Personal Loans Canada

Personal Loans

A personal loan is a great way to access quick fast when you need money to deal with a personal emergency. It allows you to borrow an amount of money from a bank or lending company and pay it back in one or multiple installments*.

When you take out a personal loan, you borrow a fixed sum of money and agree to pay back a certain amount every period*. The repayments include interest, calculated at a specific rate by the lender, as well as perhaps an administration fee.

Personal loans can be offered by traditional banks or credit unions, as well as online lenders and payday loan companies. You can also take out a small personal loan through title loan companies and pawnshops, both of which require collateral in the form of your car or valuables, respectively.

Having identified a company to use for your loan, you need to decide how much to borrow. Personal loans are possible, sometimes for as little as $100 to see you through until payday, but on the other hand, you may be able to borrow up to $50,000.

Small short term loans can be helpful in many different situations. For example:

Cash flow situations: Changing jobs can result in quite a gap between salaries, or you might have a bonus on the way but need access to the cash straight away. A small loan can tide you over.

Auto repairs: Owning a car can be expensive, but for most people, it’s a necessary expense for commuting and going about daily life. When the clutch breaks or you need a new radiator, and you don’t have any emergency funds, a quick loan can get you back up and running quickly while spreading the expense over time.

Home improvements: Adding extra square footage to your home is an investment as much as an expense, so taking out a loan can make sound financial sense.

New appliances: Nothing lasts forever, and that includes white goods in your home. Taking out a personal loan to buy a new washing machine or air conditioner means you don’t have to find a large amount of money at short notice.

Personal Loans in Canada

In Canada, a personal loan can help you out of a sticky financial situation, or even cover significant planned expenses that you don’t want to pay for in one lump sum.

The best personal loans in Canada will give you fast access to cash, with some companies able to have the loan funds to you within minutes of approval. If your car or refrigerator has broken down, you can’t wait around for days waiting for an answer from a loan company, so being able to access funds quickly makes life easier.

Most places offering personal loans in Canada have an online loan application, meaning you only need a smartphone, tablet, or computer to get your loan approved. If you prefer to do things face-to-face, of course, you can still visit a physical branch of a bank or another type of lender with a physical store.

Short term loans can be some of the simplest to access because they don’t require any collateral or security, and this means less paperwork. You can typically borrow up to $1,500 from a direct private lender company in Canada.

To get an answer fast, be sure to apply for your loan from a direct money lender. An aggregator or comparison website can take longer to get an application approved because details need to be passed around securely. The best loans in Canada for immediate borrowing are those from direct lenders.

Once you have your instant loan, you then have to repay it. With an easy loan, you tell the lender when your next salary or benefit payment will go into your account, and the company will arrange to debit the money on the same day. Depending on the amount, you may be able to split payments over two or three months.

When you pay back a loan, you also pay interest. This is what the lending company charges for the services they offer. Personal loans in Canada can also come with fees for arranging the loan, called a finance charge.

While the finance charge is usually a fixed fee, the amount of interest you pay will vary according to the amount you borrow and the time it takes for you to pay it back. Canadians who take personal loans are subject to government rules, which limit how much can be charged in fees and interest.

Personal Loan Interest Rates in Canada

Personal loan interest rates in Canada are regulated by the government, meaning there is a maximum amount that can be charged. Bank rates in Canada are capped at 60 percent APR (annual percentage rate). The interest, fees, and charges can’t exceed this rate.

For cash loans, the interest and charges are regulated at a provincial level so that they can vary from place to place. The maximum cost ranges from $15 per $100 borrowed in Alberta, British Columbia, New Brunswick, and Ontario, all the way up to $19 per $100 borrowed in Nova Scotia.

You can only borrow money from lenders in the province that you live in, and you’ll be required to prove your address, so you can’t just compare interest rates and apply in the region with the best offer.

The interest rate on a personal loan can be affected by different factors. Lenders might look at a range of information, such as your income and your credit score to see how much to charge you. Generally, if you have a good credit score, then you will get a lower rate. Having a steady income and surplus funds each month also means it’s more likely you’ll get lower interest rates.

You can compare personal loan interest rates in Canada online using a comparison site. Be careful when doing this, since the rates displayed will generally be the lowest rate available and may not take into account your personal circumstances. Also, applications can take longer when using comparison sites, so once you have checked the fees and charges and decided on a lender, you may want to apply directly with them.

