Everything is available on EMI these days, be it a phone or a fridge. Everyone wants to buy a big item in small installments because it is difficult to pay the amount in one go. Taking EMI is easy but it is important to plan it properly. If EMI is taken smartly, you will never be stressed. The main objective of EMI is to make life easier. But if you take EMI without planning, it can ruin your budget. EMI tips should be taken carefully and you should think in advance how much you can afford. Writing down the monthly expenses and adding EMIs to it is the best way to set a budget.
Take the required EMI
Use EMI only when things are essential. It is not right to take EMI by looking at every offer. Buying useless things only increases the EMI bill. Understand the real need of each item and plan the EMI accordingly.
🔹 Buy these things on EMI only if absolutely necessary:
- A mobile or laptop for work.
- Household items like AC or fridge for summer
- Study items such as books or desks
🔹 Avoid taking EMIs on:
- Fashion items only on sale
- Game or gadget for time pass only
- Gift items that are not urgent.
Your budget is protected when you take EMI tips only on essential items. It also keeps you in control of your monthly amount. There will be no stress if you think through every purchase on EMI according to your purpose.
Avoid late fees with AutoPay
If you are busy then choosing Auto Pay is the best step. Using AutoPay ensures that your money is deducted on time each month. You don’t need to remember dates or amounts. This option is easy in the bank app and once you avail it, you don’t need to worry about EMI tips. With AutoPay you also save yourself from late charges. Many people forget about EMI which affects their credit score. AutoPay is a great solution that keeps you safe every month.
It is important to understand interest rates
Not every EMI plan is the same. Sometimes an EMI plan doesn’t cost you anything but there is a hidden fee. So it is important to check the EMI tips rate before taking it.
🔸 Check before taking EMI:
- Does this cost EMI tips or not?
- Does the app show rate error or not?
- The total cost does not exceed the original price.
🔸 If interest is high:
- Check the Dussehra card or offer.
- Check the same item from another store.
- Plan to complete the EMI tips in a short period of time
If the interest rate is high, you will have to pay more than the original cost. No cost EMI tips means you will only pay the price of the product. If you don’t read the terms, you may suffer later. So always read terms and fees first and then take EMI tips.
Select the correct tenure method
EMI tips tenure i.e. installment time is also an important part. Less time means faster completion and less interest. Longer time means higher charges and longer duration load. If possible, it is better to clear the installment early. But everyone’s budget is different, so choose the period according to your monthly plan. The more suitable the EMI tenure, the easier you will find it.
Set a payment reminder
Often people forget the EMI tips timings. This is why one should make a reminder in the phone program or calendar. WhatsApp notes and phone alerts are also accessible to you. By setting a reminder, you don’t miss the EMI due date. Nowadays, apps also provide auto-alerts so that you are prepared every month. Remembering is a small habit but it can save you from late face and stress.
Paying extra EMI is beneficial.
If you have some extra money, you can pay more than one EMI. Paying extra EMI tipsmeans early loan repayment. When you pay early, your total interest is also reduced. This habit also increases your savings. You also avoid future stress. Pay additional EMI only when your monthly budget is stable.
Don’t carry more EMI with you
It may be difficult for you to take multiple EMIs at once. Each EMI has its own impact. If you take two or three things at once on EMI, the amount per month can get out of control. So always take limited EMIs and buy essential items only. Taking multiple EMIs tips only adds to the burden on the budget and also affects your credit score if you are unable to make the payments.
Protect your credit score
Your credit score is formed by your EMI history. Paying EMIs on time keeps the score high. If you are late even once, it hurts your score. A low score means difficulty getting a loan in the future. Hence it is very important to pay EMI tips on time and in the right amount. A credit score is a mirror of your finances.
Be sure to use the EMI Tracker app
If you find it difficult to keep track of EMI, use the app. With the EMI tracker app you can check your due date, amount and balance. You can set alerts and notifications in the app. Nowadays many banks and finance companies provide this option in their app. EMI Tracker makes your financial life easier. You get all the information in one place, which does not create confusion.
The result
Taking EMI is easy but understanding it and managing it properly is a difficult task.EMI can be a great way to meet your financial goals if used judiciously. But if taken without planning, it can become a burden on your pocket.
If you follow the above 10 smart tips, not only will your monthly budget stay under control, but you will also stay away from financial stress.
EMI is a great financial tool.– If used judiciously, it helps you afford expensive items without having to pay the entire amount at once. But if you take extra EMIs without delay or need, it can become a problem for you.
Always remember:
Before taking EMI, do a proper analysis of your income, expenses and financial commitments.
Do not miss payment dates to pay less and keep the credit score high.
Download intelligent budget apps providing you with notifications and finances knowledge.
Take EMI only for things that are really necessary and manageable.
EMI can make life easier – it just needs to be managed intelligently.Take thoughtful action, and pursue your dreams responsibly.