There are two kinds of loans that show up on your credit report. One is called installment credit and revolving credit. An installment loan is a loan with an end date in mind. It is also paid in periodic payments. An example of this is a student loan, home loan , or car loan.
A revolving line of credit is like a credit card. There is no end payment in sight if you don’t go ahead and pay your balance off as soon as possible.
