When customers reach the checkout page, they look for payment choices that feel simple, flexible, and easy on the pocket. If the option they prefer is missing, many quietly drop off. This is one of the biggest reasons behind rising cart abandonment on online stores.
Buyers today expect more than the usual card or wallet payments. They want instalment plans, pay later options, and especially cardless EMI choices that make higher value purchases more manageable. As credit based payments grow across India, these modes are now becoming essential for better conversions and a smoother buying experience.
This article explores why businesses should adopt these flexible credit payment modes and how they add real value for both customers and merchants.
| Table of Contents What Cardless EMI Really Means Understanding Pay Later Options Why These Modes Are Growing in Popularity Benefits for Businesses How Cardless EMIs Improve Affordability How Pay Later Options Shape Customer Behaviour The Role of a Payment Gateway Enabling These Modes Through a Reliable Partner Final Thoughts FAQs |
What Cardless EMI Really Means?
Most people associate EMIs with credit cards. Cardless EMI takes the same idea but removes the need for card ownership. Customers can split their payments into instalments using credit offered by a lending partner.
The approval process is usually quick. Customers share basic details such as their phone number or identity information, and once approved, they can finish the purchase immediately.
This type of installment payment is especially helpful in a country where credit card penetration is still low.
Understanding Pay Later Options
Buy now pay later is another widely used credit method. It lets customers complete a purchase instantly and settle the full amount at a later date. Many young buyers prefer this model as it gives them financial breathing room without delaying the purchase.
These pay later options work well for low and mid ticket orders, and many services offer short interest free periods, which makes them even more attractive.
Why These Modes Are Growing in Popularity?
Customers increasingly look for payment modes that reduce upfront pressure. With cardless EMI, pay later options, and other consumer financing tools, buying becomes easier and more flexible.
The growth of digital credit in India has been remarkable. With mobile lending apps, fast evaluations, and simple repayment plans, customers have started trusting these options as a normal part of their shopping journey.
Benefits for Businesses
Businesses that offer flexible credit based payment options often see improvements across several areas. Customers feel more confident about completing a purchase when they have the choice to pay later or split payments.
Key benefits include:
- Smoother Experience At Checkout
- Higher Order Values
- Access To Customers Without Credit Cards
- Better Affordability During Festive Seasons Or Sales Peaks
These advantages are particularly valuable for categories such as electronics, fashion, furniture, wellness, and education.
How Cardless EMIs Improve Affordability?
One clear benefit of cardless EMI is that businesses can provide no cost or zero cost instalment plans when the model allows it. This makes budgeting easier for customers, since they only pay the product price without any added fee.
Since the EMI approval does not require a credit card, businesses can reach a wider audience. First time online shoppers often prefer cardless options because they feel simple, familiar, and do not require sensitive card details.
How Pay Later Options Shape Customer Behaviour?
Pay later modes encourage customers to complete their purchase because the upfront amount is not a hurdle. They allow buyers to take home what they need and pay it back when it suits them.
These options influence behaviour in several ways:
- Customers Can Buy Immediately And Pay Later
- The Repayment Window Gives Them Flexibility
- The Pressure Of Paying A Large Amount At Once Is Reduced
As shoppers grow comfortable with this system, they are more likely to return and make repeat purchases.
The Role of a Payment Gateway
A dependable payment gateway ensures that these credit based options work smoothly from start to finish. It connects merchants to lending partners, manages instant approvals, and keeps the entire checkout flow seamless.
Payment partners such as PayU provide:
- Support For A Wide Range Of Pay Later Options
- Smart Routing To Improve Approval Success
- Easy Integration With Multiple Lending Partners
- Clear Dashboards To Track Repayments And Settlements
This reduces the need for merchants to manage multiple credit integrations on their own.
Enabling These Modes Through a Reliable Partner
With the right payment partner, merchants do not need separate technology setups for each credit provider. A single PayU integration gives access to BNPL services, cardless EMI, and many other flexible payment options.
Merchants can benefit from:
- Faster Go Live
- Predictable Settlement Cycles
- One Dashboard For All Credit Based Transactions
- Support For EMI Payment Options Without A Card
This creates a strong and scalable payment setup for growing businesses.
Final Thoughts
Customers value flexibility and choice. Offering cardless EMI, buy now pay later, and other credit linked payment modes helps merchants reduce cart abandonment and build trust.
With a reliable payment gateway like PayU, these options can be enabled quickly and securely. The result is simple: better customer experience, higher conversions, and stronger revenue potential.
FAQs
1. What is cardless EMI
It is an instalment payment method that does not require a credit card. The customer gets a credit line from a lending partner and repays through monthly instalments.
2. Is buy now pay later similar to cardless EMI
Both offer credit based payments, but buy now pay later usually supports smaller purchases while cardless EMI works better for higher value transactions with structured repayments.
3. Do these options include interest
Many providers offer zero cost EMI or short interest free periods depending on eligibility and merchant arrangements.
4. Why should businesses offer these payment modes
They reduce cart abandonment, increase affordability, attract customers without credit cards, and often improve overall conversion rates.
5. How can businesses activate these modes quickly
Integrating with a payment gateway such as PayU gives access to cardless EMI, pay later options, and other flexible credit modes through a single setup.
