An installment loan is a loan you repay over time in equal payments, usually on a monthly basis. Each payment includes a part ...

A simple interest loan is based only on the principal amount of the loan. ... An installment loan is a borrowing option that lets you pay back a lump sum in monthly installments.

Personal loans: Many short-term personal loans follow simple interest. Short-term installment loans: Used for small purchases or quick cash needs; How To Pay Off a Simple Interest Loan Faster.