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Best personal loans for fair credit

Here are our picks for the best fair credit loans for borrowers with credit scores between 560 and 659.

If your credit score falls somewhere between 560 and 659, your personal loan options aren’t limited. While you might not qualify for the absolutely lowest rates, there are lenders that provide fair credit loans with competitive APRs and consider other factors besides credit.

Best broker: LoanConnect Personal Loan

$500 – $50,000
Loan amount
1.9% – 46.96%
APR
3 - 120 months
Term
LoanConnect isn't a direct lender but a specialty online platform that you can use for free to find lenders and compare loan offers. When you apply for a personal loan, it will use your information to match you with the best lenders for your particular needs.
  • Works with multiple lenders. It's easy for you to do some comparison shopping before settling on your best option.
  • Quick response. You'll usually get your money within 24 hours of applying if you meet the eligibility criteria.
  • Loan amounts. You'll be able to apply for loans up to $50,000.
  • Bad credit is okay. Loan decisions are based on factors like your income.
  • Interest rates. Interest rates are high, ranging from 1.9% for secured loans and between 5.75% and 46.96% for unsecured loans.
  • Limited access. You'll only get quotes from companies that LoanConnect works with.Completely online. You won't receive in-person customer service.
Loan amount $500 – $50,000
APR 1.9% – 46.96%
Term 3 - 120 months
Interest Rate Type Fixed
Min. Credit Score 300
Fees No application, origination or brokerage fees
Origination Fee 0
Turnaround Time Receive funds within as little as 24 hours.
goPeer Personal Loan
Finder Rating: ★★★★★ 3.6 / 5 Go to site Read review

Best for competitive interest rates: goPeer Personal Loan

$1,000 – $25,000
Loan amount
8% – 33.92%
APR
36 - 60 months
Term
goPeer is Canada's first regulated consumer peer-to-peer lending platform, disrupting the traditional lending model by connecting creditworthy Canadians looking for a personal loan with everyday Canadians looking to invest. It's worth checking out if you've got a credit score above 600 with an annual income over $15,000 (recommended minimum is $40,000). Interest rates start at just 8% and cap out at 33.92%, which is lower than other online lenders.
  • Competitive interest rates. If your finances are strong, you may be able to score an interest rate as low as 8%.
  • An online-only application process with a quick turnaround on loan decisions. Apply completely online and receive an instant quote followed by loan offers in a single business day.
  • Borrowing from fellow Canadians looking to invest. Your loan is provided by fellow Canadians who are interested in investing. The interest you pay goes directly to your peers instead of into the hands of big banks.
  • Loan amount of up to $25,000. The amount you can borrow from goPeer starts at $1,000 and goes up to $25,000.
  • Lengthy terms. You'll be able to lock in a term starting at 36 months to 60 months to help bring your repayments down.
  • Steep interest rates. Interest rates can creep up to 33.92% if your credit isn't in great shape.
  • No in-person customer service. Because goPeer is an online-only lender, you won't have a bricks-and-mortar storefront.
  • One-time origination fee. Borrowers need to pay a one-time origination fee for their loan. This fee is worked into their APR.
Loan amount $1,000 – $25,000
APR 8% – 33.92%
Term 36 - 60 months
Interest Rate Type Fixed
Min. Credit Score 600
Fees Origination fee varies
No application or prepayment fees
Turnaround Time Receive a response within 24 hours of your loan application
ConsumerCapital Personal Loan
Finder Rating: ★★★★★ 3.2 / 5 Go to site Read review

Best for reputation: ConsumerCapital Personal Loan

$1,500 – $12,500
Loan amount
19.99% – 34.99%
APR
24 - 60 months
Term
ConsumerCapital, part of the lending powerhouse CanCap Group, has well-established relationships with major Canadian financial institutions. It has an on-call team of customer service reps to help you manage your loan and its strengths lie in its overall experience for borrowers.
  • Flexible loan amounts to suit your needs. Borrow money starting at $1,500 up to $12,500 with no restrictions on how you can use the funds.
  • An online-only application process with a quick turnaround on loan decisions. Apply completely online and receive an instant quote as well as loan offers within a single business day.
  • No collateral required. Borrowers don't need to secure their loan against an asset like a home or vehicle.
  • Steep interest rates. Interest rates are on par with those of credit cards, starting at 19.99% up to 34.99%.
  • Minimum monthly income. You'll need to make at least $1,900 per month to qualify for a loan.
  • Some provinces are not serviced. You won't be able to take out a loan if you live in Quebec, NWT, Yukon or Nunavut.
Loan amount $1,500 – $12,500
APR 19.99% – 34.99%
Term 24 - 60 months
Interest Rate Type Fixed
Min. Credit Score 600
Fees $75 origination fee
No application or prepayment fees
Origination Fee $75
Turnaround Time 24 to 48 hours
SkyCap Financial Personal Loan
Finder Rating: ★★★★★ 4.1 / 5 Go to site Read review

