{"id":27780,"date":"2025-04-20T10:13:00","date_gmt":"2025-04-20T10:13:00","guid":{"rendered":"https:\/\/www.lendingstream.co.uk\/blog\/?p=27780"},"modified":"2025-04-21T10:29:28","modified_gmt":"2025-04-21T10:29:28","slug":"difference-between-loan-and-line-of-credit","status":"publish","type":"post","link":"https:\/\/www.lendingstream.co.uk\/blog\/difference-between-loan-and-line-of-credit\/","title":{"rendered":"Difference Between a Loan and Line of Credit"},"content":{"rendered":"\n

If you are looking to borrow funds, two popular options are loans and lines of credit. They do have similarities – both are ways to borrow money and repay it over time. But there are also key differences between a loan and a line of credit.\u00a0<\/p>\n\n\n\n

With a loan, you get given money once and repay it in fixed instalments. A line of credit is what’s called ‘revolving credit’. You are given a credit limit which you can draw\/borrow from. Whatever you repay can be borrowed again, within your credit limit. Which one will suit you will depend on your personal circumstances.<\/p>\n\n\n\n

In this article, we will go through the differences in lines of credit and loans in more detail. So, if you’re trying to decide which will work better for you, read on.<\/p>\n\n\n\n

\n

Table of Contents<\/p>\n