't use full limit
✓ Check interest rate each purchase
✓ Compare with cash price
✓ Avoid unnecessary purchases
✓ Track all running EMIs

How It Works:
1. Make purchase on credit card
2. Select EMI at checkout
3. Choose tenure
4. Merchant may give additional discount

Advantage:
- Instant conversion
- Sometimes better rates
- Merchant-specific offers

Convert Later:
1. Make regular card purchase
2. Wait for transaction to post
3. Convert to EMI via app/net banking
4. Choose tenure
5. EMI replaces full amount

Available:
- Usually within 30 days of purchase
- Some banks allow older transactions

Good Situations:
✓ Essential purchase (fridge, washing machine)
✓ True no-cost EMI (verify!)
✓ Emergency need
✓ Cash flow management
✓ Credit building

Bad Situations:
✗ Impulse purchase
✗ Upgrade when current works
✗ High interest rate
✗ Already overextended
✗ Uncertain income

Before Purchasing:
1. Check cash/upfront price
2. Check total EMI cost
3. Add processing fee + GST
4. Compare: Is EMI really cheaper?

Decision:
- If difference < 5%: OK to consider EMI
- If difference > 10%: Pay cash if possible
- If > 15%: Definitely avoid EMI

At Store:
- Ask for cash discount
- Compare across stores
- Check online prices
- Ask for processing fee waiver
- End of month: Better deals
- Festive season: Best offers

Example Negotiation:
"I can pay cash for ₹42,000 or take EMI at ₹45,000.
Can you match the cash price on EMI?"

Shorter Tenure:
- Higher EMI
- Lower total interest
- Recommended if affordable

Longer Tenure:
- Lower EMI
- Higher total cost
- Only if cash flow tight

Sweet Spot:
- 6-9 months usually best
- Balance between EMI burden and cost

Platforms:
- Amazon Pay EMI
- Flipkart CardlesS EMI
- Paytm Postpaid
- Lazy Pay
- Zest Money

Features:
- Instant approval
- No credit card needed
- 3-12 month options
- Buy now, pay later

Types:
1. Credit Card EMI
   - All major banks
   - Instant conversion
   
2. Debit Card EMI
   - HDFC, ICICI, SBI, Kotak
   - Pre-approved limits

3. Amazon Pay Later
   - BNPL service
   - Small credit line
   - Mini EMIs

Options:
1. Credit Card EMI
2. Debit Card EMI
3. Cardless EMI (IDFC/Bajaj)
4. Pay Later (credit line)

Cardless EMI:
- Bajaj Finserv/IDFC partnership
- Enter EMI card number
- Instant approval
- No physical card needed

Getting Fees Waived:
- Ask at store (often possible)
- Check ongoing promotions
- Use store-specific bank cards
- Festival offers
- Large purchase amounts
- Loyal customer benefits

Danger:
- Easy EMI = More buying
- ₹5,000 EMI seems affordable
- But 4 items = ₹20,000/month
- Income hasn't increased!

Prevention:
- Cap total EMIs at 20% of income
- Include all EMIs (loans, cards, durables)

Impact:
- Every EMI is a loan
- Reported to CIBIL
- Multiple inquiries lower score
- Missed payments hurt significantly

Be Careful:
- Don't take too many EMI loans
- Never miss a payment
- Keep utilization low

Watch For:
- Processing fee not disclosed upfront
- Insurance bundled
- Extended warranty pushed
- Accessories at EMI (high margin)
- Paper vs. actual discount

EMI Psychology:
- Easier to buy expensive
- May not need premium features
- Financing shouldn't drive choice

Better Approach:
- Decide product first (without EMI thought)
- Then check financing options
- Choose based on actual needs

₹50,000 TV Purchase:

Option 1: Cash
Price: ₹45,000 (10% discount)
Cost: ₹45,000

Option 2: No Cost EMI
Price: ₹50,000
Processing: ₹999
Total: ₹50,999
Extra Cost: ₹5,999

Option 3: Regular EMI
Price: ₹45,000 (discount)
Interest: ₹2,500
Processing: ₹500
Total: ₹48,000
Extra Cost: ₹3,000

Best: Cash (but if not possible, regular EMI beats "no cost")

Always Pay Cash If:
- You have the money
- Cash discount significant (>5%)
- Emergency fund intact
- No other high-interest debt
- Product is discretionary

Consider EMI If:
- Essential purchase
- Cash discount minimal
- True no-cost EMI (verified)
- Cash needed for investment earning more
- Building credit history
- Emergency, no cash available

Track All EMIs:
- Consumer durables
- Credit card EMIs
- Loans
- BNPL payments

Use:
- Spreadsheet
- Expense apps
- Calendar reminders
- Bank statements review

Rule of Thumb:
All EMIs < 30-40% of Income

Example:
Income: ₹80,000
Max Total EMIs: ₹32,000

Including:
- Home/car loan: ₹20,000
- Consumer EMIs: ₹8,000 max
- Credit card EMIs: ₹4,000 max

Most Consumer Finance:
- No prepayment penalty
- Can close anytime
- Saves remaining interest

Example:
6-month EMI at 18%
After 3 months, prepay entire balance
Save ~50% of interest

Prepay If:
- Receive bonus/windfall
- High interest rate (>12%)
- Cash flow improved
- Want credit limit released

No Rush If:
- True 0% interest
- Low rate (<8%)
- Money earning more elsewhere

NBFC Guidelines (RBI):
- Clear disclosure of charges
- Cooling off period (some cases)
- Fair collection practices
- Grievance redressal
- No harassment

Consumer Protection Act:
- Protection against deficient service
- Right to information
- Right to redressal

Steps:
1. Contact lender customer care
2. Escalate to nodal officer
3. RBI complaint (for NBFCs/banks)
4. Consumer forum if needed

Keep:
- All purchase documents
- Loan agreement copy
- Payment receipts
- Communication records