Consolidating multiple term loans into one is available to all borrowers except individuals or businesses in California and Vermont, and individuals in Illinois, Ohio, Mississippi, Pennsylvania, Tennessee, and Virginia.
You can only consolidate loans that have been open for at least 60 days. You can consolidate monthly payment and payment-at-maturity loans together into one loan of either kind. You can also consolidate standard and volatility-proof loans. If the consolidated loan is standard, it must have a maximum loan-to-value (LTV) ratio of 60%. If you consolidate into a volatility-proof loan, the maximum initial LTV will be the same as the maximum for opening a new volatility-proof loan. You can’t consolidate a loan with a line of credit.
Consolidating loans may unlock:
- Lower interest rates: Strike offers tiered Annual Percentage Rates (APRs) based on loan size. Combining smaller loans into one larger loan may qualify it for a higher tier and a lower rate.
- Improved loan-to-value ratio: Combining your collateral can resolve margin calls or allow you to retrieve excess collateral.
- Simplified management: One loan means one loan-to-value (LTV) ratio to track, one payment schedule, and one maturity date.
In the mobile or web app, click “Borrow” to open any loan you intend to consolidate, then go to the “Manage your loan” section. After you sign the new term, the consolidated loan will open with the new maturity date.