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natka813 [3]
2 years ago
13

When might make sense for a borrower to take a personal loan instead of using a credit card?

SAT
1 answer:
iogann1982 [59]2 years ago
7 0

Answer:

There are a few situations where it might make sense for a borrower to take out a personal loan instead of using a credit card. If the borrower has a lot of high-interest debt on their credit cards, taking out a personal loan and using the money to pay off the credit card debt could save the borrower money in interest payments. Another situation where a personal loan might make more sense than a credit card is if the borrower needs to make a large purchase, such as a car or a boat, and they don’t have enough money in their savings account to cover the purchase. Taking out a personal loan to finance the purchase could be a good option.

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