Combining Loans in a Bank How to Refinance Loans

But the defaults on each loan drawn up are directly dependent on the amount of credit, because that is what the borrower has not dealt with. The most common causes of credit repayment difficulties are:

  • You have applied for several consumer loans at the same time without fully evaluating your options. So now you are not dealing with your financial obligations.
  • You have a number of quick loans, which were not able to completely erase up to the deadline. Over time, your credit debt has “overgrown” with commissions and, as a result, drove you into the debt pit.
  • Borrowers have not only outstanding loans but also other credit card debt .

In fact, there may be many more reasons why


You were unable to deal with your obligations, but now a way out of the situation has been found and is called “credit consolidation” into one loan or “re-crediting”.

Only a bank can offer this financial instrument. The borrower has the right to choose a credit combination at the bank where he already has a debt, as well as to apply to another credit institution for a credit combination.

What to do if the loan becomes more difficult to repay

What to do if the loan becomes more difficult to repay

  1. Do not panic first and do not lower your hands ! The seriousness of the whole situation must be assessed and put into action.
  2. Don’t hide your problems from the bank – report it to your bank.
  3. If you take action at a time when the situation is getting worse , you will be able to find the best possible solution

What are the consequences of an outstanding loan?

What are the consequences of an outstanding loan?

Swedbank, one of the most popular banks in Latvia, offers a variety of help and support to borrowers who have approached it with their problem of repaying multiple loans . At the same time, Swedbank is constantly informing its customers of the consequences of non-payment, late or incomplete monthly loan payments. Swedbank cites striking examples of how unscrupulous borrowers have avoided debt repayment, have been reluctant to contact the bank, and this has led to this situation.

The borrower must understand that with his unwillingness to contact the creditor, it only exacerbates the whole situation. The negative consequences of not repaying a loan are the same for all types of loans, be it mortgages, car leasing or consumer loans.


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