Integro-differential equations arise in various physical and biological problems. In this paper, a new iterative technique for solving linear Volterra-Fredholm integro-differential equation (VFIDE) has been introduced. The method is discussed in details and it is illustrated by solving some numerical examples. The approximate solution is most easily produced iteratively via the recurrence relation. Results are compared with the exact solutions, which reveal that new iteration method is very effective and convenient.