If you have bad credit, there are lots of online and alternative lenders available to you, and you don’t need a guarantor.
The catch? Be prepared to pay more interest. The maximum rate lenders are allowed to charge you is 35% APR. This is a big reduction from the previous maximum of 47% APR. But if you’re ready for financing, this guide covers some of the best bad credit loans in Canada.
| Best for | Lender | Alternative |
|---|---|---|
| Extremely bad credit | Loans Canada | LoanConnect |
| Same-day funding | easyfinancial | Spring Financial |
| No credit check | Green Loans | Helium Loans |
| Line of credit | Mogo | Nyble |
| Small bad credit loan | Bree | 24Cash |
| Flexible repayment | AAR Financial | KOHO |
| Non-employment incomes | Magical Credit | Money Mart |
| Lesser-known brand | Blue Copper Capital | LM Credit |
| Car title loans | Prudent Financial | Title Loans Online |
| Traditional lenders for almost good credit | Vancity (Fair and Fast Loan) | Innovation Federal Credit Union |
If your credit history isn’t great, the best way to find a bad credit loan is to use a loan search platform. These sites offer access to dozens of lending partners, including those that work with people who have poor credit.
All you have to do is complete a single application, and you can then compare offers from multiple lenders that are willing to provide funding. This makes it quicker and easier for you to find suitable lenders, but you’ll need to watch out for high rates and fees when taking out a loan.
$500 – $35,000
Loan Amount
9.99% – 35%
APR
6 - 60 months
Term
Large network of lenders. Loans Canada is an online loan search platform that provides access to a network of 60+ lenders, including lenders that work with all types of credit.
Free and fast comparison. You can fill out one application with Loans Canada and compare multiple loan offers for free.
Get funded fast. It's possible to get your loan on the same day or the next day, so Loans Canada is a solid option if you need money fast.
If you have a bad credit score or low income, there's still a chance to find a lender willing to finance you, given the size of Loans Canada's database. Having a large database of lenders increases your odds of getting approved for a loan.
| Loan Amount | $500 – $35,000 |
|---|---|
| APR Range | 9.99% – 35% |
| Loan Term | 6 - 60 months |
| Serviced Provinces/Territories | All of Canada |
| Turnaround Time | Receive funds in as little as 24 hours. |
| Min. Credit Score | 300 |
| Fees | No application, origination or brokerage fees |
| Requirements | Canadian resident, age of majority in your province of residence |
$500 – $60,000
Loan Amount
8.99% – 35%
APR
3 - 120 months
Term
LoanConnect is a loan search platform that maintains a large database of lenders and matches you with bad credit loan offers based on your unique profile. All you have to do is fill out one application to get matched with suitable lenders, and you can see your loan offers in as little as a minute. Unsecured loans of up to $60,000 are available, and you can apply without hurting your credit score.
| Loan Amount | $500 – $60,000 |
|---|---|
| APR Range | 8.99% – 35% |
| Loan Term | 3 - 120 months |
| Serviced Provinces/Territories | All provinces |
| Turnaround Time | Receive funds in as little as 24 hours. |
| Min. Credit Score | 300 |
| Fees | No application, origination or brokerage fees |
| Requirements | Canadian citizen or permanent resident, age of majority in your province of residence, current debts must total less than 60% of your income |
Need money fast? Some online lenders offer bad credit loans with same-day funding. These lenders offer fast applications and lenient eligibility criteria, and they use instant bank verification to speed up the approval process.
You’ll need to meet an income requirement to qualify. If approved, funds are sent out immediately via e-Transfer.
$500 – $150,000
Loan Amount
9.99% – 35%
APR
9 - 240 months
Term
Any credit is OK. easyfinancial helps Canadians access financing when their credit scores are low, and banks aren't an option.
Fast approval and funding. You can apply for an easyfinancial loan and get approved within minutes, with loan amounts sent out as soon as the same day.
