A line of credit is a different type of loan that is typically based on an asset such as a home. A line of credit only charges interest on the money that you use from the line, not the full amount. This can be an excellent option for personal loans for individuals that qualify.

Make sure you understand the payment schedule and the different types of interest rates and refinancing options you are offered with your personal loan. If you aren't sure, ask for written information and take your time to compare the options offered by different lenders before making a final decision.

Be very careful about trying to get a personal loan on the Internet, because of the increased potential for identity theft. This is especially the case if you receive an offer by email; these days, most of us without good spam blockers get several a day, and they're all scams.