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A personal loan is an amount of money you can borrow to use for a variety of purposes. For instance, you may use a personal loan to consolidate debt, pay for home renovations, or plan a dream wedding. Personal loans can be offered by banks, credit unions, or online lenders. The money you borrow must be repaid over time, typically with interest. Some lenders may also charge fees for personal loans
KEY TAKEAWAYS
- Personal loans are loans that can cover a number of personal expenses.
- You can find personal loans through banks, credit unions, and online lenders.
- Personal loans can be secured, meaning you need collateral to borrow money, or unsecured, with no collateral needed.
- Personal loans can vary greatly when it comes to their interest rates, fees, amounts, and repayment terms.
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