AI Hilal Bank Personal Loan Eligibility - Check out the Eligibility Criteria for AI Hilal Personal Loan in UAE like Minimum Salary, Age, Document Required, Nationality, Salary Transfer & More.
Personal Loan up to 8 times your Salary
Get personal loan at Lowest Interest Rate
However, to make a choice between these two, it is very important to draw a comparison based on your financial requirements and situation. As both of them has their own set of advantages & disadvantages.
This article includes details on how personal loans and credit cards work, along with the tips to choosing the best option for your need. So, keep on reading to make the right decision.
A personal loan is an unsecured loan that is best utilized for long-term financing. It is usually taken to fulfill various personal needs ranging from higher education too expensive purchases or even debt consolidation. There is no restriction on what you can do with a personal loan. You can use it for any of the reason as per your need which makes it a convenient option for many of the people. Your credit score plays a vital role when it comes to opting for a personal loan in UAE. The better your credit score, the lower the interest will be charged on a personal loan.
The big difference with a personal loan is that you’re provided a lump sum amount instead of a credit card to make purchases. One of the major benefits of opting for a personal loan is that you can repay the loan amount through equated monthly installments as per your ease.
There are plenty of benefits to choosing a personal loan. Some of them are as follows:
A credit card comes as a pre-approved loan and it is given up to the maximum limit of a credit card. Credit card is among the expensive forms of financing since it comes with the revolving debt. This financial tool can be utilized to make payments both online and offline as well. The basic rule of using the credit card is how much you spend on your credit card every month and how much you are able to pay back on time. The interest rate charged on credit card is comparatively higher. That is why credit cards are ideal for short-term financing.
The Final Word
After comparing credit cards & personal loans, you can now make a final choice based on your situation & financial need. And if you have a clear idea about your requirement then it will easier for you to make the right decision.