- 1). Check the terms, conditions and payments of your personal loan. Look for the original agreement or documentation you signed when you took out the loan. If you can't find this, contact the bank, building society or lender and ask them to send you the details.
- 2). Find out how much you repay each month, the interest rate and the repayment period of the loan. Take note of this information so you can compare your personal loan terms with other offers.
- 3). Compare your personal loan with others on the market. The easiest way to do this is to use a personal finance comparison website. But bear in mind that many of these sites receive a commission from the lender. Alternatively, check national newspaper personal finance pages for an up-to-date list of the best available loan deals.
- 4). Decide on your main objective for transferring the loan. You may wish to reduce the size of monthly loan repayments to provide more disposable income or you may want to pay off the loan more quickly. Shop around for the deal that best meets your objectives.
- 5). Contact the new lender and apply for a personal loan. In many cases, you can do this online. Many lenders will automatically transfer the loan for you by paying off the old loan, moving the loan account and settling any early redemption or administration fees. If not, pay off the old loan promptly when you receive funds from the new lender. You may have to pay a fee to repay the old loan early, so be clear about any hidden costs by asking your current lender for this information.
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