How to Prevent the Delay or Default of Instant Credit Line Repayments


A missed or delayed EMI is a minor default. A good lender does not charge more than a 0.1% penalty fee per day. Stay worry-free since the loan is not suspended. But a longer delay can have a few significant consequences. For instance, it dips credit scores by 50-70 points. You may get a negative tag on your profile with restrictions for further credit. The interest rate can be increased as well, along with additional fees. All this makes it extremely tedious to handle an otherwise simple, easy and manageable instant credit line


The good news is that one can prevent the pitfalls of missed EMIs. All you have to do is follow the below strategies, which are helpful for financial difficulties, negligence, or carelessness. Read on. 


Utilise the Savings Pot 

A credit line lets you repay in  3 easy EMIs. Yet if you cannot arrange for funds before the monthly deadline, use your savings! This is the easiest way to avoid slipping into a debt burden. You can also utilise your emergency fund if the savings are used elsewhere. This can provide the much-needed cushion before you can pay credit line EMIs again. 


Be Well-Structured 

Keep an eye on your cash inflow/outflow. Make the most of financial apps and tools on the internet to keep your finances in good health. Remember to clear other dues and cut down on unnecessary spending like multiple streaming subscriptions or impulse shopping. Record and organise the payment schedules of all debts. These will avoid monetary confusion and help pay the EMIs on time.


Consolidate Other Debts 

This is a smart option for anyone with multiple ongoing loans. Try to close the big ones with prepayment. This saves a huge chunk of money right away. It can be made possible to shift all your loans to a single bank to expect low-interest rates. This reduces the risks of running out of funds while paying the instant credit line EMIs. 


Automate Pay Reminders

Setting up auto-debit facilities can keep you alert. This is especially beneficial for forgetful individuals and is a possible way never to miss an EMI. Keep a reminder at least a week before the due date. Getting a notification way ahead of time can help you gather the funds easily without hurry and errors. 


Well-Equipped Accounting System 

It offers an idea of your income and expenditure. You can make decisions based on your regular budget instead of wasting money here and there. Know all the invoices, records, reports and entries created to understand your current financial standing. It helps you adjust your goals and keep aside enough for debt payments. 



Keeping these tips in mind as you get a line of credit helps you stay on top of your EMI plan. You can request the lender to lower or waive the penalty in case of genuine difficulties.