Text size:
S M L
Letter spacing:

FinFIRST Blogs

Credit Card

EMI on Credit Cards: What is it, and how does it work?

Key Takeaways

EMI on credit cards lets you convert large purchases or outstanding dues into smaller monthly instalments
Two options are available: converting a specific purchase into EMI, or converting your entire outstanding bill
Interest rates, processing fees, and repayment tenure vary across banks and should be compared before opting in
Converting to EMI helps you avoid missed payments and protects your credit score

27 Aug 2026 by IDFC FIRST Bank

Apply Now

Want to make big purchases but struggling to manage expenses? EMI on credit cards can help. With EMI, you can split your larger payments into smaller monthly instalments. This means you can buy what you need without going over budget, with better financial flexibility.

Let us understand EMI on credit cards in detail.

Free for life: Discover the perks of lifetime free Credit Cards

Credit Cards on UPI: Your questions answered

How does EMI on credit cards work?

EMI on credit cards works in two ways:

1. Convert outstanding dues into EMIs

This allows you to convert your outstanding credit card dues into smaller instalments and pay them over time. Instead of making the entire payment in one go, you can pay it part by part.

2. Split specific purchases into EMI

Large purchases such as a phone, laptop or home appliance can be paid for in instalments, and you can decide when to convert.

Choose EMI at the point of purchase and the transaction is split before it appears on your statement. Alternatively, complete the purchase as usual and convert it to EMI once the transaction has settled.

Benefits of EMI on credit cards

Highly affordable

EMI on credit cards converts large payments into monthly instalments, making them easier to manage. This helps you settle your dues while maintaining financial stability.

Convenience

With easy budgeting and predictable monthly payments, EMI on credit cards makes big purchases manageable.

Protects your credit score

Converting large purchases into EMIs reduces the risk of missed or delayed payments, which helps protect your credit score. Timely repayments contribute to long-term financial health.

No separate loan needed

You get the flexibility of instalment payments without applying for a personal loan. The conversion happens directly on your existing credit card, so there is no fresh application, no documentation and no waiting for approval.

Things to consider while opting for EMI on credit cards

Applicable interest rate

While interest rates vary across banks, certain factors influence them:

The amount you want to convert into EMIs: The higher the amount, the greater the chances you will need to pay a higher interest rate.
Payment history: If you have settled your outstanding credit card dues on time, you are likely to be offered a lower interest rate. Your repayment history influences the interest rate offered. A consistent record of on-time payments typically helps you access better rates.
Processing fees

Banks generally charge a processing fee when you convert your credit card dues to EMIs. The processing fee varies depending on the bank and is added to the total cost of availing the facility.

Repayment tenure

Repayment tenure is the period over which the bank allows you to pay back the EMIs. This differs across banks and can range from a few months to a few years. Opt for a tenure that allows comfortable repayment. IDFC FIRST Bank offers flexible tenures, ranging from 3 to 24 months depending on the amount converted

How does EMI work on IDFC FIRST Bank Credit Card?

There are two types of credit card EMI conversion facilities available on the FIRST SWYP Credit Card:

For transactional EMI

Convert large purchases into EMIs to pay over time instead of upfront. This helps manage finances and makes big purchases more affordable.

For bill payments

You can also choose to pay your outstanding bill in EMIs. There is no concept of revolving credit with this card. You can either pay your bill in full or convert it into EMI for a flat monthly EMI conversion fee.

With no revolving credit, this card keeps your repayment structure simple and predictable, helping you stay in control of your finances.

In conclusion

The EMI facility on the FIRST SWYP Credit Card allows you to pay outstanding dues on time and manage essential financial commitments without straining your finances. With transparent flat monthly EMI conversion fees and convenient tenures, the FIRST SWYP Credit Card makes credit card payments simpler.

Frequently Asked Questions

What is EMI on a credit card?

EMI on a credit card lets you convert a large purchase or your outstanding bill into smaller monthly instalments instead of paying the full amount at once.

How do I convert a purchase into EMI?

You can convert eligible transactions into EMI through your bank's mobile app or net banking. With IDFC FIRST Bank, transactions above ₹2,500 can be converted directly from the Mobile Banking App.

Does converting to EMI affect my credit score

No. Converting to EMI does not hurt your credit score. In fact, timely EMI repayments help build a positive credit history.

Is there a fee for converting a purchase into EMI

Most banks charge a processing fee and interest on EMI conversions. Some cards like the FIRST SWYP Credit Card offer a flat monthly conversion fee instead of variable interest.

What is the minimum transaction amount for EMI conversion?

This varies by bank. With IDFC FIRST Bank credit cards, transactions above ₹2,500 are eligible for EMI conversion.

Can I foreclose my credit card EMI early?

Yes, most banks allow foreclosure of credit card EMIs. Foreclosure charges may apply depending on the bank and the terms of the EMI plan.

What happens if I miss an EMI payment?

Missing an EMI payment attracts late payment charges and interest and may negatively impact your credit score. To ensure your EMI payments are always on time, set up autopay through the IDFC FIRST Bank Mobile App.

The features, benefits and offers mentioned in the article are applicable as on the day of publication of this blog and is subject to change without notice. The contents herein are also subject to other product specific terms and conditions and any third party terms and conditions, as applicable. Please refer our website www.idfcfirst.bank.in for latest updates.