Can you modify your personal loans?

Borrowers may request loan modifications if they are experiencing financial difficulties, and lenders may grant certain concessions to help accommodate borrowers facing economic hardship.

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A loan modification can reduce a borrower’s monthly payment if the lender agrees to reduce the interest rate or extend the term of the loan.

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How Do Loan Modifications Work?

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A lender has no obligation to make any loan modifications, but a lender may offer certain concessions if a borrower is facing economic hardship.

Reasons for a Loan Modification

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A borrower facing temporary hardship may request additional time to make a required payment. Lenders in that case could grant a deferment.

Can You Get a Personal Loan Modified?

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There are certain disadvantages and advantages of personal loans, including their potential for helping consumers build credit as a pro and their potential to carry high finance charges as a con.

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