Cardless EMI facility: Customers can convert transactions up to Rs 5 lakh into easy EMIs using a registered mobile number
Traditionally, credit cards have enabled users to choose to buy products from specific merchants through Equated Monthly Installments (EMIs) without any additional cost or documentation. Today you also have the option of an EMI Card or Cardless EMI. ICICI Bank has recently announced a new facility for its customers. Does this mean that you can get credit without a credit card? Yes.
The bank launched an instant ‘Cardless EMI’ facility for retail stores last year to enable its customers to buy products of their choice in a completely contactless, digital, and secure manner. Now, it has tied up with leading digital lending platforms like FlexMoney and ShopSe to provide this facility across 2,500 brands.
With this, our customers can shop from over 2,500 e-commerce merchants and brands using just a mobile phone and PAN. This new offering improves affordability for millions of our customers as they can buy high-value products on EMIs and in a safe, convenient, quick, and digital way.
Customers can convert transactions up to Rs 5 lakh into easy monthly installments by entering their registered mobile number, PAN, and OTP (received on mobile number) at the check-out section of the e-commerce website or app. This facility can be availed across multiple categories such as electronics, home appliances, laptops, mobile phones, travel, fashion apparel, sports, education, and home decor.
how does it work?
While the facility was launched for POS transactions at retail stores during the last festive season, the bank has extended the facility to online purchases from this month. The loan amount for this facility can be between Rs 7,000 to Rs 5 lakh for a tenure of 3, 6, 9, and 12 months.
“Even existing ICICI Bank cardholders eligible for instant EMIs through their ICICI Bank cards may consider the ‘Cardless EMI’ facility as an option, as long as the interest earned through this facility covers the interest cost The cost is less than or equal to the other credit or debit card EMI options offered by ICICI Bank or other banks, said Sahil Arora, Senior Director, Paisabazaar.com.
ICICI Bank customers can avail of the EMI facility in a digital, instant, and secure manner. When you visit any online e-commerce platform that is partnered with the bank, you will see the option of Cardless EMI in the payment step. If you select it, you will be asked to enter your mobile number. Then an OTP will be sent to your phone. Now you have to enter this OTP and after that fill in the PAN number. If you are a pre-approved customer of the bank, your EMI will be accepted else it may be declined.
Here are the simple steps to opt for ‘ICICI Bank Cardless EMI facility:
- Log on to the website/app of any of the 2,500 e-commerce brands
- Select Product or Services > Select ‘Cardless EMI’ as the payment option
- Enter Registered Mobile Number > Enter PAN > Enter OTP
- Transactions at this level are cleared immediately
- ICICI Bank customers can check their eligibility for ‘Cardless EMI’ for online purchases by sending an SMS ‘Cardless’ to ‘5676766’ or by checking the offers section on the iMobile app.
Should You Option For It?
According to Arora, a major advantage of availing of the cardless EMI facility is that the loan amount will not affect the credit card credit limit, leaving the credit card limit free to do other card transactions or avail of credit card loans. ,
“However, due to restricted repayment capacity, those seeking EMI tenure for more than 12 months should consider other EMI options available on their credit and debit cards, personal loans, and consumer durable loans. These options generally offer longer tenors, leading to smaller EMIs and thus, higher affordability to the borrower,” he added.
However, you need to keep a few factors in mind before choosing it. Since this is facilitated by tie-ups with merchants, there may be restrictions.
“For example, all products may not be available at a particular merchant or may not be covered under the EMI scheme. Second, different issuers have different terms and conditions. When you opt for the ‘No-Cost EMI’ plan, you may not get certain upfront cash discounts attached to it, depending on the product and offer. Otherwise, depending on the products, offer, and issuer, you may have to make a down payment even if the loan availed is within your sanctioned amount,” said Adil Shetty, CEO, of BankBazaar.com.
Like any other loan, buying a product on no-cost EMI requires a full repayment on time. If it doesn’t, it can affect your credit score and prevent you from getting further credit. Hence, unless you are sure of your ability to repay the loan
ICICI Bank Cardless EMI
ICICI Bank Cardless EMI is a unique proposition that enables pre-approved customers of ICICI Bank to avail of the cost EMI option. It is available to purchase their favorite gadgets/home appliances at retail stores or through participating merchant websites across various categories without taking out their card from their wallet.
No wallet, no worries – you can still avail of No Cost EMI for your gadgets with Cardless EMI. Make purchases in easy installments through a convenient OTP-based approval process.
established reputable FAQs
How do I shop online using ICICI Bank Cardless EMI?
As a valued ICICI Bank customer, you are eligible to shop online on multiple merchant websites and convert it into easy EMIs. On our merchant page, you need to select the product of your choice, add it to your cart and proceed with the EMI payment.
• On the Payment Options page, select the option “ICICI Bank Cardless EMI”
• Choose an “EMI Plan” you are comfortable with
• To authorize your transaction, you need to enter your PAN number
• Confirm your transaction by entering the OTP received on your mobile number registered with ICICI Bank.
Please login to Instarade to view the updated list of merchants where you can shop using your ICICI Bank Cardless EMI.
If anyone claiming to be a merchant or representative of Instacred ICICI, ICICI Bank, ICICI Group, please do not share your PAN/OTP details with anyone.
Which products can I buy using ICICI Bank Cardless EMI?
You can buy mobile phones, electronics, furniture, education, fashion and beauty products, flight tickets, hotel bookings, travel packages, and many more products across various categories. You can view the updated list by logging in and then navigating to Buy from InstaCred ICICI.
Where can I contact if there is any problem with my transaction?
For any transaction-related queries, please contact the merchant. If you do not receive an update from the merchant, please contact InstaCred ICICI. You can write to us at email@example.com and we will get back to you within 2 working days. If the merchant agrees to the cancellation, ICICI Bank will cancel the loan in their system after receiving the full amount from the merchant through ICICI Bank Instacredit. After adjusting the applicable cancellation charges (if any), the lender will cancel the loan.
Are there any additional charges for availing this service?
No, there are no charges when you shop using ICICI Bank Cardless EMI. Interest rate will be applicable as per the EMI scheme chosen. For more information on ICICI Credit loan and applicable charges, please visit website www.icicibank.com
Whom should I approach for loan cancellation?
Please contact the merchant where you purchased your item to request a refund. They will initiate refund as per their refund policy. Once the merchant initiates a refund for your product, it will be returned to your lender. If the refund amount is less than the loan amount, you will have to pay the remaining amount to the lender. In case of refund, we suggest that you contact ICICI Bank to know the outstanding amount.
How to contact the Bank/NBFC in case of any query or concern?
In case of any queries or concerns, the contact details are given below:
|Lender Nodal officer||www.icicibank.com/complaints/complaints.page|
|Link for Customer Support (Consumer Loan Product) for raising grievance by Customer||www.icicibank.com/customer-care|
|Link to RBI Sachet Portal||https://sachet.rbi.org.in/home/index|