Global Statistics

All countries
245,768,802
Confirmed
Updated on 28/10/2021 3:37 am
All countries
221,038,692
Recovered
Updated on 28/10/2021 3:37 am
All countries
4,987,767
Deaths
Updated on 28/10/2021 3:37 am

Global Statistics

All countries
245,768,802
Confirmed
Updated on 28/10/2021 3:37 am
All countries
221,038,692
Recovered
Updated on 28/10/2021 3:37 am
All countries
4,987,767
Deaths
Updated on 28/10/2021 3:37 am

Buy now and pay in 3 months without any interest – here’s how

You can also split your transaction into EMI for the longer term in the future.

Buy Now Pay After 3 Months With This BNPL Provider – Here’s What You Need To Know

In recent years, Buy Now Pay Later (BNPL) services have grown by leaps and bounds and are destined to become a prominent form of financing. In India, experts say that the demand for BNPL has been growing for about 3-4 years, further accelerated by COVID-19. BNPL has now emerged as a more convenient payment method that essentially reduces the financial burden on borrowers by offering EMI at no cost.

Several BNPL providers have further developed and improved their offerings to help borrowers manage their finances. For example, Simpl, LazyPay, and Ola Money are solving one-click convenience for high-frequency transactions. Similarly, Bajaj Finance and Zest Money are solving affordability, helping one buy an 80k worth refrigerator for 30k and the rest can be paid for by EMI. Uni Pay, on the other hand, helps the borrower to manage their cash flow problems with the Uni Pay 1/3 card.

While most post-payment products on the market are digital and non-physical cards, they are generally merchant dependent and only work within a business network and credit lines are lower. Comparatively, Uni Pay 1/3 is a physical and digital card and runs on the Visa network, giving the borrower access to millions of merchants.

How will it benefit borrowers?

The physical Uni Pay 1/3 card can be used as a credit card at any business establishment in the visa network. Borrowers also get flexibility at the transaction level; for example, they will have the option to choose to split payments into 3 parts or pay in the same month and enjoy an additional refund. For any transaction made through this card, the customer can pay for more than 3 months at no additional cost. For example, if you make a transaction worth Rs 3,000 and choose option 1/3, it converts to Rs 1,000 in month 1, Rs 1,000 in the second month, and Rs 1,000 in the third month. And if you decide to pay the full amount back at the end of the first month, as is the case with a typical credit card, you will get a 1% refund or a reward.

Nitin Gupta, Founder and CEO of Uni, says: “The core idea behind the Uni Pay 1/3 card is that it helps manage short-term money needs while providing the flexibility to earn rewards based on choice. It is the longest interest-free credit product on the market. It questions traditional ethics around credit cards that penalize borrowers for short-term funding requirements. “

Unlike other BNPL credit cards and options, the Pay 1/3 card offers borrowers the option of paying 1/3 or earning 1% rewards based on their needs, and this can be customized for each transaction. This BNPL product offers convenience, in which a person can make a purchase and pay later or make a payment or divide it into EMI. Therefore, one can divide his transaction into EMI for the longer term in the future.

However, Gupta adds, “The Pay 1/3 card is not a credit card but a PayLater card. A credit card has a payment cycle of 30 days and the borrower gets a credit period of only 30 days. “For a longer tenure of the credit period, Uni PayLater card in the Buy Now, Pay Later line offers the option with a zero balance prepaid card. It also comes with a credit limit ranging from Rs 20,000 to up to Rs 6 lakh. Once a transaction is completed with this BNPL option, the borrower must select the payment option monthly or unique through the Uni application.

Charges and interest rates

Late fees will apply to transactions that are not paid beyond the 3-month payback time. This BNPL Pay 1 / 3rd card has a fixed fee for paying the minimum amount and the missing payment beyond the expiration date.

On any BNPL product, including Pay 1/3, the minimum amount owed must be paid in each billing cycle, otherwise the borrower will have to pay late fees that are decided based on the slab. However, unlike a credit card, there are no interest charges. Also, if one does not make a payment during a period, no interest or interest fees are charged on the interest charged.

Uni’s post payment option comes with an enrollment fee of Rs 1199, although enrollment fees are removed as of now.

How does this line of credit affect your credit score?

Experts say that the impact of the Uni Card is similar to that of a credit card. Timely and consistent repayments will improve your credit score, and late payments will also have an effect.

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