Improve your credit score. easyfinancial reports your loan activity to the credit bureaus, so making on-time payments could help boost your credit score.
easyfinancial's loans offer plenty of flexibility. It's possible to get approved when your financial situation isn't the best, but be prepared to be offered a lower amount and a higher rate. You can increase your chances of approval and even get a rate reduction if you apply with a co-applicant who's in a stronger financial position than you.
| Loan Amount | $500 – $150,000 |
|---|---|
| APR Range | 9.99% – 35% |
| Loan Term | 9 - 240 months |
| Serviced Provinces/Territories | All provinces |
| Turnaround Time | Approval within 30 minutes |
| Min. Credit Score | 300 |
| Fees | Potential NSF fee, late payment fee, Credit Optimizer fee |
| Requirements | Min. monthly income of $1,200, min. credit score of 300 |
$500 – $35,000
Loan Amount
9.99% – 34.95%
APR
6 - 84 months
Term
Spring Financial offers fast bad credit personal loans online. Loans of up to $35,000 are available, and it's possible to get approved and funded the very same day. Spring Financial also has an average rating of 4.6/5 stars based on 19,700+ Trustpilot reviews, so it's well worth checking out for anyone searching for the best bad credit loans.
| Loan Amount | $500 – $35,000 |
|---|---|
| APR Range | 9.99% – 34.95% |
| Loan Term | 6 - 84 months |
| Serviced Provinces/Territories | All of Canada |
| Turnaround Time | Within 24 hours |
| Min. Credit Score | 550 |
| Fees | No fees except a $30 NSF fee |
| Requirements | Min. income of $2,000, min. credit score of 550, 3+ months employed |
Some lenders offer installment loans with no credit check. Instead of checking your credit score, they will ask you to complete instant bank verification (IBV) to confirm your income.
If you have enough income to meet repayments and you satisfy the lender’s other criteria, you can get approved and funded as soon as the same day. The downside is that high APRs of up to 35% apply, and you may need to pay a broker or surety fee in the hundreds.
$300 – $1,000
Loan Amount
22% – 35%
APR
3 - 12 months
Term
Specializes in bad credit. Green Loans is a broker that specializes in helping borrowers with poor credit find a loan, so your credit history won't stop you from getting funded.
Non-employment income accepted. There are no credit checks when you apply with Green Loans, and government disability, CPP and a wide range of income types are accepted.
Fast funding. If your application is approved, you will typically receive your loan funds within 24 hours.
You will need to receive at least $1,200 net income monthly in order to qualify for a loan. Green Loans also accepts applications from borrowers with all types of credit, so you still have a chance of getting funded even if you have poor credit.
| Loan Amount | $300 – $1,000 |
|---|---|
| APR Range | 22% – 35% |
| Loan Term | 3 - 12 months |
| Serviced Provinces/Territories | all provinces except Manitoba and Alberta |
| Turnaround Time | within 24 hours |
| Min. Credit Score | 300 |
| Fees | 2.66% late fee |
| Requirements | • Share banking access via our secure IBV system (Instant Banking Verification) • Have a Canadian bank account open for 90+ days with online access • Be a Canadian citizen or permanent resident with a job • Be 18 or older (or provincial age of majority) • Earn at least $1,200 monthly in net income • Provide a valid phone number, email, and home address • You must not be in a bankruptcy or a consumer proposal. • You must not be planning to declare bankruptcy or a consumer proposal. |
$1,000 – $5,000
Loan Amount
Undisclosed
APR
1 - 3 years
Term
Helium Loans is an online private lender specializing in loans for non-prime borrowers. You can apply online to borrow up to $5,000 with a Personal Loan, or up to $2,000 with a Coffee Cup Loan. Helium Loans offers an automated approval system, and you can get your money quickly via e-Transfer. Helium Loans also reports your loan payments to the credit bureaus, so making on-time payments could improve your credit score.
| Loan Amount | $1,000 – $5,000 |
|---|---|
| APR Range | Undisclosed |
| Loan Term | 1 - 3 years |
| Serviced Provinces/Territories | All of Canada (excluding Quebec) |
| Min. Credit Score | 600 |
Some online lenders also offer lines of credit for bad credit. Lenders will assess your income to determine if you can afford to borrow money, and you can access funds up to your approved credit limit at any time. You only pay interest on the money you actually use, but a high APR of up to 35% will apply.
