Revolving credit

With a revolving credit, you can always withdraw money, up to a maximum amount (the credit limit). You can also record less. A revolving credit can be easy if you don't need all the money right away, for example in the case of a renovation. Or if you do not yet know exactly how much money you need.

If you have repaid money, you can withdraw money again up to the limit. As far as interest is concerned, you are usually better off with a revolving credit than with other loans. A disadvantage is that the interest is not fixed for the entire term. You do pay a fixed amount each month for interest and repayment, but what part of that amount is repayment and what part interest depends on the interest rate at that time. So you do not know in advance exactly how long you will be paying off.

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