Table of Contents
Introduction:
The modern world is moving towards convenience and flexibility, with fintech companies like Simpl making transactions faster and easier. Simpl is an app that allows you to make purchases and pay later, consolidating all your transactions into a single bill that you pay once every two weeks or monthly. It offers a seamless and convenient payment experience, eliminating the need for constant card swipes or wallet checks. But what happens if you don’t pay your Simpl bill? This article delves into the consequences you may face if you fail to settle your Simpl bill within the stipulated time frame.
Late Payment Charges:
One of the initial consequences of not paying your Simpl bill on time is the imposition of late payment charges. Your Simpl bills are generated every 15 days and are payable by 5th and 20th of every month. If you delay your Simpl bill payment by more than 5 days from the date the bill was generated, late fees will apply. For example, for a bill generated on 15th Nov, late fees will apply if you pay the bill on or after 21st Nov.
Here’s a breakdown of the late fees, inclusive of GST, based on the bill amount:
- Bill amount (0 > to <=500): Fine of Rs 25.
- Bill amount (500 > to <=1000): Fine of Rs 50.
- Bill amount (1000 > to <=2500): Fine of Rs 100
- Bill amount (2500 > to <=7500): Fine of Rs 250
- Bill amount (more than 7500): Fine of Rs 600.
Furthermore, if you delay your bill payment beyond 20 days from the date of bill generation, an additional late fee is applicable. For instance, for a bill generated on 15th Nov, an additional late fee will be applied if you pay the bill on or after 6th Dec. The same fee structure applies.
Credit Score Impact:
Simpl reports your payment activities to credit bureaus. Timely payments can help build your credit score, while late or missed payments can lead to a decrease in your score. This could subsequently make it more difficult for you to secure loans or credit cards in the future.
Reduced Credit Limit:
Failing to pay your Simpl bill could also result in a reduced credit limit. Simpl gauges your creditworthiness based on your repayment habits, and consistent delays or defaults in payment could lead to a decrease in the amount you’re allowed to spend.
Account Suspension:
Persisting non-payment could lead to temporary or permanent suspension of your Simpl account. You lose the privilege to use Simpl’s ‘buy now, pay later’ service and will not be able to use Simpl for transactions until you clear your outstanding bills and your account is reinstated.
Legal Action:
In severe cases, where the overdue amount is significant and the non-payment continues for an extended period, Simpl might resort to legal action to recover the debt. This could result in additional legal fees and potential court visits.
Conclusion:
Simpl’s ‘buy now, pay later’ model provides convenience and simplifies financial management, but it’s important to handle this responsibility wisely. Regularly failing to pay your Simpl bill could lead to monetary repercussions, affect your credit score, spending limit, and access to the service. Aim to pay your bills on time to maintain financial health and continue enjoying the benefits that Simpl offers.
FAQs Related to Consequences of Not Paying a Simpl Bill
What is Simpl?
Simpl is a 'buy now, pay later' fintech service that consolidates your purchases into a single bill that is payable every two weeks or monthly, depending on your billing cycle.
What happens if I don't pay my Simpl bill on time?
If you fail to pay your Simpl bill on time, you may face several consequences such as late payment charges, a negative impact on your credit score, a reduction in your credit limit, account suspension, and in severe cases, legal action.Answer
When are Simpl bills generated and when are they due?
Simpl bills are generated every 15 days and are due on the 5th and 20th of each month.
How are late payment fees calculated?
If you delay payment by more than 5 days from the bill generation date, a late fee is charged. The fee amount depends on your bill size and can range from Rs 25 to Rs 600. If your payment is delayed beyond 20 days from the bill generation date, an additional late fee is applied.
How does non-payment of Simpl bills affect my credit score?
Simpl reports your payment activities to credit bureaus. Timely payments help build your credit score, while late or missed payments can lead to a decrease in your score.
Can my Simpl account be suspended for non-payment?
Yes, persistent non-payment of your Simpl bill can lead to temporary or permanent suspension of your account.
Can Simpl take legal action for non-payment of bills?
Yes, in severe cases where the overdue amount is significant and the non-payment continues for an extended period, Simpl might resort to legal action to recover the debt.
What can I do to avoid these consequences?
To avoid these consequences, ensure to pay your Simpl bills on time. Simpl sends sufficient reminders for bill payments to help you stay on track.
2 Responses
Sir/Madam,
Since ine month, The concerned officials of your esteemed company are calling me pay the amount. It is pertinent to note that the amount is already debited in my bank account immediately on the day of transaction.
Hence in order to avoid comolucations, confusions & to avoid multiplicity of proceedings, I call upon all the concerned to stop making calls to me. If not, we will take legal action against all the concerned. PLEASE NOTE..
I have paid a bill of Rs 706/- on 6th April, I am continually getting messages for making payment or pay fine. Can’t even clarify as you have set questions to choose from and reply and also there is no way to call or contact as there is no phone number listed.