American Express® EMI

In these Terms and Conditions, the following terms shall have the following meanings:

1. "Credit Card" shall mean an unexpired Credit Card issued by American Express Banking Corp. ("AEBC") in India.

2. "Cardmember" shall mean the holder of a Credit Card.

3. "EMI" shall mean a facility wherein purchase(s) above Rs. 5000 are converted into Equated Monthly Installments ("EMI") at a rate as communicated at the time of availing the product.

The present Terms and Conditions are to be read in conjunction with, and not in derogation of, the Cardmember Agreement and nothing contained herein shall prejudice or affect the Terms and Conditions of the Cardmember Agreement. Unless otherwise specified, the words and expressions used herein shall have the same meaning as in the Cardmember Agreement.

Detailed Terms & Conditions

1. Eligibility


1.1 The EMI facility is open to select American Express Credit Cardmembers. The Bank reserves the right to decide the eligibility as per internal policy and guidelines.

1.2 Only Basic/Supplementary Credit Cardmembers can make a request for conversion of a charge into EMI. The Cardmember can convert any charges above Rs.5, 000 included in any statement into EMI before the Payment Due Date of the statement in which the transaction is billed.

1.3 American Express reserves its absolute right and discretion to approve or decline any request for EMI. It is further clarified that transactions under certain merchant categories especially Gold and Jewellery related transactions or any other transactions prohibited under law cannot be converted into EMI.

1.4 When you make a purchase under EMI, the available credit limit on your American Express Credit Card Account shall be reduced by an amount equal to the Principal and total interest but your account statement for any month will reflect only the Installment amount due from you for that EMI transaction during that month.

1.5 Cardmembers can, at any point in time, avail upto six charges/transactions for conversion into EMI, subject to availability of credit limit.

1.6 Only the complete charge / transaction amounts are eligible for the EMI and any requests for part of the charge or clubbing of multiple charges into EMI are not allowed

1.7 Existing outstanding balances from transactions already converted into EMI, cannot be converted into EMI.


2. Interest and Installments


2.1 The "EMI" interest charges on EMI transaction is charged at a rate communicated to you at the time that you avail the facility. We reserve the right to change the offered EMI interest rate from time to time and furthermore, reserve the right to simultaneously offer different EMI interest rates for purchases and different items that differ based upon communication channel and media.

2.2 Any change in the EMI interest rate shall not affect EMI transactions already getting billed on the card prior to the effective date of that change.

2.3 For EMI requests received at Point of Sale, the monthly installment amount mentioned on payment charge slip (at offline merchants) or payment confirmation page (at online merchants) are only indicative and may vary after actual EMI Plan conversion. Please refer to the monthly installment amount for EMI Plan as mentioned in your Card Account.

2.4 Once the EMI tenure has been chosen by you, the same cannot be changed


3. Payment and Prepayment


3.1 The cardmember needs to pay a fee of 2% of the transaction amount as the processing fee to avail this facility, unless expressly waived otherwise. In the event if any offer is applicable, this fee will be refundable and appear as statement credit within 30 working days. In certain cases, this may take up to 60 working days.

3.2 After processing cardmember's request for conversion of transactions into "EMI", the amount shall be billed on the first Statement for the Credit Card that is generated post the conversion of transaction into EMI Plan.

3.3 The installment amount for each EMI transaction shall be paid in full each month, notwithstanding the minimum monthly payment requirements stipulated in the Cardmember Agreement. The aggregate of all EMI Installments amounts for any Billing Period will be added to the minimum monthly payment calculated for all other charges or outstanding balances for that billing period. We reserve the right to charge default interest on any unpaid or partially paid Installment Amount.

3.4 Any amount in excess of your full outstanding balance reflected in your current statement, will result in a credit balance lying in your card account and will not be applied to unbilled EMI installment amounts.

3.5 You may pre-pay the aggregate of all unbilled Principal Amounts in full (but not part) by calling our customer service. No Pre-payment charges will be applied on foreclosure of the EMI facility.

3.6 Notwithstanding anything stated elsewhere, the Bank at its sole discretion reserves the right to off-set any credit balance on the card account against any due EMI Installment.

3.7 Upon pre-closure the entire outstanding amount will be billed to the cardmembers account statement. If the Cardmember chooses not to pay the entire amount and opts to revolve, the entire amount will attract applicable Card interest rate (APR) as specified in the monthly Statement of Account.

3.8 In case of full refund from the merchant, the customer needs to contact the 24-hour customer care and should place a request for EMI cancellation.

3.9 Should you decide to cancel your Card Membership with American Express in future, please remember to call our 24 hours Customer Service to foreclose any EMI Plan running on your Card Account followed by closure of your Card Account.


Cancellation of EMI facility


4.1 In case your Credit Card Membership is terminated either by you or by us, including the event of delinquency, the aggregate of all unbilled Installments Amounts to be paid by you over the unexpired EMI term shall become immediately due and payable as one consolidated amount.

4.2 In the event the Cardmember wishes to cancel the EMI facility, the Cardmember must make the request for cancellation of the EMI before initial payment due date of that charge.

4.3 In the event of cancellation of EMI facility, if the balance in the Cardmember's account is revolving, then the remaining Principal amount (along with cancellation fee, if any) shall be added to the revolving balance and shall attract the credit card interest charges (APR) as specified in the monthly Statement of Account.

4.4 The Bank shall not entertain any requests by Cardmember for transferring from one EMI plan to another plan.

4.5 American Express reserves the right to foreclose the EMI and debit the entire outstanding amount if the earlier payments are overdue


5. Credit Limit Implications


5.1 The Credit Limit on the Credit Card shall be blocked to the extent of the full transaction amount plus total applicable interest. The Credit Limit will be released as and when the EMI is billed and paid for in subsequent months.


6. Prior Agreement


6.1 These installment Payment Plan Terms and Conditions supplement the Cardmember Agreement.

6.2 American Express reserves its absolute right at any time to add, alter, modify or change or vary terms and conditions herein and such amendment(s) / modification(s) shall be binding on the Cardmember.

6.3 The cardmember shall renew the card forthwith in the event the period of the card expires during the tenure of the facility. In the event of failure of the cardmember to renew the card as stated above, the Bank shall be entitled to call upon the cardmember to forthwith repay the facility without prejudice to all rights and remedies against the cardmember.



Illustrative example of the amortization schedule:-

. Transaction amount converted to EMI: Rs. 12,000
. Interest Rate (indicative rate, the actual applicable rate might vary): 14% p.a. (1.17% p.m.)
. Processing Fee: Rs. 240 (2% of Rs. 12,000)
. EMI Tenure: 12 months



Month Monthly EMI*
(Principal + Interest)
Interest Principal Service Tax#
1 1077.45 140 937.45 25.20
2 1077.45 129.06 948.39 23.23
3 1077.45 118 959.45 21.24
4 1077.45 106.8 970.65 19.22
5 1077.45 95.48 981.97 17.19
6 1077.45 84.02 993.43 15.12
7 1077.45 72.43 1005.02 13.04
8 1077.45 60.71 1016.74 10.93
9 1077.45 48.85 1028.6 8.79
10 1077.45 36.85 1040.6 6.63
11 1077.45 24.71 1052.74 4.45
12 1077.38 12.42 1064.96 2.24


* The monthly installment amounts are only indicative and may vary after actual EMI Plan conversion. Please refer to the monthly installment amount for EMI Plan as mentioned in your Card Account. The monthly installment amount is rounded up in order to bill amount in whole numbers. Any amount billed in excess due to rounding up of monthly installment would be adjusted in the last installment


# 18% Goods and Service Tax is applicable on the interest component