How is a personal Line of Credit different from a personal installment loan?

A personal Line of Credit is a revolving credit account, meaning you can borrow the funds you need, up to your credit limit, and as you repay, the credit becomes available again to reuse. A personal loan provides a one-time lump sum of funds with a fixed repayment schedule.

Unlike a traditional loan, where you receive a lump sum and the loan is closed once paid in full, a Line of Credit gives you the flexibility to borrow and repay over and over again, as needed. It works like a revolving credit account, letting you withdraw funds, as needed, up to your approved limit.