Credit Cards have become an integral part of our lives. With a Credit Card, you can access credit whenever and wherever you need it. This convenience allows you to make significant purchases without worrying about the heavy financial burden.
However, before opting for the Credit Card Apply option, you have to understand the associated complexities. This is where a Credit Card EMI calculator comes in handy, helping you assess your financial obligations.
In this article, you will learn about the top reasons why using a Credit Card EMI calculator is necessary before making big purchases and its role in helping you manage your Credit Card debt responsibly.
Contents
- 1 Why Use a Credit Card EMI Calculator Before Making Big Purchases?
- 1.1 1. To Know the Monthly Instalment Amount
- 1.2 2. To Avoid Falling Into Debt Traps
- 1.3 3. To Set Your Budget
- 1.4 With the help of the best Credit Card EMI Calculator, you can understand the repayment terms and be better prepared to pay the EMI on time.
- 1.5 4. To Compare the Options
- 1.6 5. To Make Informed Decisions
- 2 Conclusion
Why Use a Credit Card EMI Calculator Before Making Big Purchases?
1. To Know the Monthly Instalment Amount
Making big purchases through free Credit Cards is an easy task. However, it requires you to be well aware of your duties, like paying the monthly instalments on time.
A Credit Card EMI Calculator calculates the monthly instalment amount you will have to pay per month after making the purchase, allowing you to know your repayment obligations.
2. To Avoid Falling Into Debt Traps
The Credit Card EMI Calculator provides a detailed breakdown of the EMI, including the total interest payable, processing fees, GST on processing fee, GST on interest and transaction amount.
This information will allow you to identify hidden costs and get a clear picture of the amount of extra payables, helping you avoid accumulating excessive Credit Card debt.
3. To Set Your Budget
With the help of the best Credit Card EMI Calculator, you can understand the repayment terms and be better prepared to pay the EMI on time.
By knowing the monthly instalment amount, you will be able to determine exactly how much funds you need to set aside each month so that you do not default on your EMI dues, attract additional charges or hurt your credit score and financial reputation.
4. To Compare the Options
Credit Card EMI Calculator provides the option to check the total cost of purchase for different transaction amounts, tenures and interest rates, allowing you to select the suitable option, ideally the one with the lowest EMI.
5. To Make Informed Decisions
The Credit Card EMI Calculator helps you understand even the smallest details about the EMI, informing you about the financial implications involved in the process.
This will help you decide if you want to proceed or switch to other available Credit Card options.
For example, if you find the rate of interest and processing fee (specified by a card issuer) appropriate, you can explore other alternatives having a lower interest rate and processing fee.
Conclusion
Using a Credit Card EMI Calculator is a crucial step towards making an informed purchase. By providing details about the monthly instalment amount, a Credit Card EMI Calculator helps you remain financially stable even after making a big purchase on an EMI.
The Credit Card EMI calculator provides an exact figure of your payments, helping you avoid credit card debt, plan your expenses more effectively, and save money by comparing various options.
So, before you proceed with the Credit Card Apply online option, remember to use a Credit Card EMI Calculator to get peace of mind.
