What happens to my loan if my bank goes under? May 2, 2010
Posted by Banking in : Credit , trackbackBrad asked:
I’ve got 3 car loans and 1 home loan. I don’t really need the car loans, but I have 0-3% APR and considering time value of money, is financially worthwhile over buying outright. Anyway, all together they are with 4 different banks/loan providers, and there is a good chance one or two of those will go under.
I’m guessing whoever buys the assets of the bank/loan company then get my future payments. Is this correct? Can the terms of my loan be changed? Can the loan be called? can anything change?
Comments»
I think Your loans continue unchanged.
I think Whoever acquires the assets and liabilities of the bank that goes under will be bank you owe money to. As for the other questions, talk to a financial adviser, accountant or lawyer about changing the terms of the loan if your bank goes under and another takes over.
The loan does not change
If your lender goes belly up, then you own everything free and clear – JUST KIDDING!
IF your bank goes under, all of your outstanding loans will be transfered to the new bank that is taking over and everything will remain the same, no worries.