Convert Your HDFC Credit Card Payment Into EMI And Improve Your Cibil Score

Made a huge transaction using your HDFC Credit Card and not sure if you can pay it all back at once? You might want to think about looking into converting your credit card payments into EMI.

If you’re using HDFC Bank credit cards, you’ll get this feature under Smart EMI. But using that option will end up getting your credit limit blocked. That is, until you clear all your EMIs. 

Why Convert Your HDFC Credit Card Payments Into EMIs?

Sometimes you want to make purchases online and you’re not sure if EMIs are available for that. If you ever wanted to buy that laptop or latest product released in U.S. stores but can’t get EMI facility, then buying that using your HDFC Bank credit card is a good option.

Unfortunately, when you use a credit card you have to repay by the end of 1 month. Most credit cards don’t have the EMI feature and this is where HDFC bank credit cards differ. You can find the Smart EMI option by opening the HDFC Banking app, clicking on the cards tab, and activating it from there.

Not all HDFC Bank users can use this feature and you have to check your eligibility before applying.

Using PhoneBanking To Convert Your Repayments Into EMIs

One more way you can convert your credit card repayments into EMIs is by using PhoneBanking services. The way this works is you call up the customer care helpline number in your city and ask them about it. They will give a confirmation before activating it and the process is absolutely paperless. HDFC Bank will charge an interest rate on these EMIs.

If you’ve been wondering how to convert credit card payment to EMI in HDFC bank offline, this is how you do it. You can reuse the SmartEMI feature on higher credit limits next time as well.

How Does This Improve My CIBIL Score?

When you convert your credit card payments into EMIs, it gets treated just like a loan. This means the repayments get logged into the CIBIL database and when you make timely EMI payments, your score goes up. Converting your credit card repayments into EMIs is a smart way to build up your CIBIL rating over time. If you have any existing loans on top of this and you’re able to clear them early, you’ll have a higher chance of raising your score quicker with this strategy.

Will My Credit Limit Get Unblocked Later?

Yes, your credit limit will get unblocked once you clear all your pending EMIs. In fact, if you clear your EMIs early, your credit limit could go up. Besides improving your CIBIL score, you create a good financial relationship with the bank. It’s a win-win. If you are using multiple credit cards and want to convert those payments into EMIs, you will have to contact the individual banks and see if they have that feature.

Banks will charge a processing fee for turning your payments into EMIs. You can use a credit card EMI calculator to find out what your EMI payments will be like. HDFC Bank charges an interest rate of 1.5% per month for all its EMI repayments. You can make an initial downpayment and split the balance amount into EMIs to lower your monthly repayments, if it helps.

How Do I Repay All My Credit Card Bills Together?

There is a way to club all your credit card bills and repay back at once. CRED is an online app designed for credit card users that helps in managing multiple cards. When you sign up on CRED, you get all your bills delivered to your phone as one invoice. You can clear that at the end of the month. However, CRED is not authorized to turn credit card payments into EMIs and that is up to the banks. 

It can simply pull all your bills together and help you pay them from one app. One big benefit of using CRED is that you get reward points and access to special features whenever you use the app. Keep in mind that users can register on CRED and are eligible only if they have a CIBIL Score of over 750. If you have a low CIBIL score, you have to improve it  before applying. 

How Do I Get This Feature?

If you have a bank account in HDFC and you can’t activate the SmartEMI feature, you might have to contact the branch. If you haven’t been using your credit card a lot, that might be why the bank disabled it. Other banks may or may not offer EMI repayments which means this facility is not available for all credit cards.

Before activating this feature, make sure you’ve been using your credit card for at least 3 to 6 months and making your repayments on time. The EMI facility becomes really useful when you want to make bigger purchases which you cannot normally afford paying back in a month. The good news is that you will get lucrative offers from the bank and it’ll reflect in your CIBIL rating when you start using this feature.

What Can I Convert Into EMIs?

You can convert a wide range of purchases into EMIs. For example, you may want to buy groceries, medicines, technology items, or even shop on Amazon. There are many online merchants that let you pay in EMIs but some don’t. These websites are where you can use your credit card and turn the full bill into payable EMIs. 

The repayment tenure for these EMIs is between 6 to 24 months which means you get more than enough time to pay back. However, all reward points earned using your HDFC Bank Credit Card get reversed when you decide to turn your bill into monthly EMIs (and GST is charged).


Credit cards help us shop better and enjoy financial flexibility when we’re having a cash crunch. But sometimes we may be prone to overspending or want to make that big purchase before New Year’s. By turning credit card repayments into EMIs and splitting your bills, you take the financial burden off yourself. And every time you pay back on time, CIBIL database keeps a track of it and improves your score.

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