Initially, the EMI (Equated Monthly Installment) facility was available to all customers that held credit cards or availed loans from the bank. Now, ICICI Bank has rolled out the EMI facility on debit cards as well. ICICI Bank customers can now convert high transactions into installments to make the payment of the product purchased. All ICICI Bank customers that have a linked fixed deposit or recurring deposit account with the bank are eligible for this feature.
Features and Benefits of ICICI Bank EMI on Debit Cards
- Unlike loans, the ICICI Bank EMI on debit cards feature does not have a processing fee.
- Customers have the option of choosing the tenure to make the repayment for the transaction. They can either choose 3 months, 6 months, 9 months, 1 year , 18 months or 2 years.
- The interest rate varies based on the tenure chosen by the customer. For the 3 month, 6 month, 9 months and 1 year tenure, the interest rate is 13% (on reducing basis). For the 18 month and 2 year tenure, the interest rate is 15% (on reducing basis as well).
- As already mentioned, all ICICI Bank customers who have a linked fixed deposit or recurring deposit account with the bank are eligible for this feature.
- The EMI facility is available for all transaction above Rs.10,000 at the listed stores.
- Some of the partner stores include Apple, Samsung, Haier, Hero Motors, Firefox, Kurlon, Lenovo, Nikon, Sharp, Sleepwell, Suzuki Motors, TVS motors, Vespa Motors and VLCC.
- To know the nearest store, all that customers have to do is to SMS - EMI to 56886.
- Soon the EMI facility on debit card purchases will be available on popular e-tailing websites.
Steps to Avail ICICI Bank EMI on Debit Cards
- The ICICI Bank customer makes a transaction at any of the partner stores and selects the tenure that financially suits him/her. Note, the transaction has to be above Rs.10,000 in order to avail this facility.
- The customer has to pay using his/her ICICI Bank debit card and finalises the transaction by entering the ATM PIN.
- Once the transaction has been made, the payment is converted to EMIs following validation of certain parameters.
- On approval, the amount used to purchase the product is reversed into the account of the ICICI Bank customer within 2 working days following the transaction.
- The customer has to pay the first installment 30 days from the reversal of the money into the account.
- The bank statement of the customer will display the details of the transaction, the reversal and the EMI payments.
Terms and Conditions for ICICI Bank EMI on Debit Cards
- The decision to convert the high-value transaction into EMIs lies at the discretion of ICICI Bank.
- The maximum limit that can be converted into EMIs is 85% the value of the FCNR fixed deposits.
- The EMI tenure chosen by the customer has to be less than the maturity date of the fixed deposit. If it passes the maturity date of the fixed deposit, the bank will reject the EMI conversion request.
- If the EMI conversion request is approved, the money will be reversed into the bank account of the customer within 2 days from the date of transaction.
- Preclosure charges will be applicable.
- Depending on the tenure chosen by the customer, the interest rate will be charged on a monthly reducing basis.
- The interest rate will be made known to the customer from the point of transaction.
- The EMI will be automatically debited from the account of the debit card holder. For this to happen, the customer has to maintain the required amount in his/her account to pay the EMI.
- If the customer fails to pay the EMI, the money to be repaid will be taken from the fixed deposit of the customer including pre-closure penalty charges. This will occur two months following the first default in EMI payment.
- The ICICI bank customer can cancel the EMI facility within 15 days from the transaction. In this case, the money which was converted into EMIs will be debited from the customer’s bank account. In this case, there will be no pre-closure charges.
- If the expiry date of debit cards falls within the EMI tenure, the customer has to ensure that the debit card is renewed in advance and there is no lapse in EMI payments.
- If the customer has changed his/her address, they have to inform the bank within a week of making the change.
ICICI Bank EMI on Debit Cards FAQs
What is the basic requirement to opt for an EMI on debit cards with ICICI Bank?
The customer needs to have a linked fixed deposit or recurring deposit account with ICICI Bank, only then will he/she be able to convert a high-value transaction into EMIs using their debit card.
What is the maximum amount one can convert into EMIs?
The transaction can be only upto 85% of the amount in the fixed deposit.
What happens if I fail to make the EMI payment?
If you fail to make the EMI payment 2 months in a row, the money will be retrieved from your fixed deposit account, along with certain penalty and preclosure charges.
Will I get a reminder to pay the EMIs from the bank?
No, the money will automatically be debited from your account every month. For this, the customer is required to have sufficient balance in their account to make the EMI payment.
Does this EMI facility come with all ICICI Bank debit cards?
Yes, it comes will all ICICI Bank debit cards. The customer has to meet certain eligibility criteria though.