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Here are some strategies you can use to manage your credit and potentially qualify for better loans:. It's generally a good idea to keep your credit utilization below 30%. Instead, try to pay your balances in full each month and only charge what you can afford to pay off.

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And sometimes, doorstep lenders use pressure tactics to try and get you to take out a loan, even if it's not a good idea for you. The lender will hold onto the online loan funds until the loan is paid off, at which point the funds are released to the borrower. Overall, installment loans can be a useful financial tool for those who need to borrow a large sum of money and want to pay it back over a longer period of time.