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What is the difference between a bank loan and an installment loan?
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The main difference between a bank loan and an installment loan is that a bank loan is usually a lump-sum amount that is repaid over a fixed period of time, while an installment loan is paid back in smaller, fixed payments or installments over a period of time. Bank loans typically require collateral, while installment loans may not. Additionally, installment loans might be easier to qualify for than a bank loan, but usually have higher interest rates.