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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. Borrowers should also be aware that defaulting on an installment loan can have serious consequences, including damage to their credit score and the wake possibility of legal action.

Banks may also have more stringent eligibility requirements than other types of lenders, which could make it harder for some borrowers to qualify for a loan. A cash advance on a credit card is a service that allows cardholders to withdraw cash from their credit card account.