Whatever personal loan interest rate you pay, be sure that your repayment amount is manageable for you and your financial situation. You can shop around for different interest charges and loan terms to find the money loan that will suit you best.

Online Personal Loans

Taking out an online personal loan is the simplest way for many people to borrow money. Today’s modern lifestyle means we’re always on the go, so getting to a bank or storefront to apply for a personal loan just isn’t practical.

To apply for online loans, all you need is an internet connection and a smartphone, tablet, or computer. Once you’ve found the lender you want to apply through, you need to head to their website and fill in some information about yourself and your income.

Before starting the application, make sure you’ve got access to information about your income, employer, and bank account. You’ll need to input this information so that you can get a quick decision.

Some of the great benefits of taking an online personal loan in Canada include:

Instant approval: It can take just a few minutes to apply and get approval for a quick loan; no more waiting around for days to get an email or phone call with an answer.

Location independent: Since we can work from home, and study from home, why not apply for an express loan from home? Or anywhere else you have an internet connection and a suitable device.

Same-day funding for approvals: After you have been approved, you get the money paid into your bank account that very same day.

Security: Your security is paramount, from the beginning of your application to the very last repayment. Online loan application systems are designed to keep your data safe, in line with the law. Equally, systems for making and receiving payments are completely secure; there is no way for funds to go missing.

24/7 applications: No matter if you work shifts or nights, or are just a night owl, you can apply for personal loans online any time of day, not only when banks are open.

No paperwork: Our applications are entirely digital. You enter your information online and use an electronic signature to apply. There’s no paper to arrive in the post and no need to sign and send anything back. You save on both paper and time!

Support services: If you have a question when applying for an online personal loan in Canada, you can get in touch with the lender. Online customer support can help answer your questions and solve your problems without you needing to queue up in a branch.

Private Lenders for Personal Loans in Canada

One of your options for a personal loan in Canada is direct private lenders. These are companies that lend money in the form of a loan but aren’t affiliated or tied to traditional banking or finance institutions.

Direct private lenders aren’t regulated in the same way as traditional banks, so the way these companies lend money can be more innovative.

When looking at direct private lenders for a personal loan, you should check for certain things. It’s worth doing your research on who you intend to borrow money from. Look out for:

      ● A good reputation with reliable online reviews
      ● A product that meets your needs at the time
      ● Industry experience: they’ll have smooth processes

Private lenders have some advantages over standard bank loans, including:

      ● Faster application approval
      ● Quicker access to funds once approved
      ● More convenient, with online applications and secure funding
      ● A flexible service, depending on the size of the lender

Using a private lender for personal loans in Canada can also be appealing for people who are nervous about the more formal process of going into a bank to ask for a loan. If you’re worried about being rejected, look for a private lender with more lenient lending criteria.

Advantages of Unsecured Personal Loans in Canada

An unsecured loan involves borrowing money without offering any type of security. Examples of a secured loan are a mortgage, where you lose your house if you don’t keep up repayments, or an auto title loan, where the lender can seize your car if you fail to pay back what you’ve borrowed.

With an unsecured personal loan, none of your property is at risk if you fall behind on repayments*.

Taking out an unsecured personal loan in Canada comes with a range of benefits:

Fast approvals: When there is no security to back the loan, processing can be quicker. There is no need to verify item values; it’s just the assurance that you can make your next repayment after receiving your salary or benefits each month.

Little or no paperwork: Secured loans involve third-party valuations, which make the process lengthier and more expensive. None of this is necessary with an unsecured loan, meaning the whole process is more straightforward.

Less risky: Although you might pay slightly more interest when you don’t offer security on your loan, it also means you won’t lose your car or home if you hit financial difficulties.

Quick access: Apply for an unsecured personal loan, and you can have the money in your bank account within hours - even minutes - of being approved. Secured loans typically take longer to hit your bank account.

Get a Personal Loan with iCASH

When you choose to get a personal loan with iCASH, we make the process as painless and uncomplicated as possible. It’s really easy to apply for a small personal loan online, and once you’re approved, there’s no wait to get your hands on the money.

The process breaks down like this:

It’s worth checking through the eligibility criteria too, so you know if you’re likely to get approved. You need to be:

And that’s how easy it is to get a personal loan with iCASH!