What to do after taking a personal loan

Check the cash and first payment

Compare the money that arrived with the cash shown in your agreement. If a fee was taken out, check that amount too. Ask the lender about any difference.

Find the first due date and the account the payment will come from. If you use autopay, check when the money will leave and keep enough in that account.

Check each statement as you pay

Make sure each payment has posted and check what is still owed. Keep the statements and your loan agreement so you can ask about any charge you do not expect.

If the loan paid off other debts, check those accounts too. Keep paying any amount still due until each creditor confirms the payoff. See the checks after combining debts.

Ask for help before a missed payment

If you cannot make the next payment, contact the lender. Ask whether you can change the date or payment plan, what that would cost, and whether interest keeps adding up.

A late payment may add fees and hurt your credit. Do not assume a request changes what is due. Keep the lender’s answer with your records.

Source: CFPB guidance on getting help with loan payments.

Source: CFPB guidance on late fees.

Keep some cash before you pay extra

Paying extra may lower the interest you pay. First, check for an early-payoff fee and ask how extra money is applied to the balance. Keep enough cash for bills and a surprise cost, too.

After the final payment, confirm that nothing remains due. If you can, save part of the money you used to send each month. That can help pay for the next expense.

Your agreement sets any early-payoff fee. Ask the lender for the amount that will close the account. See how interest works in the fixed-payment model.