Many of you would be confused between choosing a personal loan or a credit card. Well, both are the tools to gain credit but still there is a vast difference between the two. By knowing the difference one can figure out which would be the most suitable bet.
You can borrow bigger amounts with loans. Anything that lies in the range of £1000 to £25,000 is allowed.
With credit cards, you will be limited to a smaller borrowing amount of around £5000.
A loan is about lending money for a fixed duration of time. If the time period of repayment varies then interest is charged for it.
In this case, it is a revolving line of credit that can keep lending money until you use the card, only if you keep making repayments.