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At NerdWallet, we strive to help you make financial decisions with confidence. To do this, many or all of the products featured here are from our partners. However, this doesn’t influence our evaluations. Our opinions are our own. Technically, you can have as many personal loans as you qualify for, as long as the lender allows it. But consider whether you can manage more than one personal loan and the impact it will have on your credit before you start applying.
There isn’t much legislation limiting the number of personal loans you can have, but lenders may limit the number or how much you can borrow. And while they may reject applicants with high debt-to-income ratios, they don’t typically decline applicants solely because of an existing loan.
Each time you take out a loan, you accumulate debt and raise your debt-to-income ratio, or DTI. Having a debt-to-income ratio of 40% or higher can mean you have too much debt , given your income.
The best personal loan helps you reach your financial goal without hurting your credit or resulting in unmanageable debt at high interest rates. Keeping that in mind, consider other ways to get the money you need before turning to another loan. Applying for another personal loan
There are no federal regulations prohibiting someone from having multiple personal loans, says Carolyn Carter, deputy director of the National Consumer Law Center. Some states regulate the number of payday loans a person can have at once, she says.
The bigger obstacle to getting […]