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The other major difference between personal loans and lines of credit is the interest you pay. Personal loans tend to have fixed interest rates. A line of credit may have a variable rate during ...
Line of Credit. Type. Rates. Amount. U.S. Bank Personal Line of Credit. Unsecured. 11.50%-21.50% APR. Up to $25,000. TD Bank Personal Unsecured Line of Credit
Personal loans. Credit cards. Average interest rates. 11.91%. 20.75%. Repayment terms. Make fixed monthly payments during a set period, typically between 12 and 84 months
However, standard interest rates on personal loans can range from about 8 percent to 36 percent. If you have good credit, you could qualify for a loan with an interest rate below 12 percent.
Secured lines of credit offer the lender the right to seize the asset in case of non-payment. Because their risk is lower, secured lines of credit typically come with a higher maximum credit limit and significantly lower interest rate. [3] On the other hand, unsecured lines of credit have higher interest rates than secured lines of credit.
Personal loan interest rates can range between 6 percent and 36 percent depending on a number of factors. Excellent credit typically means you’ll be offered the lender’s most competitive rates.
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