Applying for new loan with same company as have a loan with?

buel10

Hi, we have a loan with the Post Office (never missed a payment) but after looking at the eligibility tool on here, I see that if we were to apply for a new loan, I have a supposed 95% chance of success with them. However, are there any issues of applying for a new loan with a company that we already have a loan with? 

rcdavis96

I don’t think so, as long as you meet their lending requirements they may offer you another loan or potentially merge the extra amount you want to borrow with your existing loan.
however, you might not get the same % APR that can vary as it’s a new loan.

jonesMUFCforever

Sometimes it is easier to get a new loan with a current lender - as they will arrange the repayment of the old loan for you automatically ( if that is what you would want).

bradders1983

jonesMUFCforever said:

Sometimes it is easier to get a new loan with a current lender 

And other times it can be harder, as they can keep details of your history beyond the 6 years they get from a credit check.

femalemonarchfemalecanine

I've never had a problem getting an extra loan off the company I have a loan with already. Like the op I've not missed any payments

PixelPound

jonesMUFCforever said:

Sometimes it is easier to get a new loan with a current lender - as they will arrange the repayment of the old loan for you automatically ( if that is what you would want).

Surely it depends on the APR, if it's higher no point paying off the original. Plus the possibility of having "settlement interest" added.

jonesMUFCforever

nic_c said:

jonesMUFCforever said:

Sometimes it is easier to get a new loan with a current lender - as they will arrange the repayment of the old loan for you automatically ( if that is what you would want).

Surely it depends on the APR, if it's higher no point paying off the original. Plus the possibility of having "settlement interest" added.

What I meant was if the OP had a loan outstanding for say £5k and applied for a new loan for £10k - any third party lender would base their lending decision on the OP having a total debt of £15k.
By going with existing lender they will know that the o/s debt will be£10k.

Yahoo_Mail

jonesMUFCforever said:

nic_c said:

jonesMUFCforever said:

Sometimes it is easier to get a new loan with a current lender - as they will arrange the repayment of the old loan for you automatically ( if that is what you would want).

Surely it depends on the APR, if it's higher no point paying off the original. Plus the possibility of having "settlement interest" added.

What I meant was if the OP had a loan outstanding for say £5k and applied for a new loan for £10k - any third party lender would base their lending decision on the OP having a total debt of £15k.
By going with existing lender they will know that the o/s debt will be£10k.

Only if they applied for a consolidation loan.