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As a result, they may be able to offer lower interest rates on personal loans than banks or other for-profit lenders. This limit is typically a portion of the online cardholder's overall credit limit and is set by the credit card issuer.
These loans often have much higher interest rates and fees than online loans or traditional loans, which can make them difficult to repay. Credit card cash advances typically have a higher interest rate than regular credit card purchases, and some credit card issuers also charge a fee for cash advances.