They are both important pieces to the puzzle when you are looking at your credit profile. It is very important to have a good mix of credit, lenders like to see that you have the ability to handle all types of credit. You can remember to pay the smaller bills and you have the ability to pay the larger ones like your car payment or your house payment.
If you have a car payment this is considered an installment loan, because you don’t have the ability to charge the same amount over and over again, you borrow one lump sum of money and pay it off one time and then you are done with that debt. A credit card on the other hand is considered a revolving account because you can borrow $1000 dollars this month pay off $500 and borrow it again next month if you wish.
Revolving debt has a much higher impact on your credit report than an installment loan, however, they both are very important and both are needed on your credit report.