2007-06-27 23:39:25 · 7 answers · asked by naresh k 1 in Business & Finance ➔ Personal Finance
Its good if the new loans have a lower interest rate and low or no closing costs.
2007-06-27 23:44:56 · answer #1 · answered by JOHN D 6 · 0⤊ 0⤋
If you feel the need to take out a new personal loan to pay installments on your existing loans, you're digging a deep hole that you will have a terrible time getting out of. It indicates that you're not paying down your current loans.
If you can get a loan consolidation with lower interest, that's one thing and might help. But, if you are consolidating to get a new loan to make LOWER monthly payments... you're in trouble.
2007-06-28 06:50:58 · answer #2 · answered by Nedra E 7 · 0⤊ 0⤋
It's not illegal, if that's what you're asking. But you need to control your spending, otherwise you will soon not qualify for more loans and then you will have to declare bankruptcy which stays on your credit record for at least ten years and can ruin your life (you can't buy a house, can't get a car loan, etc.)
2007-06-28 06:45:37 · answer #3 · answered by Jade C 3 · 0⤊ 0⤋
Your digging your hole deeper this way. It's better to go to the bank and borrow the money and pay these loans off with the lower interest rate, then watch your spending. Buy what you need, not what you want.
2007-06-28 06:42:37 · answer #4 · answered by cowboydoc 7 · 0⤊ 0⤋
it is not a great idea unless you save big on interest. don't do this much though as it extends the time you take to repay the loans.
2007-06-28 06:43:21 · answer #5 · answered by 1oldone 5 · 0⤊ 0⤋
Heck, yeah it is!!! Get yourself buried so deeply in debt that you will be a slave to your lenders for the rest of your life! At least that's the American way.....
2007-06-28 06:42:13 · answer #6 · answered by Anonymous · 0⤊ 0⤋
are you stupid......if you cant afford something dont buy it....its that simple....
2007-06-28 06:42:54 · answer #7 · answered by Anonymous · 0⤊ 0⤋