Terms and conditions for payments on Instant EMI with Kotak Bank Credit Cards
"EMI" or "Equated Monthly Instalment" means the equated monthly instalment of amounts payable by the Kotak Credit Cardholder, is comprising of principal amount, interest and any/ or other charges, if applicable
"Instant EMI" refers to the conversion into EMI upon request by the Kotak Credit Cardholder, on the transactions performed using the retail Credit Card on EDC (Electronic Data Capture) terminal installed at a merchant outlet and/or for such online transactions, where the option for EMI payment is available. Minimum amount which can be converted is Rs.
Only Kotak Credit Cardholders are eligible for instant EMI option /Scheme. The instant EMI scheme will be available for period and at specific Merchant Establishments as decided by Kotak Mahindra Bank Ltd.
The rate of Interest for Instant EMI scheme applicable for Kotak Credit Cardholder and Merchant will be as decided by Kotak Bank and which may vary from time to time. The rate of interest will be informed on the payment gateway and at the payment counter before completing the transaction.
The customer can select eligible tenure for the purchase.
The Instant EMI Scheme is open to retail Kotak Bank credit card holders only holding a valid Kotak Bank credit card. Instant EMI option is not available on Corporate Credit Cards and B2B cards.
For the First EMI, the Interest will be charged for 30 days. For ex. If the EMI booking is done on 5th of Jan’22 for INR 10,000 at 14% for 6 month & the billing date is 20th Jan’22, EMI to be charged on the loan booking date will be INR 1735.38 with interest component of INR 116.67 (interest for 30 days instead of 15 days).
Any query related to merchant Cashback to be raised by the cardholder within 180 days of transaction date.
Instant EMI is valid only on Credit cards in 'regular' status. It is not valid on cards on which a block is placed due to Payment overdue, Lost Card reported, Upgrade in progress etc. Instant EMI transactions done on such Non-regular status Credit Cards shall be debited to the card account of cardholder in full and become payable in subsequent billing cycle.
Customer is informed about successful or rejected EMI Booking on the Card by the Kotak Bank. The customer shall call Phone banking of Kotak Bank to check the reason for rejection.
Instant EMI facility is available at select merchant websites and merchant outlets.
Instant EMI conversion will take minimum 4 working days from the date of transaction.
Instant EMI is not valid at Jewelry merchants or at merchants classified under Jewelry related Merchant Category Codes (MCCs) by Acquiring Banks. Kotak Bank will not be liable to convert any transaction done at such merchants and any such conversion request will be rejected in compliance to regulatory guidelines.
EMI facility is prohibited on dealing in Virtual Currencies
Any request by add on cardholders will be billed to the primary card.
Instant EMI needs to be availed at the time of doing transaction at merchant outlet or merchant website. It is not a backend conversion process. In case of merchant websites offering Kotak Bank Instant EMI, 'Kotak Bank' EMI option & required tenure needs to be selected by the Cardholder /Customer on the payment page of respective merchant website. The Bank is not liable to or responsible for converting transactions wherein 'Kotak Bank' EMI option was not chosen by cardholder or in case of any technical issues at merchant's end, in routing the transaction to the Bank as an EMI transaction.
In case of transactions done at physical outlets of merchants (POS transactions), please check with merchant on availability of Instant EMI facility before swiping your Kotak Bank Credit card. Ensure that the intention to avail KOTAK Bank Instant EMI along with the tenure option is communicated to merchant before swiping card by the customer. The charge-slip generated post swipe will indicate the Instant EMI Tenure, Transaction Amount, Merchant Cashback, Loan Amount, Instant EMI Finance Charges (% on reducing balance per annum) and EMI value. Customer to highlight to merchant immediately if the tenure is not appearing or wrongly appearing in the charge-slip issued by the Merchant. Kotak Bank is not liable for erroneous swipes done by merchant eg. Swipe done as regular transaction instead of swiping as Instant EMI transaction. The Bank is also not liable to or responsible for converting such erroneous transactions to Instant EMI transactions at the backend.
Cardholder shall read all the term, conditions and charges mentioned on the charge-slip before signing on the same. Cardholder can ask merchant to void / cancel the transaction if he/she is not in agreement with the terms condition and charges. Once a transaction is settled by merchant, Bank will deem charge-slip as 'customer's consent' for Instant EMI terms, conditions and charges and the customer shall be bound by the same.
At select merchants, 'Merchant Cashback' might be applicable. This is being provided by respective merchant/manufacturer and not by Kotak Bank (“Issuing Bank”).
Change of tenure is not allowed once Instant EMI transaction has been completed.
The credit limit on the Kotak Bank credit card shall be blocked to the extent of the full transaction amount. The credit limit will be released as and when the EMI is billed and repaid in subsequent months as per EMI plan /Schedule.
Minimum Amount Due of statement will include EMI and Goods and Service tax i.e. GST, as mandated by Government regulations from time to time and the same will be applicable on Interest amount of each EMI billed. Payment of Minimum amount due is required to be maintained by cardholder to keep card regular.
