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This limit is typically a portion of the bad cardholder's overall credit limit and is set by the credit card issuer. A revolving credit line, also known as a line of credit or a credit limit, is a type of loan that allows the credit borrower to access a predetermined amount of money as needed.
These loans are often marketed as a convenient alternative to traditional loans, but they can be risky and come with high fees and interest rates. Some traditional loans have strict rules about credit scores or needing collateral (like a car or house).