the 3x from RAF applies. In my experience it isn't worth picking up additional people for your party to run instances unless they are alts of your friends. I had just one basic loot rule, any BOE blues go to the 70 running you through the instance. Everyone agrees, Petrospill leggings drop, scrub wins them and says something like "later suckers". BOE blues just about cover repair costs on my server so I was really pissed.

If you are running three toons and in a hurry, put your lead on pass all loot. This toon will still see sparkles occasionally. Click the sparkles, it will be blues and greens (although your lead wont get to roll, the other toons will).

That saves a lot of time you might have spent clearing out your bags to make room for more %$@%#@ linen cloth.

Oh and xp gets divided by 3 isn't really how it works. Your xp gets cut by having a level 80 in the group, not because its a third person. (add another 80 if you want to see your xp really plummet. I did most of the 50s on one toon with two 70s farming stratholme and the xp wasn't that nice)