$300 – $5,000
Loan Amount
Up to 34.36%
APR
Open
Term
Fast pre-approval. You can apply for a MogoMini line of credit online and get no-obligation pre-approval in just a few minutes.
Funding options. You can get your line of credit funds by e-Transfer or direct deposit to your bank account.
No early payment penalty. You can repay what you borrow ahead of schedule at any time without penalty.
You'll need to undergo a hard credit check when you complete your application for MogoMini, but it's still possible to qualify with poor credit. You may also need a net annual income of at least $35,000/year
and a steady income for 30 days to be eligible for funding.
| Loan Amount | $300 – $5,000 |
|---|---|
| APR Range | Up to 34.36% |
| Loan Term | Open |
| Serviced Provinces/Territories | BC, AB, SK, MB, ON, NB, NS, NF, PEI, NU, NT |
| Min. Credit Score | 600 |
| Fees | None |
| Requirements | Canadian resident, age of majority in your province of residence, annual net income of $35,000 |
Nyble offers an affordable, interest-free alternative if you only need to borrow a small amount. You can apply online with no credit checks and get a credit line of up to $250, and you won't pay interest charges or late fees. Best of all, Nyble reports your payments to the credit bureau, so you can use your line of credit to improve your credit score.
| Costs | 0% |
|---|---|
| Loan Amount | $30 – $250 |
| Loan Term | 31 days, extendable |
| Credit Check | No |
| Turnaround Time | 1-30 minutes with a paid membership or 1-3 business days with a free membership. |
| Requirements | You must be 18 years or older and have a minimum monthly income of $1,000. |
| Serviced Provinces | All provinces and territories |
| Apple App Store Rating | 4.8 |
| Google Play Rating | 4.8 |
If you only need a small amount of money to help you get through to your next payday, there’s more than one option to consider. You could go with a conventional personal loan from an online lender, which comes with lenient eligibility criteria but potentially high rates and fees.
Alternatively, for a more affordable option, you could choose a cash advance app, allowing you to avoid paying interest on the money you borrow.
Get up to $750 interest-free. Bree offers cash advances of up to $750, and there are no interest charges or mandatory fees to worry about.
Fast funding available. Bree offers instant decisions 24/7, and you can get the money within minutes if you're willing to pay a small subscription fee and transfer fee.
Positive reviews. Bree has earned an average rating of 4.8/5 based on 7,300+ Trustpilot reviews.
You don't need to complete a credit check to qualify for funding, so bad credit or no credit won't stop you from getting a cash advance. You will need to connect your chequing account to Bree so that the lender can confirm that you receive consistent and sufficient income to afford to repay what you borrow.
| Costs | 0% |
|---|---|
| Loan Amount | $20 – $750 |
| Loan Term | Next pay cycle (90 days max) |
| Credit Check | No |
| Turnaround Time | Receive funds within 5 minutes with express delivery (the fee is based on the advance amount) and within 1 to 3 business days for standard delivery. |
| Requirements | You must have a bank account with regular income deposits and a Visa or Mastercard debit card with a CVV |
| Serviced Provinces | All provinces and territories |
| Apple App Store Rating | 4.9 |
| Google Play Rating | 4.8 |
$500 – $850
Loan Amount
Starting at 22%
APR
90 - 120 days
Term
24Cash offers short-term loans of up to $850, which are designed to be repaid over up to 120 days. You won't need to pass a credit check or provide any documents to apply, so you can complete the online application in a matter of minutes. If you're approved, you'll get the money the same day.
| Loan Amount | $500 – $850 |
|---|---|
| APR Range | Starting at 22% |
| Loan Term | 90 - 120 days |
| Serviced Provinces/Territories | All of Canada (excluding MB, QC, SK) |
| Turnaround Time | Within 24 hours |
| Min. Credit Score | 300 |
| Fees | broker fee of up to $225 |
| Requirements | Be at least 18 years old, Canadian citizen, 3+ months employed, $1,200 monthly income, Canadian bank account with direct deposits for 3+ months, low short term debt ratio, no active or plans for bankruptcy |
If your income fluctuates and you’d like the opportunity to pay extra off your loan whenever you come into some extra cash, look for lenders with flexible repayment plans. These lenders will allow you to tailor a repayment schedule that suits your income frequency, and you will also be able to make extra repayments at any time without penalty.
