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Can you take out a loan to repay a loan?

If one was about to go into the red and miss a loan payment, would it be possible to take out a smaller loan to make the main loan payments?

12 Answers

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  • 2 years ago

    Sure, you can keep taking out new loans to get further in debt if you want to, then you will have more loans to fall behind on.  Not a good idea.

  • 2 years ago

    Sure..but who is giving you the second loan...? Even better, if you are about to default on one loan...who is going to give you MORE money and another loan on which you can default?

  • 2 years ago

    Probably not. If you cannot pay the original loan, how will you pay the original and a new loan? Lenders understand the answer is - you can't.

  • Anonymous
    2 years ago

    If another bank is willing to lend you the new loan, yes.

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  • Anonymous
    2 years ago

    Children cannot get loans. Adults with good credit often can.

  • 2 years ago

    Sometimes life brings surprises. If you can’t make payments on one or more of your loans, it’s best to take action sooner rather than later. Moving quickly helps you minimize the damage to your finances. Perhaps more importantly, the eventual cleanup is less stressful when you prevent things from getting worse.Sometimes the solution is easy. For example, if you can’t afford your car payments, it might be possible to sell the car and switch to a less expensive (but safe) vehicle—or even do without a car for a while.

    Unfortunately, things aren’t always easy, but several strategies help you stay on top

  • Amy
    Lv 7
    2 years ago

    If you still have good credit, yes.

    But owing more than you can pay will make most lenders not want to lend you more money.

  • Judy
    Lv 7
    2 years ago

    You could try for a personal loan, but if your finances are in bad shape, probably wouldn't qualify...It might be better to ask the lender f you can stretch out the repayment

  • Anonymous
    2 years ago

    yes, and after enough of that you can consolidate all your loans into one big loan

  • 2 years ago

    Yes, especially if your credit's improved since taking the first one. It's call refinancing.

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