A personal loan is a great borrowing solution. It allows individuals to have what they want. It is specifically designed to cover several individual goals like traveling, paying school fees, purchasing a personal car, and much more.
The first place you should consider when doing research on personal loan rates in Canada is Smarter Loans – Canada’s Loan Directory.
In Canada, personal loans are given to individuals as well as the financial institutions and banks which meet the personal loan conditions. The main types of personal loans are secured, unsecured, and the reverse loans.
Since the loan is a catch, it is offered by many financial institutions. Actually, it is one of the most popular loans in Canada. It is flexible in nature, and that’s why many Canadians resort to it, to accomplish their dreams.
You must have these qualifications to qualify for any personal loans in Canada:
- Be 18 years and above
- Be a Canadian citizen
- Have a bank account
- Have any identity proof, for example, driving license, passport or national ID
- Have an income proof such as pay stubs
- Have proof of residence, such as a utility bill
- Evidence of your daily, weekly or even monthly expenditure such as rent and mortgage payments
You will be eligible to get a Canadian personal loan if you have the above qualifications. But for you to attain the best interest conditions and rates, you must have:
- An excellent credit score- it should be over 650
- A debt income ratio of less than 36%
- No bankruptcy history
Comparison Of Personal Loan Rates In Canada.
Below are just some of the companies that offer personal loans at different interest rates. It is important to review your options carefully when making a decision. For a more comprehensive comparison of personal loan interest rates in Canada, please visit Smarter Loans.
Borrowell gives fast unsecured loans of up to $35,000. The interest rates start at only 5.6%. No prepayment fees required, apart from origination fee generally between 1 and 5%.
Mogo offers loans up to $35,000 along with other financing products and free credit monitoring. They are an established company that even offers a simple online app where you can manage your account online. You can read Mogo reviews here.
This is an online lender which gives Canadians three main types of loans; the small unsecured, medium unsecured and large secured. The interest rate for the secured personal loans is 19.99% and 27.99 for the unsecured loans. Check out some Fairstone reviews here at Smarter Loans.
This is ideal for everyone who has a poor credit history, since the only requirement to get approved is being able to provide a guarantor for your loan. This is basically a friend or family member who can “vouch” for your ability to repay the loan. As a result, the interest rate can be quite high for guarantor loans.
Personal Loan Interests Rate In Canada
The personal loans rates are always relatively lower than the credit card rates. The best lenders begin their personal rates at 5.6% while the credit cards start at 20%. The highest possible rate for the personal loans can be around 59%. Generally, the interest rates sometimes have a considerable difference between one lender and the other. It is therefore vital to carry out the necessary comparisons of the personal loans in Canada. Ensure to check Smarter Loans for latest updates on top personal loan providers in the country.