Is No-Cost EMI really zero interest?

Mathematically, yes (as the merchant pays the interest). But practically, no—you pay 18% GST on the interest and usually a processing fee, which aren't waived.

No-Cost EMI Decoder

Reveal the true costs behind 'No-Cost' EMI schemes, including hidden GST and processing fees.

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Quick Summary: No-Cost EMI Decoder

No-Cost EMIs in FY 2026-27 work by giving an upfront discount equal to the interest amount. However, you still pay 18% GST on the interest component and often a processing fee (~₹199). This makes the 'free' EMI actually cost 3-5% more than the cash price.

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Regulatory Disclaimer

Last verified May 2026

Statutory Disclosure

Nature:Calculator platform and is NOT a SEBI-registered Investment Adviser. All calculations are indicative.

Risk:"Investments in securities market are subject to market risks. Read all related documents carefully before investing."

Consult a SEBI-registered IA or CA for personalised advice.

9 out of 10 traders in F&O incurred net losses (SEBI 2023). Tax estimates based on IT Act 2025. Trezoriq is not liable for financial decisions based on results.