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Friday, March 4, 2022

what is better credit card or personal loan ?

what is better credit card or personal loan ?

Credit Card Loan Vs Personal Loan

What is your plan of action when you are in need of some cash  and you do not have sufficient funds? You may either opt to swipe your credit card with the traditional way of taking  loan. You have two option, either take a loan on your credit card or take  personal loan . To make a choice between the two, you will have to draw a 


Personal Loan

Personal loan is usually an unsecured loan taken for various purpose ranging from medical reason to expensive purchases to a vacation even debt consolidation. The interest charged on personal loan is high as they are unsecured loan.

Credit Card Loan

Loan on credit card is a-approved loan that does not require any documentation. It is the fastest to attain unsecured credit. In this type of loan, a certain part of your credit card limit that is  is offered as a loan. Loan on credit card is  same as cash withdrawal.

Credit Card Vs Personal Loan

Credit Card Vs Personal Loan FAQs

Is a loan on credit card considered  term loan?
When you take  loan against  credit card, this is an unsecured loan. It is  similar to same day cash loan. A credit card on the other hand is a payment card  is issued by banks to allow you to buy for things  and online. You can use  card for cash withdrawal and balance transfer as well.

Will personal loan affect my credit score?
Taking a personal loan can actually improve your credit score when it comes to the long term if you make timely and consistent repayment  your debt. Late payments can damage your score when they are reported to  credit bureau.

Which is considered better,  card or a personal loan?
This depends on need. If you require cash, personal loan and  credit card would be the right choice. A credit card is better for a short-term debt, and a personal loan  perfect for those who require time  repayment.

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