Category: Direct payday loans

Continuous credit or payday loan: what suits you better?

The two most popular forms of borrowing if you want to borrow money are the revolving credit and the payday loan. What suits you best? What are the differences? That depends, among other things, on what your loan objective is. In short, a revolving credit is fairly flexible and can be used when, for example, you are renovating your house over a longer period of time. With a payday loan, it is determined in advance how much you borrow and within how long you repay it, for example when purchasing a new car.

Revolving credit

Revolving credit

Do you want to borrow money flexibly? With a revolving credit you borrow money up to a certain credit limit. You agree with your lender in advance. You can then unlimitedly withdraw and repay up to the agreed limit. The interest with a revolving credit is variable, so you do not know in advance what the exact monthly costs are. After a number of years, that limit falls by a fixed amount per month, because you have repaid part of the debt. Every month you pay interest and pay off on your credit. Withdrawing money or paying extra without penalty is always possible.


  • With a Continuous Credit you can always withdraw up to the credit limit. You can also pay off in the interim without penalty.
  • You pay interest and repayment as compensation for the loan amount. The interest rate is variable and can therefore always change.
  • The installment amount is always the same, regardless of the outstanding residual debt.
  • The duration of the loan differs: it depends on the amounts that you take out and the part that you pay off. The duration is therefore flexible.

Payday loan

Personal loan

Do you want to borrow money for a renovation or a new car, for example, and you want security? With a payday loan you borrow a one-off amount that you repay within an agreed period. You pay a fixed amount in interest and repayment each month. The interest is fixed for the entire term.


  • Monthly payment of a fixed amount.
  • The interest is fixed and based on your situation and the amount of the loan.
  • You can always pay extra without penalty.

Revolving credit or payday loan

View the differences and similarities between a payday loan and a revolving credit.

Choose loan form

Choose loan form

As stated earlier, the question is which loan type you should choose, a revolving credit or payday loan, depending on your loan objective. But it is at least as important to ask yourself how you will handle the loan. A revolving credit is flexible and you can withdraw and repay unlimited money. It is therefore extra important that you handle this wisely. The temptation is to borrow more than you need. To spend the money on other things, for example by eating out more often. In that case, the revolving credit will continue to run longer than you had previously thought. The interest rate also makes the loan more expensive.

With this information you can now choose a loan that suits you. Do you know what you need and do you want to pay off quickly then a payday loan is the best choice for you. If you want to be able to withdraw extra money flexibly and you don’t mind paying a little more for the loan, choose a revolving credit.

Categories: Direct payday loans