Personal loan vs credit card debt
Revolving card balances at 36-48% a year are the most expensive money in retail credit.
3 min read
What you need to know
Credit card revolving interest runs at 3-4% per month, which compounds to 36-48% a year. A personal loan at 12-16% used to clear card balances is one of the few genuinely good uses of unsecured debt — provided the cards are then kept at zero.
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Use this guide alongside our product details and eligibility criteria before choosing a lender.
Frequently asked questions
What is the main takeaway from “Personal loan vs credit card debt”?
Revolving card balances at 36-48% a year are the most expensive money in retail credit.
What should I check before acting on this comparison charts guide?
Review the practical points in the guide against your income, obligations, documents and lender requirements.
Can the information in this guide guarantee loan approval?
No. It is general educational information. A bank or NBFC makes the final decision after checking your credit profile, repayment capacity, documents and the applicable product policy.
How can iFINTRUST help after I read this guide?
An iFINTRUST advisor can review your requirement, explain the documents normally requested and help you compare suitable lending options before you apply.