3 loans with same bank

cbew

Hi,

I currently have 3 loans with the same bank which were all taken out within a few months of each other. I've been told that the bank should have increased the loan rather than just add a new one and that because I've got 3 individual loans that I'm paying more interest than I should be.

Does the bank have to role them into 1 loan? Any advice would be helpful :-)

McKneff

They dont have to do anything. They havent done anything illegal.

Presumably you asked them for a loan on 3 seperate occasions, they gave you a loan on 3 separate occasions.

Why not ask them and see what the interest wuld be if they were rolled into one then you can do your own comparison.

Macca83_2

It would have been advisable but they don't have to.

opinions4u

They may have saved you two early repayment charges.

Apples2

Taking three individual loans out within a few months is quite bizarre so your question is not as ridiculous to you as it is to us.

What if you had three loans, 7%, 8% and 9%.
the bank rolls them all up into one single loan at 14%, do you think that would be better?

Every time you take a loan you make yourself a higher risk (because you have more debt to your name) so the interest rate is likely to go up for each subsequent loan.

jonesMUFCforever

...........But it could also have the reverse effect.
Say loan 1 was for £1k, loan 2 for say £3k and loan 3 say £4k meaning a total of £8k - if OP has a fantastic credit score he could in theory get a single digit loan to combine all three.
As others have pointed out he would have to pay 3 early settlement charges.
Without facts and interest rates nobody will be any the wiser.

...And poster is a first timer - getting 3 loans in a short timescale - my nose is twitching!