Product EMI Calculator
Is "No-Cost EMI" actually free? Use our calculator to uncover hidden processing fees and interest charges on your next mobile or laptop purchase.
The Truth About "No-Cost" EMI
Online retailers often promote "No-Cost EMI" where the interest you owe the bank is given to you as a discount upfront. However, it is rarely truly free.
What are the Hidden Costs?
- Non-Refundable Processing Fees: Most banks charge between ₹199 to ₹999 + GST just to initiate the EMI.
- Lost Cash Discounts: Often, the "No-Cost EMI" offer cannot be combined with flat cash discounts available for full payments.
- GST on Interest: Even if the bank gives you an interest discount, you still have to pay 18% GST on the interest component every month.
Important Warning:
"Missing a single EMI payment can trigger high penalty interest rates (up to 36% p.a.) and damage your credit score significantly."