- Paytm has announced a new EMI option for its postpaid users.
- Postpaid users on Paytm can now convert their spending into Equated Monthly Installments (EMIs).
- The “buy now and pay later” scheme can be availed for a wide range of products and services at 5 lakhs shops and websites.
India's leading payment services Paytm has announced a new EMI option for its postpaid users. As per the new plan, the postpaid users on Paytm can now convert their spending into Equated Monthly Installments (EMIs). The new policy would allow customers to buy any product without pondering much about the budget. The "buy now and pay later" scheme can be availed for a wide range of products and services at 5 lakhs shops and websites, the company says.
Talking about the new feature, Bhavesh Gupta, CEO - Paytm Lending said, "Our postpaid service has emerged as an important payment option for our fellow citizens, especially during the festive season. We are humbled to see that our service is already being availed by over 7 million users, and we are on the way to cross the milestone of 15 million users by the end of the current financial year. We stay committed to expanding our partnership with all kinds of business segments across the country and offering a transparent and flexible payment option to our users."
So the new Paytm scheme lets Postpaid users convert their total spends into tailor-fit EMIs, which can be payable alongside nominal interest rates. Users already have the options like UPI, Debit card, and net banking to pay the postpaid bill but now they can also avail EMIs. "Within the first 7 days of the bill being generated, they have the option to convert the Postpaid bill into flexible EMIs. Postpaid offers a credit limit of up to Rs. 1 lakh, which can be increased with timely repayments. It is offered in partnership with two leading NBFCs with an instant credit line for various payments to Paytm app users," the company said in a statement.
Postpaid users on Paytm can buy groceries, milk, and other home essentials from neighborhood Kirana stores, to high value shopping at popular retail destinations such as Reliance Fresh, Haldiram, Apollo Pharmacy, Croma, Shoppers Stop among others. They can in return to choose the total bill in EMIs. So for instance, if the total bill is Rs 50,000 and you do not want to get such a massive amount subtracted from your account, you can choose the EMI option. However, you will also have to pay interest. Whereas if you clear the entire amount using UPI or net banking, you will not have to pay any extra charges.
"Postpaid is available in three different slabs of the credit limit, namely Lite, Delite and Elite. Postpaid Lite comes with a limit of up to Rs. 20,000, and is the variant designed for users without a credit score to avail the convenience & benefits of instant credit. Delite and Elite offer credit limits upto Rs. 1,00,000 in monthly spends with no additional convenience charges," Paytm said in a statement.