‹ The Things Nobody Taught You
EMI. The cost of "easy".
Front
Money SenseGL-00009
EMI
The cost of "easy"
A large price broken into equal monthly payments, with interest added.
GeekLibraryMechanism
Back
GL-00009Mechanism
An Equated Monthly Instalment splits a purchase into fixed monthly payments. "No-cost EMI" often hides the interest inside a higher price or a processing fee. The instalment feels small. But three EMIs running at the same time eat 15,000 rupees of a 30,000-rupee salary. The danger is not one EMI. It is the stack.
- A 60,000-rupee phone on 12-month EMI at 15% costs 64,900 rupees. The "no cost" is not free.
- Before any EMI, multiply the instalment by the number of months. Compare that total to the cash price.
SourceRBI consumer lending norms
Consumer advocacy reports on pricing practices
Consumer advocacy reports on pricing practices
Keep exploring
Because you read EMI.
Money SenseGL-00015
Consumer Rights
What the law says when a product fails
The protections a buyer is owed by law when something goes wrong.
GeekLibraryGuide
Money SenseGL-00007
The SIP
Small bets, long game
A fixed amount put into an investment on the same day every month.
GeekLibraryMechanism
Money SenseGL-00011
The Bank Account
Where your money lives
A record at a bank showing money held in a person's name.
GeekLibraryMechanism