Compelling Reasons to Pay Loan EMI on Time

Compelling Reasons to Pay Loan EMI on Time
2 min read
05 Jan 2021

Key Takeaway

  • Customers are now looking for ways to increase their purchasing power. As a result, they are becoming more interested in low-cost solutions such as Pay Loan EMI online options.
  • EMIs offer an excellent way for customers to pay off their loans and improve their creditworthiness in the long run.

The good thing about today's financial service industry for consumers is that one can take a loan for just about anything- be it a home, a car, or a personal requirement. Easy EMIs can take care of all your needs without placing you under major financial stress. However, the challenge for most people is to ensure that EMI payments are not delayed and paid off on time!

Loan repayments are manageable and attainable as long as you plan your finances better. Moreover, there are many compelling reasons to make timely EMI payments. Remember that even though it is tough to save money every month or week to pay a loan's EMI, remembering the benefits of timely EMI payments will help you stay on track.

Compelling Reasons to Pay Loan EMIs on Time Online!

Paying your EMIs on time reduces how much you have to pay back and moves you closer to clearing the loan amount. Other compelling reasons to pay loan EMI online and on time are listed below:

1. Improves credit score

Good credit history will help you get a better borrowing amount and interest rate. If you pay your EMIs on time, your credit score improves. In other words, paying timely EMI shows that you have good credit, making borrowing easier in the future.

2. Avoid Penalties

If you don't pay your EMI on loan, your lender can take legal action against you and take the purchased goods away. The lender may also charge a lot of interest for loans. In many cases, penalties are based on the total amount of money. To avoid it, you must pay loan EMI online and on time.

3. Add-on loan facility

The borrower can take an add-on loan on the first one if they have a good credit score and significant history of all types of EMI payments. This option is available in all loans varying from personal to home loans. Hence, if you need, you can get a top-up on your existing loan if you have been punctual in paying off EMIs.

4. Free incentives

Creditors are willing to give money to people who have a history of paying back their loans on time. As a result, you may get offers at certain times. For example, if you pay your loan EMIs online and quickly, you can get a low-interest loan offer. In addition, your lender could give you shopping cards, high credit limits, cashback offers, and more for your EMI benefits.

A Few Tips for all Types of EMI Payment

Now that you know how important it is to pay your EMIs on time, you can learn how to do it every time. Some tips that will ensure that you pay loan EMI Online before your due date are listed below:

  • Avoid piling up your credit
  • Don't spend too much money on things you don't need if you have some EMI payments. You can also try not to use credit cards as much as possible. It only adds up to your loan amount at the end of the month, which could leave you in a position where you might not be able to pay other loan's EMIs because of the massive credit card bill! Thus, always create a monthly financial plan to save money and pay EMI timely.
  • Stick to the financial commitments- You can use your PPF or insurance to get loans from your creditor. After the three financial years, the insurance and PPF allow you to borrow money against the same. You can also get money from your savings accounts or mutual funds to pay off your loans. In this case, it's better to get rid of investments and pay off the debts rather than keep piling on new loans, making paying EMIs difficult.
  • Maintain a decent income to EMI ratio- To plan your finances before any loan, look at your income. Under no circumstances should your monthly EMI be more than 50% of the gross income. You don't know when an unplanned event will make it hard for you to pay loan EMI online.It’s also important to spread awareness and make other people aware of the significance of paying EMIs on time as well this Financial Literacy week which is from 14th-18th February in 2022, as announced by the RBI. RBI is already focused on creating awareness about the security of digital transactions, the convenience of digital transactions, and protection of customers and we must do our part too.


By paying off your EMIs on time, you can build up your creditworthiness in no time and make yourself eligible for future big-ticket loans, be it for your dream house, car, etc. Want to learn more about EMIs or have any inquiries regarding a Bajaj Finserv loan EMI? Connect with our representatives through phone or email. You can also use the 24x7 Bajaj BLU Live Chat Support on the website for all your EMI queries. Download the Bajaj Finserv app to learn more visit


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