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Personal loan

Cards & borrowing
A fixed-term loan where you borrow a set amount and repay it over time.

Overview

Personal loans have fixed monthly repayments and a set end date.

They can be used for many purposes, such as consolidation or major purchases.

Why it matters

  • It can help spread costs over time.
  • Rates depend on your credit profile.
  • Missing payments can harm your score.

FAQs

Is a personal loan better than a credit card?

It depends on your needs, rates, and how quickly you will repay.

Can I repay a personal loan early?

Often yes, but check for early repayment fees.

Related terms

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