Personal Loan vs Credit Card: Which Is Cheaper for Large Expenses?

Credit cards are convenient for short-term spends you can repay within the interest-free period. Once you revolve balance, annualised rates often exceed personal loan pricing.

Personal loans offer fixed EMIs over 12–60 months, making budgeting predictable. Processing fees apply upfront; factor them into your total cost comparison.

For expenses you will repay over more than three months, a personal loan usually wins on total interest paid. For smaller amounts repaid within 45 days, a card may be cheaper if you avoid cash-advance fees.

Money Star lets you run EMI scenarios on our calculator and compare partner offers in one place — so you pick structure first, lender second.