$1,000 – $50,000
Loan Amount
14.9% – 35%
APR
24 - 120 months
Term
Large loan amounts. AAR Financial offers unsecured personal loans of up to $50,000.
Flexible loan terms. Loan terms range from 2 to 10 years with AAR Financial, so you can tailor a repayment plan to suit your budget.
Early repayment allowed. You can pay back your AAR Financial loan ahead of time without penalty.
AAR Financial personal loans are only available in AB, BC, MB, ON and SK, so you'll need to consider other options if you live elsewhere. The lender says your credit score is just one of several factors it considers when assessing your application, so bad credit or no credit won't necessarily stop you from getting funded. AAR Financial also says it has a 99% approval rate, but whether or not you qualify will depend on your financial situation.
| Loan Amount | $1,000 – $50,000 |
|---|---|
| APR Range | 14.9% – 35% |
| Loan Term | 24 - 120 months |
| Serviced Provinces/Territories | AB, BC, MB, ON and SK |
| Turnaround Time | Within 24 hours |
| Min. Credit Score | 550 |
| Fees | Fees may include insurance fees, administration fees and NSF/late payment fees. |
| Requirements | Must be the age of majority in your province, have an active bank account and provide proof of employment as well as three pieces of ID. |
If you have a KOHO plan and you subscribe to KOHO Cover, you can access an interest-free cash advance of up to $250. You can apply without a credit check, and you can get the money instantly through the KOHO app. Best of all, the repayment period is flexible, so you get the freedom to repay your advance at any time. That's why it's one of the best bad credit loans in Canada.
| Costs | 0% + monthly fee from $2 |
|---|---|
| Loan Amount | $20 – $250 |
| Loan Term | Flexible |
| Credit Check | No |
| Turnaround Time | Immediately |
| Requirements | KOHO account—access higher loan amounts over time by using KOHO for everyday spending, repaying your monthly fees and using its other services |
| Serviced Provinces | All provinces and territories |
| Apple App Store Rating | 4.8 |
| Google Play Rating | 4.3 |
Many lenders require you to earn employment income to qualify for a loan. But if you receive income from government benefits, a pension or some other source, some lenders will still offer you a loan.
When you apply, these lenders will verify your income to make sure you can afford to repay your loan. Bad credit is OK too, but these lenient eligibility criteria come at a cost: you can expect to pay a high APR of up to 35%.
$1,500 – $20,000
Loan Amount
19.99% – 35%
APR
12 - 60 months
Term
Get a fast loan. Apply online and validate your information with instant bank verification to get a fast loan decision (with funds sent within 24 hours).
Rebuild your credit. Magical Credit reports on-time payments to the credit bureaus to increase your credit score.
Use non-employment income to qualify. Magical Credit accepts many types of income, such as most government benefits, private pensions and maternity benefits.
You'll need to have been employed for at least six months and have your income directly deposited into your account to qualify for a short-term loan from Magical Credit. This lender specializes in loans for bad credit and low-income earners, so these flexible eligibility criteria make it easier to get funded. However, Magical Credit does not approve everyone; for example, applicants with loans in collections or those in a consumer proposal or bankruptcy may be declined.
| Loan Amount | $1,500 – $20,000 |
|---|---|
| APR Range | 19.99% – 35% |
| Loan Term | 12 - 60 months |
| Serviced Provinces/Territories | All of Canada (excluding MB, SK and QC) |
| Turnaround Time | Receive funds within as little as 24 hours |
| Min. Credit Score | 300 |
| Fees | A single administration fee of $194 |
| Requirements | Canadian citizen or resident, age of majority in province of residence, receiving employment or child tax income, no outstanding loans with other lenders |
$500 – $25,000
Loan Amount
34.56% – 34.95%
APR
12 - 84 months
Term
Money Mart offers installment loans and payday loans to people with bad credit. It's been in business for over 40 years and is one of the largest alternative lenders in Canada. You can apply online or in-store, and if approved, you can get funded in a matter of minutes.
