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Is No- Cost EMI Really No-Cost?



Today we are going to talk about another scheme that is a scam for our savings, No-cost EMIs.

What is a No-Cost or Zero-Cost EMI?

 A no-cost EMI offers you a plan where you can pay for a product or service in affordable monthly installments with zero interest.

The merchants tempt customers with No Cost EMI on credit card offers. The offer seems to be permitting the customer to buy a product in interest-free monthly EMIs.Sometimes, they also offer a discount to convince you to go for No Cost EMI.

But the fact is, Credit Cards or e-commerce companies are not charity institutions. Nothing comes free and they are here to make a profit.

 These No-Cost EMIs are always tempting. They exist so that we buy things, spend money and spend some more money and keep on spending. Having the option to buy things and pay later on No- Cost EMI causes consumers to overspend. We want to buy as many things as possible and want to travel as much as we can as if ‘Kya Pata Kal Ho Na Ho.’ As a result of Impulse spending, we end up spending 2.5 times more.

How does No Cost EMI on Credit Card works:

Suppose you want to buy a Television worth ₹ 40,000. The merchant gives you two options: Either you pay the money upfront or take a 3/6/9/12 months loan where the EMI will be ₹ 3,333 without any interest.

Sounds tempting enough? But there’s a catch.

What RBI says on No Cost EMIs:

According to the RBI, No Cost or Zero Cost, EMI schemes are simply meant to exploit vulnerable customers. RBI rules don’t allow zero-interest loans.

As per the RBI circular, “In the zero percent EMI schemes offered on credit card outstandings, the interest element is often camouflaged and passed on to the customer in the form of processing fee.”

The truth behind Zero-Cost EMI:

From my personal experience, I realised that No-Cost EMIs are not zero-cost. EMI is basically a loan on which we have to pay interest. The e-commerce vendors either provide a direct discount or offer a cashback equivalent to the interest amount to make customers fall for the No Cost EMI offer.

But the truth is, customers actually need to pay 18% GST on the interest amount+ Processing Fees+ Interest. Effectively, if a customer buys a TV worth ₹ 40,000 under the six-month No-Cost EMI option, the interest that he would have to pay will be approximately ₹2,000 extra. That means TV worth ₹ 40,000 will cost ₹ 42,000 (9-10% per annum extra).

Nowadays, if the consumer doesn’t opt for no-cost EMI, the store or the manufacturer may offer discounts or cashback on upfront payment of the full amount.

Buying in EMI gives the customer a false idea that he has money in his wallet, and he is inclined to spend it on unnecessary things. At the end of the month, he realises that he had overspent.

Pros of No-cost EMI

  1. The ability to buy expensive things and services without paying upfront
  2. Pay conveniently over a few months by buying a product in installments
  3. The ability to choose the tenure according to your budget

 Cons of No-cost EMI

  1. Cost of paying EMIs is higher than paying upfront
  2. You have to pay a non-refundable processing fee for the EMI
  3. You will have to pay additional GST on interest payable
  4. You may end up purchasing expensive utilities that you want but don’t need

Should you choose No-Cost EMI?

 Like any other loan, the borrower needs to repay the no-cost EMI on time. If that does not happen, it can affect his credit score and impact his creditworthiness.

In my suggestion, No-Cost EMI is advisable only when you need to buy a product urgently and do not have the full amount to pay upfront. However, if you are purchasing it on an impulse, it is better to avoid it as it makes no sense to pay more than what you could have in the first place. We should rather think about our personal savings and future planning in those situations.

About the author:

Mohit Beriwala is the CEO of Shree Rama International, a financial advisory firm and the Founder of Shree Rama Managers LLP,a SEBI registered, Portfolio Management Service company.

He is an FRM, CFA & IIM B alumnus.

Since 2006, he’s been helping Entrepreneurs and Professionals  safeguard their assets and reach the goal they desire. When not working, he enjoys reading and playing with his son. He’s also a fitness enthusiast and a techie.

Mohit is actively involved in providing community services.

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Advocate Author Dr. Manish Das of Supreme Court



Just like the theory of multiple intelligences, there should be a theory of multiple talents. If somebody would devise it then its first contender would be Dr Manish Das, the Director of Supercounsellors, who is the wealthiest personality with as many talents and professional qualities as possible. He is like a protagonist from a social reformist story who is always on a mission to transform society with his constant positive contribution and Author of the book – The Assam Municipal Corporation Act, 2022.

Dr Manish is a Freelance Professional Model, Actor, Dancer, Anchor, Theatre Artist, Performer, Author, Trainer, Social Worker, Artist, Counselor, Musician, Poet, Chess Player, Astro-Palmist, Columnist, and an Advocate at the Supreme Court of India, Different High Courts and Session Courts in India.

