theccuser wrote:I read the definition of "revolving line of credit" is any type of credit card. Whether that be a major one like a Visa or American Express, all the way down to a retail affinity card. They all fall under the umbrella of revolving lines of credit.
Then everything else is an installment loan. Mortgages, student loans, car loans and so forth.
But my question is, how accurate is this definition? Because how about all those in-between forms of lending such as a personal line of credit, cash advances, or a purchase made using a retail affinity card but with fixed monthly payments. What are those classified under?
There are always exceptions but this is generally how it works:
Charge: pay in full (PIF) each month (required) (Amex Green, Gold, Platinum)
Revolving: pay over time; PIF optional (Visa, MC, Discover, store cards, some Amex like SPG, Blue, Delta)
Installment: one time loan with payback usually over a fixed term (car, mortgage, student, etc.)