Temptation is the biggest disadvantage. As a consumer, you will have the temptation of spending money you don’t have. Once the line of credit is maxed out, you may even open another one and max that out too. Hence it is also known as revolving credit. This may get you into serious debt and financial trouble.
At times the flexibility of the line of credit will work against you, if you don’t regularly pay it off. Interest will pile up and add up to a large amount.
Often written in fine print for some lines of credit, the lender can change your credit limit and interest rates. This means if the lender wishes it, your credit limit and interest rates can be changed.