Buying a phone, laptop or TV on instalments is common in Pakistan, and brands and banks advertise "0% markup" plans everywhere. Some of these are good deals. Others cost far more than paying in cash. This guide explains how the main kinds of plan work, using the terms banks and stores publish, and shows how to work out what you will really pay.
The two main kinds of plan
1. Credit card instalment plans
You buy the product on your credit card, and the bank turns the amount into monthly payments. These are offered by banks directly and at checkout in many online and brand stores.
Typical terms, from published examples:
- Daraz with Standard Chartered: 6 or 12 months at 0% markup, with a processing fee. The terms page gives the fee as 2.5% for 6 months and 7% for 12 months, while the FAQ on the same page says 5.5% and 11.5%. The minimum is Rs 10,000, and paying off early costs Rs 1,000 or 5% of the remaining amount, whichever is higher. Conversion can take up to 7 working days.
- Bank Alfalah, iPhone 17 offer (July 2026): plans from 3 to 36 months, with 0% markup on 3, 6 and 9 months and processing fees of 2.5%, 8% and 12%, plus Federal Excise Duty, according to ProPakistani. Longer plans carry markup.
- Official iPhone 18 Pro launch (September 2026): instalments through HBL, Meezan Bank, Bank Alfalah, Faysal Bank, Standard Chartered, Askari Bank and UBL, according to the launch report. Terms differ by bank.
2. Cash instalment plans (no credit card)
A finance company buys the product for you and you repay it monthly. You usually pay part of the price up front.
Example: Samsung with Qist Bazaar. Samsung Pakistan's page says this option is for Galaxy smartphones only, for orders between Rs 10,000 and Rs 150,000, with a 30% down payment in cash at delivery. Samsung's own example for a Rs 100,000 phone (Rs 30,000 paid up front, Rs 70,000 financed):
| Length | Total paid to Qist Bazaar | Monthly | Extra over Rs 70,000 |
|---|---|---|---|
| 3 months | Rs 75,600 | Rs 25,200 | Rs 5,600 (8%) |
| 6 months | Rs 82,600 | Rs 13,767 | Rs 12,600 (18%) |
| 9 months | Rs 89,600 | Rs 9,956 | Rs 19,600 (28%) |
| 12 months | Rs 95,900 | Rs 7,992 | Rs 25,900 (37%) |
Swipe the table sideways to see every column.
Figures from Samsung Pakistan's page, checked 13 October 2026. The percentage column is our own calculation. The page says a processing fee may also apply and is shown at checkout.
How to work out the real cost
Use this simple method for any plan:
- Write down the cash price of the product at the same shop.
- Add every charge: processing fee, markup, Federal Excise Duty, down payment, and any insurance or service charge.
- Multiply the monthly payment by the number of months, then add the down payment.
- Compare the total with the cash price. The difference is what the plan really costs you.
Worked example: a 0% card plan
A phone costs Rs 100,000 in cash. You choose a 12-month 0% plan with a 7% processing fee.
- Processing fee: Rs 7,000
- Total paid: about Rs 107,000
- Monthly: about Rs 8,917
So the "0%" plan costs about Rs 7,000 more than paying in cash, plus any tax the bank adds on the fee.
Worked example: a cash plan
The same Rs 100,000 phone on Samsung's 12-month Qist Bazaar example:
- Down payment: Rs 30,000
- Total financed: Rs 95,900
- Total paid: about Rs 125,900
That is about Rs 25,900 more than cash, before any processing fee.
What to check before you sign
- The cash price. Some shops raise the price for instalment buyers. Ask for both prices.
- The processing fee and taxes. Ask for them in writing. On the Daraz page, two sections gave different fees, so confirm with the bank.
- Early payment charges, if you might pay off the plan early.
- What happens if you miss a payment. Samsung's page says Qist Bazaar may lock the phone using Knox Guard, and lists other legal action.
- The warranty. It should be the same as for a cash buyer.
- PTA status for phones. Phones from official brand stores are PTA approved. If any seller offers a phone on instalments, check the IMEI first, especially if the price is low. See how to check PTA status by IMEI.
Is buying on instalments a good idea?
It can be, if:
- the plan is genuinely 0% with a small fee,
- you are disciplined about paying on time,
- and the monthly payment fits your budget easily.
It is usually a poor deal if the total cost is 20% or more above the cash price. In that case, it may be better to buy a cheaper model in cash. Our lists of the best mobile under 50000 and best mobile under 100000 can help you find one.
Note that paying the tax on an imported phone in instalments is a different topic. See paying PTA tax in instalments.