| Loan Amount | $500 – $25,000 |
|---|---|
| APR Range | 34.56% – 34.95% |
| Loan Term | 12 - 84 months |
| Serviced Provinces/Territories | AB, BC, MB, NS, NT, ON, PEI, SK, YT |
| Turnaround Time | Less than 1 day |
| Min. Credit Score | 300 |
| Fees | None |
| Requirements | - Be at least 19 years of age - Have an active chequing account - Have a steady source of income |
While there are plenty of well-known bad credit lenders across Canada, others sneak under the radar a little bit. This can sometimes be because they haven’t been around as long as bigger lenders, or simply because they only offer loans in selected provinces.
Whatever the case may be, these lesser-known lenders are worth comparing if you’re searching for the best bad credit loans in Canada.
$1,000 – $100,000
Loan Amount
16% – 35%
APR
6 - 84 months
Term
Choice of loan options. Blue Copper Capital offers installment loans, lines of credit and payday loans (Alberta only).
Apply online or in-store. You can apply for a Blue Copper Capital loan online or by visiting one of its locations in BC and AB.
You can apply with bad credit. Blue Copper Capital says it won't reject your loan application just because you have bad credit.
Blue Copper Capital only offers loans in BC and AB, so you'll need to consider other options if you live elsewhere. You will also need to receive employment income or income from private disability insurance to qualify for a loan, as several types of non-employment income are not accepted by this lender. It's also worth noting that you will be asked to supply the details of three references during the application process.
| Loan Amount | $1,000 – $100,000 |
|---|---|
| APR Range | 16% – 35% |
| Loan Term | 6 - 84 months |
| Serviced Provinces/Territories | BC and AB |
| Turnaround Time | Varies |
| Fees | $6 per month |
| Requirements | 3+ months employed, active bank account, resident of AB or BC, at least 18 years of age |
$500 – $15,000
Loan Amount
10.99% – 34.99%
APR
9-60 months
Term
Ontario-based LM Credit offers unsecured loans of up to $15,000. You can apply and get pre-approved online in minutes, and it's still possible to qualify for a loan if you receive income from non-employment sources. Loan terms range from 9-60 months and LM Credit also reports your payments to the credit bureaus to help you rebuild credit.
| Loan Amount | $500 – $15,000 |
|---|---|
| APR Range | 10.99% – 34.99% |
| Loan Term | 9-60 months |
| Serviced Provinces/Territories | All provinces (excluding Quebec) |
| Turnaround Time | as little as 30 minutes |
| Min. Credit Score | 550 |
A car title loan is secured by the title to your vehicle, allowing you to borrow up to 50% of your vehicle’s market value. By providing your car as collateral, you reduce risk for the lender and increase your chances of getting approved. This means you can qualify if you have bad credit, but you risk losing your car if you can’t repay the loan. High interest rates also apply.
$5,000 – $500,000
Loan Amount
19.99% – 34.99%
APR
6 - 48 months
Term
Same-day loans. Prudent Financial Services offers 30-minute car title loan approvals and can fund your loan on the same business day.
Bad credit is not a problem. A poor credit score or a past bankruptcy or consumer proposal won't stop you from qualifying for a loan.
Early repayment allowed. You have the flexibility to pay your loan back early without penalty.
