NAME OF THE PRODUCT: J&K Bank’s EMI Scheme on Credit card Purchases

NATURE OF THE FACILITY: Term Loan

PURPOSE & ELIGIBILITY: To provide a term loan for purchase of merchandise / service by using credit card : Customers having valid credit card, wherein there have been no past dues.

MARGIN: Nil

TICKET SIZE: Rs.2500/- to Rs. 2,00,000/-

PROCESSING CHARGE: Nil

EMI TENURE: 3, 6, 9, 12, 18 & 24 Equated Monthly Installments.

ROI:

PRE-PAYMENT CHARGES: 3% of the remaining amount.

DEFAULT: In case of default of three consecutive EMI’s by a customer will result in reversal of entire outstanding principle plus interest for the period of default @ the Interest rate applicable on credit card purchases. The date of reversal shall be after the expiry of one month from the due date of third un-serviced instalment.

MORATORIUM PERIOD: Nil

GENERAL TERMS AND CONDITIONS:

In these Terms and Conditions, the following terms shall have the following meanings
· “Credit Card” shall mean an unexpired credit card issued by Jammu & Kashmir Bank.
· “Cardholder” shall mean the holder of a Credit Card.
· “Merchant EMI” refers to transactions initiated by the card member at any Point of Sale or an e-commerce website where the cardholder chooses to convert the purchase amount into Equated Monthly Installments at the point of payment/ charge to credit card at the rate of interest as communicated in the charge slip 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 Cardholder Terms & Conditions and nothing contained herein shall prejudice or affect the terms and conditions of the Cardholder Terms & Conditions.
· Unless otherwise specified, the words and expressions used herein shall have the same meaning as in the Cardholder Terms & Conditions.

Terms and Conditions for Merchant EMI on credit cards
· A Cardholder may opt to convert a purchase at select Merchant outlets/website into Equated Monthly Installments (EMIs.) The Purchase(s) would be converted into Equated Monthly Installments (EMI) with interest charged on the monthly reducing balance.
· In the event the Credit Card is closed prior to all installments being charged, the amount outstanding against Merchant EMI plan shall be debited as a consolidated amount to the Credit Card account of the Cardholder.
· Jammu & Kashmir Bank shall be entitled to demand immediate repayment of such consolidated outstanding amounts.
· The EMI shall be computed on a monthly reducing balance.
· Interest rates as communicated at the time of availing the product(s) shall be applicable.
· Partial or full refunds initiated by the merchant towards the original transaction subsequent to the Merchant EMI booking leads to pre-closure of the Merchant EMI facility. Once the Merchant EMI is pre-closed, for any reason, all outstanding including but not limited to the principal outstanding and the interest for the actual number of days till closure i.e., from the last billing date till the date of closure, shall be debited to the Credit Card account. However in this case no pre-closure charges shall be applied.
· Cash back (if applicable and communicated to customer at the time of the transaction) for an EMI transaction is offered solely by the merchant/brand and shall be credited to the cardholder only on receipt of the funds from the merchant/brand. This process may take up to 90 business days.

Billing and repayment
· The first EMI shall be billed on the first billing date for the Credit Card that falls post the date of the transaction on the Credit Card that is being converted into EMI as per the Merchant EMI plan.
· All billing of EMIs in the subsequent months shall be on the billing date of the Credit Card for that month.
· The EMI amount shall be included as a part of the minimum amount due appearing in the Cardholder’s monthly Credit Card Statement.  The minimum amount due as reflected in the credit card bill shall include the minimum amount of purchase/Cash Withdrawal as per existing norms plus the EMI amount of the loan. If the minimum amount due is unpaid, Charges shall be levied on such outstanding’s (including but not limited to the EMI as above), as communicated in the Credit Card  Terms &Conditions (T&C).The Credit Limit on the Credit Card shall be blocked to the extent of the purchase transaction amount. The Credit Limit will be released as and when the EMI is billed and paid for in subsequent months.
· A maximum of ten concurrent transactions are permitted to be converted into Merchant EMI on each Credit Card, at any point of time.

Interest Calculation Methodology on EMI products
· Interest rate communicated at the time of initiating the transaction shall be levied on monthly reducing balance.
· Jammu & Kashmir Bank reserves the right to modify rate of interest from time to time, at its sole discretion with prior notice or in the event of any changes in the interest rate made by the Reserve Bank of India (RBI) Service Charges on Card balances If the amount paid towards dues on the Credit Card is less than the Total Amount Due, Service Charges shall be levied on such outstanding’s (including but not limited to the EMI as above), as per the interest rate applicable and communicated in the Credit Card Terms & Conditions (T&C). This rate is subject to change with prior notice. The applicable interest rate shall be mentioned on the monthly Statement.

Prepayment process and related charges
·The Merchant EMI product(s) can be pre-closed by calling Contact Centre on toll free no. 18001800234. 
·Any payment made into the Credit Card Account over and above the EMI shall not be deemed to be payment towards the amount availed under Merchant EMI and shall not be deemed as closure of the Merchant EMI.   
·Jammu & Kashmir Bank reserves the right to revise the pre-payment charges at its discretion, with prior notice via email/letter and such revised charges shall be binding on the Cardholder.
·Once the Merchant EMI is pre-closed, for any reason (excluding refund from merchant end), all outstanding including but not limited to the principal outstanding and the interest for the actual number of days till closure i.e., from the last billing date till the date of closure, shall be debited to the Credit Card account. 
·Pre-closure due to Card closure; In the event the Credit Card is closed prior to all EMI(s) being charged, the principal outstanding, the interest for the days till closure shall be debited to the Credit Card account. Jammu & Kashmir Bank shall be entitled to demand immediate repayment of such outstanding amounts.
Non-payment of three consecutive EMI’s by a customer will result in reversal of entire outstanding principle plus interest for the period of default @ the Interest rate applicable on credit card purchases. The date of reversal shall be after the expiry of one month from the due date of third un-serviced instalment. It is mention here that the Interest rate charged on defaulted EMI’s will be that of credit card purchases and not of EMI scheme.    

Other Terms & Conditions; Final approval for the Merchant EMI shall be at the sole discretion of Jammu & Kashmir Bank and is subject to the Cardholder’s performance on the Credit Card GST, as notified by the Government of India / Government of J&K, is applicable on all fees and other charges and is subject to change as per relevant regulations of the Government of India / J&K.
Prepayment Penalty and Processing charges shall be Nil for Platinum Current account holders.
 Jammu & Kashmir Bank reserves the right at any time, with previous notice, to add, alter, modify, change or vary all or any of these terms and conditions or to replace these wholly.