The Cardholder shall inform Kotak Bank by calling Kotak Bank Customer Care for cancellation of the Instant EMI facility within 15 days from the date of refund received by the Cardholder from the Merchant, towards the transaction done on his/her Credit Card. In case of Online Instant EMI transactions done at merchant websites where customer has raised request to merchant for partial cancellation /cancellation under any other scenario and refund done by merchant to the extent of such transaction amount, is greater than 90.01% of Instant EMI Principal Outstanding on Credit Card, then EMI Loan will be eligible for cancellation. Refund coming from a Merchant on a Cardholder's Card will not be considered as a payment towards EMI scheme opted by the cardholder.
Approval of Instant EMI is at the sole discretion of Kotak Bank. The Instant EMI scheme is available for select tenures and the purchase amount along with Interest which needs to be re-paid within the respective tenure opted for by the Kotak Bank Credit Cardholder. Kotak Bank Credit Cardholder can choose to cancel the Instant EMI transaction and pay in full instead of monthly instalments by calling the 24 hour Kotak Bank Credit Cards customer service. On cancellation, original Loan amount & 'Merchant Cashback' will be debited in full (and becomes payable), EMI debits will be credited. However once an Instant EMI transaction is cancelled on the card, the same cannot be reconverted.
If the Cardholder's Credit Card balance is revolving at the time of request for Instant EMI, he will continue to be charged the applicable Credit Card charges on his revolving balance till the time the Instant EMI is booked. For details of the applicable interest rates on the different variants of the Cards, please refer Schedule of Charges, available at www.kotak.com.
Non-payment or under payment of minimum amount due would attract normal late payment fees and an applicable interest rate on the unpaid billed EMI under the EMI Facility. For details of the applicable interest rates on the different variants of the Cards, please refer Schedule of Charges, available at www.kotak.com.
In the event of non-payment of minimum amount due for three successive months; the EMI Scheme will terminated. Under such circumstance, the principal outstanding and the interest till date from the last billing, shall be debited to the credit card account of the Cardholder and reflect in the subsequent monthly statement. Kotak Bank shall be entitled to demand immediate repayment of such consolidated outstanding amounts including principal, interest and applicable charges.
In the event of cardholder becoming delinquent after the EMI has started, the EMI facility shall be terminated and the total principal outstanding and the interest up to the time of termination shall be debited to the credit card account of the cardholder and reflect in subsequent monthly statement. Kotak Bank shall be entitled to demand immediate repayment of such consolidated outstanding amounts including principal, interest and applicable charges.
In the event of a credit card being closed / terminated, prior to all instalments being charged, the amount outstanding against Instant EMI scheme may be charged as a consolidated transaction of the cardholder. Kotak Bank shall be entitled to demand immediate repayment of such consolidated outstanding amount including principal, interest and applicable charges.
Further payment of the total loan amounts under the Instant EMI shall not lead to an automatic closure of the said EMI Facility. For any foreclosure request customer needs to contact Phone Banking, i.e. 24 hour Kotak Bank Credit Cards customer service. The Bank reserves the right to revise the prepayment charges at its discretion.
The amounts availed as Instant EMI will not earn any reward points.
Any query/dispute with regards to the payment using the Instant EMI option should be directed towards Kotak Bank, and merchants shall not be liable for the same in any manner except under circumstances as explained hereinabove where bank will not be held liable or responsible.
Kotak Bank reserves the right at any time, without previous notice, to add, alter, modify, change or vary all or any of these terms and conditions or to replace wholly or in part this scheme by another offer, whether similar to the offer or not, or to withdraw it all together. Cardholder will not hold Kotak Bank responsible for, or liable for, any actions, claims, demands, losses, damages, costs, charges, expenses, which a participant may suffer, sustain or incur by such Instant EMI Scheme. All disputes, if any, arising out of or in connection with or as a result of this Scheme or otherwise relating hereto shall be subject to the exclusive jurisdiction of the competent Courts/Tribunals in Mumbai only.
Availing of EMI option/ scheme will be deemed to be your unconditional acceptance of the terms and conditions and you will be bound by the same. The terms and conditions contained in the MITC and Card Agreement apply over and above the terms and conditions for this Instant EMI Scheme. In case you require any further assistance, please contact Phone Banking, i.e. 24 hour Kotak Bank Credit Cards customer service.
Fees & Charges
A one-time transaction fee of up to Rs 199 shall be charged for sanction of every Instant EMI conversion. This amount shall be billed to the monthly card statement as a part of the minimum amount due in the month of first initial interest amount billing.
The rate of interest on the conversion amount availed will be between 12% to 18% per annum on reducing balance. The exact interest applicable will be mentioned upfront to the Cardholder at the time of availing the EMI facility
Applicable taxes shall be levied on fee & interest and shall form part of minimum amount due. Illustrative example for computation of Instant EMI amount For transaction amount of Rs. 1,00,000 at ROI of 14% against a tenure of 12 months. EMI amount will be =Rs. 8,978.71
(The EMI includes 1st month Interest of = 1,00,000*14%/12 = 1,166.67 & 1st month principal of 7,812.05) The EMI will be billed as a part of the Minimum Amount Due (MAD) in the immediate card statement.