You must be a resident of ON to qualify for a car title loan from Prudent Financial. Your car must have no liens, no leases and be fully insured. During the application process, you will be asked to provide proof of insurance, proof of ownership, your driver's licence, a void cheque and two references. However, provided your vehicle is eligible, providing it as collateral will give you a good chance of getting a loan.
| Loan Amount | $5,000 – $500,000 |
|---|---|
| APR Range | 19.99% – 34.99% |
| Loan Term | 6 - 48 months |
| Serviced Provinces/Territories | ON |
| Turnaround Time | as little as 30 minutes |
| Fees | Unknown |
| Requirements | have 50% equity in your home |
$4,000 – $25,000
Loan Amount
19% – 34.9%
APR
24 - 60 months
Term
Title Loans Online offers car title loans of up to $25,000 across Canada. You can apply without a credit check and get approved as quickly as an hour. Loan terms of up to 60 months are available, and you can get funded the same day.
| Loan Amount | $4,000 – $25,000 |
|---|---|
| APR Range | 19% – 34.9% |
| Loan Term | 24 - 60 months |
| Serviced Provinces/Territories | AB, BC, SK and ON |
| Turnaround Time | 24 hours |
| Requirements | Vehicles 2013 and newer with less than 200,000km. Vehicle must be fully paid for, registered in your name and have a full coverage insurance policy. Rebuilt or repaired vehicles not accepted. |
Traditional lenders like the Big Five banks have strict eligibility criteria, so their loans are usually out of reach if you have bad credit. But some traditional lenders, typically credit unions, offer loans designed for people with less than perfect credit.
These loans are intended as payday loan alternatives or loans to help you rebuild your credit. Check if you’re eligible for funding before applying.
$100 – $2,500
Loan Amount
Starting at 19%
APR
12 - 24 months
Term
Fixed interest rate. You can borrow up to $2,500 with this loan, and you get the peace of mind of predictable payments thanks to a fixed interest rate of 19.00%.
Fast access to funds. You can apply for the Fair & Fast Loan online and get funded in as little as 10 minutes.
Early repayment allowed. If you want to pay your loan off early, you can make extra repayments without penalty.
You don't need to pass a credit check to qualify for this loan. Eligibility for the Fair & Fast Loan is based on your income, debts and expenses rather than your credit history.
However, you will need to be a BC resident, have a regular source of income and become a Vancity member to qualify. You also must not have an undischarged bankruptcy or outstanding consumer proposals, or any unpaid collection items (unless the loan will be used to pay them off).
| Loan Amount | $100 – $2,500 |
|---|---|
| APR Range | Starting at 19% |
| Loan Term | 12 - 24 months |
| Serviced Provinces/Territories | BC |
| Turnaround Time | Within 10 minutes |
| Fees | No prepayment fees |
| Requirements | Unknown |
$5,000 – $50,000
Loan Amount
5.95% – 14.99%
APR
12 - 120 months
Term
Innovation's Fresh Start Loan is designed to help you improve your credit score. You can borrow up to $5,000 over a term of up to 2 years, with a fixed interest rate of 14.99%. Innovation Federal Credit Union invests your loan amount into a GIC, so you can use your loan payments to build credit and the GIC investment to provide you with interest income.
| Loan Amount | $5,000 – $50,000 |
|---|---|
| APR Range | 5.95% – 14.99% |
| Loan Term | 12 - 120 months |
| Serviced Provinces/Territories | All provinces (excluding Quebec) |
| Turnaround Time | Approval in one business day |
| Min. Credit Score | 541 |
| Fees | $10 - $25 |
| Requirements | 18 years of age and a Canadian resident |
Finder experts collected 11 points of data for more than 50 lenders operating in Canada. Finder used this data to create a proprietary weighting formula that scores each lender based on rates, fees, terms, loan amounts, application process, funding speed, customer support, and reputation, among other features. The providers shown on the best list are those who scored highest based on this data-driven methodology. They are providers that are available and not available through Finder. While we aimed to review a wide range of lenders, the loans listed do not reflect the entire market. Read more about the Finder personal loan ratings and review methodology.
Bad credit personal loans come with APRs ranging from 18% - 35%. Lenders charge high interest rates on bad credit loans because there’s a greater chance that borrowers won’t pay the money back.
The rate you get will be determined based on factors such as:
Let’s take a look at how much it will cost you to repay a $5,000 loan over 3 years with an 18% APR compared to a 35% APR.