Dr Manish, the Director of Supercounsellors and his mother Mrs Rupali Baruah Das, the First lady career Counsellor from North East India run multiple foundations and educational institutes along with Supercounsellors including, – for Career Counselling – for Career

counselling along with Educational loan assistance for

students with financially weaker backgrounds. – for abroad students – for career counselling with an

online psychometric test. – for our own online courses. – for online counselling to

educational-related people. – for Graphology Institute – for Law

Coaching. – for International Institute

of Performing Arts. – for Kulendra Das

Educational Foundation. – for Law News and Articles. – for North East Assam

News. – an informative site about

Advocate Manish Das. – informative site about

Rupali Baruah Das. – for IIPA (NGO) – for Northeast Assam’s First

Matrimonial. – for North East Assam First Matrimonial. – for Any Law matter and

any registration, tax and services. Always choose one

of the North East Assam’s oldest Law Firms since

1932. – for Any Computer Software

and Hardware Courses from Govt. of India and Govt.

of Assam Awarded Intech Computer Education (ICE)

Since 2000. – for Any kind of Scholarship and

Career-Related Courses. – for A to Z in Traveling and Unique

Courses and Help in Getting New Courses. – For A to Z in all your Law-related

needs and solutions. – For A to Z in Career Related


In this mission of 22 years, Dr Manish has won several accolades and awards including

· The Real Super Heroes Award 2022 from FSIA

· Best Teacher Award Winner of 2021,

· Best NGO Award Winner of 2021,

· Best Educational Counsellor Awardee 2020,

· Best Edupreneur of the year 2020 and many more.

Dr Manish shares, “We have a mission: To educate the next generation which will fulfil our vision to make India a developed country by contributing to the field of


Dr Manish spoke in an interview with insights success for its edition of ‘India’s 40 Under 40 Brightest Business Leaders.’ Let us get educated and counselled from the following highlights of that inspirational discussion.

Sir, please tell us about the saga of your reputed business since its inception.

It was started long back in 2000 by me along with my mother Mrs Rupali Baruah Das. Since then, my role as an educator and counsellor has evolved over the years. And the experience was great because every time we get new listeners, a new environment, different schools and sometimes the same schools. Beyond this, we do a face-toface session with most of the students and try to know their problems and give the best solution by measuring their potential with the psychometric test, questionnaire and different activities where we try to take 360-degree views of the peer group etc.

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Indianapolis based DJ and Entrepreneur Iman Tucker set to release first sneaker after the huge success of his apparel brand, Believe Brand Co.



It started off by designing premium faith based tees, hats, hoodies, jackets and various custom goods to wear on stage. As his desire for quality increased so did his vision for a brand.

Now it has transitioned into a luxury brand made to subtly stand out. Famous DJ and Entrepreneur Iman Tucker successfully built a faith based apparel brand named Believe Brand Co. The faith based apparel brand, Believe Brand Co. was brought up with the aim to establish itself as a Christian brand known for quality and a minimalistic style. However, as his desire to design luxury goods grew, he wanted to expand without plastering the traditional Believe Brand marks all over the high-end materials. This was the base for the setting up of Capre – a luxury brand he looks to use his momentum in entrepreneurship to scale.

That is when the vision of his own shoe came to light.

Indianapolis DJ and Entrepreneur, Iman Tucker found new interest in remixing a classic silhouette into a new look for his latest venture. He said, “Releasing a shoe that speaks of what we as a community believe in has always been a dream for us. The vision is to create a clean and simple, yet bold look to a luxury sneaker all stemmed from inspiration.”

The idea came up as they discussed making goods from head to toe. “Well what about shoes?” As soon as it was suggested the team bought in and the work started. The team was tasked first with identifying a name for the brand. After toying around with ideas they resorted to a familiar playbook using Tucker’s name. Believe Brand’s name came from the Farsi to English translation Iman meaning “faith in God” or “Believe.”  However, this time it wasn’t as direct. Born Iman Capre O’Neal Tucker, they looked to his second name “Capre” in lieu of the second brand.  Aromanian translation leads to meaning goat.

Of course that was not the final destination.

Popular among American culture is the acronym G.O.A.T. or greatest of all time. In the Christian religion the son of God is referred to as the greatest man to walk the earth. 

The team wanted the brand to be a testament to excellence, a luxury brand committed to a unique look and design of mark and materials unmatched to any other brands available in the market.

As for the logo, the team wanted to give the main side logo of the shoe something that resonated to something outside of the religion. They discussed “If the son of god is god…who is god? God is love!…we wanted to come up with something related to love.” After the logo was finalized, an asymmetrical heart took the forefront of the design made up of two major parts. This was a very big deal for the team, to speak about the comparison. “We often compare our self worth on many factors and we feel smaller than those we look up to. However, it takes everyone to make the full picture, it takes all efforts to bring together the big and small,” and that’s how the team came up with the iconic heart logo on the side of the shoe.

Iman Tucker plans to release the shoe before the official release of the brand, Capre, which will be an online-only retail brand. The shoe will be available for pre-order from November 2022 while the company aims to release the luxury brand Capre by Q1 of 2023.

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In the era of digitalisation there are tons of people of being victimised where Cyber Expert Mieet Shah is helping them with unique solutions towards such crimes. Mieet Shah completed his doctorate in Cybersecurity at his young age and using his expertise in solving various types of cybercrimes and tracking cyber criminals and making justice to the victims of such crime which makes Dr.Shah is one of the leading Cybersecurity Experts in India.

Recently Dr.Shah has created a record by solving more then 1500 cybercrimes successfully. He was recently awarded with “International Fame Award” by bollywood actor Sonu Sood for his remarkable work. Also he had been published in more then 250 national and international media.

We are greatful to have such young and dynamic personality in our country.

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