How to Convert Credit Card Payments to EMI


EMIs everywhere! Even in credit card payments.

Now you can stop worrying about your credit card payments and start buying what you’ve always been putting off. Top banks of India bring you the comfort of converting your credit card bills into EMIs and make payments easier. 

Read this article to know the interest rate and tenure of the EMIs. Also, learn how EMIs are calculated by the banks, and the process of converting your credit card payments to EMI.

Interest Rate and Tenure of Top Banks

Here are the interest rate and tenure options offered by the top banks of India where the interest rate has been calculated by using reducing balance method.


Interest Rate

Available Tenure


1.5% per month

9,12,18, 24 and 36 months


22% per annum

6,12 and 24 months


13% per annum

3.6.9 and 12 months

15% per annum

18 and 24 months

How Can I Check the Credit Card EMI Calculators of Top Banks?

  1. HDFC Credit Card EMI Calculator
  2. SBI Credit Card EMI Calculator
  3. ICICI Credit Card EMI Calculator

How Do I Convert Credit Card Bills To EMI?

You can convert your credit card payment into EMIs through three methods:

  1. Internet Banking
  2. Mobile Banking
  3. Customer Care

Things You Should Consider Before Opting For EMIs

  1. Banks charge a processing fee for availing the EMI conversion feature
  2. A pre-closure charge may also be levied if you choose to cancel your EMI
  3. GST charges will be applicable on the interest rate as well as the processing fee

Learn How EMI is Calculated by Banks

Most banks use the reducing balance method to calculate EMI that you have to pay back to the bank. Reducing balance method is a win-win for you because unlike other interest options, reducing balance rate only charges interest on the remaining loan balance. So as time passes, the principal amount reduces and the interest rate is charged on just the outstanding amount. The formula for calculating the EMI with reducing balance method is

EMI = [ P x R x (1+R)] / { [(1+R)N ] -1}

Where R = Interest rate per month which is the annual interest rate / 12×100

            P = Principal amount

            N = Number of installments (in months)

We will take an example to understand the EMI calculation in a better way.

Let’s assume that you have made a transaction of INR 10,00,000 with an interest rate of 10.5% per annum. You have chosen to pay through EMI with an instalment of 120 months which is 10 years.

Here, R will be 10.5 / 12×100 = 0.00875

Now the EMI would be,

EMI = [10,00,000 x 0.00875 (1+0.00875) 120 ] / { [(1+0.00875) 120 ]-1 } 

= INR 13,476

So, the monthly EMI that you will have to pay for 10 years is INR 13,476.

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