As you can see in the table below, a 35% APR means your monthly repayment will cost $45 more compared to an 18% APR. Over the life of your loan, the higher APR will see you pay $1,635 more in interest.
| Loan A | Loan B | |
|---|---|---|
| APR | 18% | 35% |
| Loan amount | $5,000 | $5,000 |
| Repayment term | 3 years | 3 years |
| Monthly repayment | $181 per month | $226 |
| Total cost to repay | $6,507 | $8,142 |
| Difference over the life of the loan | – | $1,635 more |
Boost your chances of getting funded with these simple tips:
We asked Trust Science, a Canadian company specializing in AI tech that helps lenders assess an application, to share their insights into what would help someone with bad credit get approved for a loan. Here’s what they had to say:
"As a general rule, demonstrating consistent income to your account from stable employment sources is a benefit, as are regular outflows that can be identified as regular bill payments. Similarly, debts that you may have taken on that are not reported to the bureau may arise in your historical banking data: showing that you consistently repaid these debts can work in your favour. Having savings available, or having more cash inflows than outflows is always a good sign."
Yes. If you have poor credit and no guarantor, you can still get a loan. Many alternative lenders specialize in secured or unsecured bad credit loans in Canada with no guarantor needed, and it’s possible to get funded as soon as the same day. But be prepared to pay more in interest and to get approved for lower loan amounts.
The lenders included in our list (above) do not require a guarantor to be approved for a bad credit loan.
Compare the following factors when shopping around to find the best bad credit loan for you.
On January 1, 2025, the maximum personal loan rate allowed in Canada dropped from 47% APR to 35% APR. This is particularly relevant if you have bad credit because applicants with the riskiest profiles are charged the highest rates. Lowering the maximum rate allowed means you could save on interest. However, according to experts in non-prime lending, this drop will also cause lenders to be more selective with their approvals, which means fewer people with bad credit will be able to get a personal loan.
Once the maximum rate is lowered, the following years will help the government and participants of the lending market evaluate whether 47% APR was the appropriate rate charged because of the actual credit risk of the borrower or whether it was the rate charged because it was the maximum that was allowed. We’ll be keeping an eye on this.
If you can’t find a bad credit personal loan for your needs, there are other online options to consider.
| Loan | How it works | How it compares to bad credit personal loans | |
|---|---|---|---|
| Payday loan | Borrow up to $1,500 and repay by your next day | Faster, easier to qualify, much more expensive | Learn more |
| Pay advance app | Borrow up to $750 and repay by your next payday | Smaller loan amounts, often no credit check required, pay a fee for express service | Learn more |
| Line of credit | Borrow up to a limit, pay the interest and repay the balance any time | Can be harder to qualify for, open loan term requires discipline in repayments and spending | Learn more |
| Cash-secured credit card | Works like a standard credit card, but you’ll pay a cash deposit for collateral | Lower rates, cash collateral required | Learn more |
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More Canadians are feeling the pinch. In 2024, 27% of the population reported they were not in a stronger financial position than the year before; by 2026, that number surged to 37%, reflecting a deepening sense of economic insecurity.
If you need a loan, bad credit isn’t the end of the world. There are plenty of lenders out there who are willing to lend money if you have enough income to afford repayments, but you’ll need to watch out for high rates and fees, as well as small loan amounts. If you’re ready to borrow, compare the best bad credit loans before deciding where to apply.
Compare personal loans, payday loans and cash advance apps in PEI to get fast funding, even with poor credit.
Find out where you can apply for bad credit loans in Saskatchewan, and learn how to increase your chances of getting approved.
Compare realistic bad credit loan options available in Newfoundland.
Get fast approval from one of these lenders offering bad credit loans in Calgary, Alberta.
Apply online in less than 10 minutes and get rapid approval from one of these lenders offering bad credit loans in Toronto.
Find out where you can apply online and get approved for bad credit loans in BC.
From personal loans and cash advances to payday loans, compare bad credit loans in Ontario.
Compare no IBV payday loans and installment loans in Canada.
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