Soon after it extended EMI option on debit cards, Amazon through it payments service Amazon Pay has launched card-less EMIs for select customers.
The facility, called Amazon Pay EMI, provides instant financing options for up to Rs 60,000 at low-interest rates to customers who may not yet have access to a credit card.
The move has been made to attract more customers, especially ahead of the festive season when the traffic at e-commerce website is usually high.
The company has partnered with digital lending startup Capital Float to design and enable Amazon Pay EMI.
Currently, this is an invite-only program and customers will have to complete a two-step registration process to check the credit limit.
Customers without access to credit, often find it difficult to afford high-value purchases and go through the hassle of saving up or delaying their purchase, can now fulfil their shopping aspirations during the upcoming festival season, a statement by the company said.
Customers will see an option to register for the credit facility on the Amazon Pay homepage, and upon providing their PAN and KYC details, they will be instantly provided credit limit up to Rs 60,000. Also, there are no processing fees or hidden charges associated with such a loan.
During the launch offer, the company is likely to offer no-cost EMI on three and six months loan.
“Amazon has always been focused on making shopping truly affordable for masses online. We are on a mission to enable credit access for every Amazon customer. Amazon Pay EMI is a hassle-free way of availing instant credit for customers that currently don’t have access to credit," said Vikas Bansal, Director, Emerging Payments.
"This product has been developed leveraging India Stack to make the process completely digital. After recent expansion of EMI on Debit cards, we are very excited to bring this facility ahead of festive season and being the most affordable destination for our customers,” he added.
For now, the feature is only available on the mobile app and is applicable only on single item purchase of over Rs 8,000 without an exchange offer.
To avail the offer, the person must be of the age of 18 years or above. Also, customer needs an Amazon ID, Aadhaar card or PAN card and an account in any of the banks including HDFC Bank ICICI Bank, Kotak Bank, Citi Bank and Canara Bank.
Following are the steps to register for Amazon Pay EMI:
Step 1: Verify Identity: Open the app, go to Pay option and check availability, click register and fill in identity details (PAN or Aadhaar details). Verify the OTP sent on the registered mobile number
Step 2: Accept Terms: Now, you can see the approved limit with the loan agreement.
Step 3: Setup Auto Repayment: Choose the auto-repayment option by selecting the debit card.
You will be charged for an amount of up to Rs 5 to verify your details. This amount will be refunded to you in 3-5 business days. If the EMI option for a product doesn’t exist, then you will not be able to buy the product on EMI.