Amazon is one of the largest online marketplaces globally, offering a broad variety of products, including mobile phones. One popular method of purchasing these products is via equated monthly installments, or EMI – especially beneficial with high-end smartphone purchases. If you’re considering buying an Amazon mobile on EMI, here is everything you need to know.
Amazon mobile on EMI: Understanding the Basics
When you buy an Amazon mobile on EMI, you essentially buy the product on credit. Instead of paying the entire amount upfront, you break the total price down into smaller, more manageable chunks that you pay over a fixed period.
Amazon collaborates with various financial institutions, including banks and non-banking financial companies (NBFCs), to facilitate this service. They offer numerous EMI schemes, each with a different tenure, monthly installment, and interest rate. Some EMI plans even offer zero-cost EMIs, meaning you won’t have to pay any interest on the principal amount.
But how can you enjoy this service? Here’s a detailed guide.
The Process of Buying Amazon Mobile on EMI
- Select Your Desired Phone: Browse through Amazon’s extensive collection of mobile phones, find the one that you want, and add it to your cart.
- Choose EMI: Once you’ve selected your phone, proceed to the checkout page. Here, instead of choosing to pay in full, select the “EMI” option under the payment methods.
- Choose Your EMI Tenure and Bank: You can now choose the bank through which you want to pay your EMIs, as well as your EMI tenure – this could range from three months to over a year, depending on your bank’s terms and conditions.
- Finalize Payment: Once you’ve made your selection, proceed with the payment. The bank will then take a few days to process the EMI loan and deliver the mobile phone to your doorstep.
Benefits and Drawbacks of Buying Amazon Mobile on EMI
Buying an Amazon mobile on EMI comes with its fair share of perks and drawbacks.
Benefits:
- Financial Flexibility: The EMI facility enables you to purchase an expensive mobile phone without having to exhaust a significant portion of your savings at once.
- Range of Options: You have the flexibility to choose an EMI plan that’s affordable and fits your budget, depending on your bank and the mobile phone model.
- Credit Score Enhancement: Regular and timely EMI repayments can enhance your credit score, which can help with your future loan applications.
Drawbacks:
- Higher Total Cost: If your plan includes an interest rate, you’ll end up paying more for your mobile phone than its actual price.
- Risk of Debt Trap: If you fail to manage EMI payments efficiently, it’s easy to fall into a debt trap.
What’s the role of a POS here?
Now, you might be wondering about the POS meaning in this context. POS full form is ‘Point of Sale’, which typically refers to the place where a retail transaction is completed. In the case of buying an Amazon mobile on EMI, the POS would be Amazon’s website or mobile app.
In Conclusion
Despite the risk factors, the convenience, affordability, and financial flexibility offered by buying an Amazon mobile on EMI have made this payment method a popular choice among online shoppers. By knowing what to watch out for, having a solid repayment plan in place, and ensuring you’re getting the best deal, you can purchase that dream phone without feeling overly strained financially. Happy shopping!