Best for easy application: SkyCap Financial Personal Loan

$500 – $10,000
Loan amount
12.99% – 39.99%
APR
9 - 36 months
Term
SkyCap Financial loans allow you to borrow up to $10,000. Simply fill out an application in less than 5 minutes and you may even get approved for financing in as little as 24 hours. You don't need collateral or good credit to secure financing.
  • Quick, easy application process. Apply online within 5 minutes to get approved for financing.
  • High loan amounts. Apply for up to $10,000 in one shot, which is more than many other lenders offer.
  • Longer terms. Lock in a term lasting as long as 3 years so that your payments are more affordable.
  • Easy to qualify. You can qualify for a SkyCap loan with bad credit and you won't need to use your assets as collateral to secure your loan.
  • Minimum monthly income. You'll need to make over $1,200 per month to qualify.
  • Fees. You'll be stuck with fees and charges for late, missed and NSF payments.
Loan amount $500 – $10,000
APR 12.99% – 39.99%
Term 9 - 36 months
Interest Rate Type Fixed
Min. Credit Score 550
Fees No fees except $50 NSF fee
Origination Fee N/A
Turnaround Time 24 hours
FlexMoney Personal Loan
Finder Rating: ★★★★★ 4 / 5 Go to site Read review

Best for repayment options: FlexMoney Personal Loan

$500 – $15,000
Loan amount
18.9% – 46.93%
APR
6 - 60 months
Term
With FlexMoney, you'll be able to personalize your loan with various repayment options. Choose to lock in a term starting at 6 months up to 5 years. You can set up weekly, fortnightly or monthly loan repayments. Repayments are automated so you won't miss any due dates too.
  • Quick online application with fast pre-approvals. Apply online and receive a decision on your application within 15 minutes.
  • You don't need to be employed. You can still qualify for a loan if you're receiving government assistance, including CPP and OAS, or if you're self-employed.
  • Loan amount of up to $15,000. The amount you can borrow from FlexMoney starts at $500 and goes up to $15,000.
  • Lengthy terms. You'll be able to lock in a term starting at 6 months up to 60 months.
  • Flexible repayment plans. You can set up weekly, fortnightly or monthly loan repayments. They're automatically withdrawn from your account.
  • Steep interest rates. Interest rates can creep all the way up to 46.93% depending on your credit score and other factors.
  • Minimum monthly income. You'll need a minimum monthly net income of $2,000 to qualify.
  • Your credit score is pulled. FlexMoney will check your credit score before deciding on the rate it will offer you. You'll need a score of 500 at least.
Loan amount $500 – $15,000
APR 18.9% – 46.93%
Term 6 - 60 months
Interest Rate Type Fixed
Min. Credit Score 500
Fees No application, origination or prepayment fees
Turnaround Time Receive funds within as little as 24 hours

Best for debt consolidation: Fairstone Debt Consolidation Loan

$500 – $50,000
Loan amount
19.99% – 39.99%
APR
6 - 120 months
Term
Fairstone offers debt consolidation loans for people struggling to pay down multiple credit card balances and other types of unsecured credit. If you'd rather make one simple monthly payment to cover your existing debt instead of dealing with multiple bills, this may be the solution to help you manage your payments and get out of debt faster. You'll need a credit score of 560.
  • Flexible loan size. You can borrow up to $50,000 with this debt consolidation loan.
  • Flexible repayment terms. Take up to 10 years to repay your loan, making monthly payments easier to manage.
  • One monthly payment to manage. With this loan, you can get out of debt faster with one simple monthly payment.
  • Bill consolidation. In addition to debt consolidation, Fairstone offers bill consolidation loans that combine past-due bills into one simple payment.
  • In-branch application. To finalize and receive the loan, you'll have to bring documents to your local Fairstone branch.
  • Fees. Depending on the province or territory you're in, you may face application fees, origination fees and late payment and NSF fees.
  • Interest rates. Interest rates can climb as high as 39.99% depending on factors such as the province you reside in.
Loan amount $500 – $50,000
APR 19.99% – 39.99%
Term 6 - 120 months
Interest Rate Type Fixed
Min. Credit Score 560
Fees None
Origination Fee N/A
Turnaround Time Receive funds within as little as 24 hours
Fairstone Secured Personal Loan
Finder Rating: ★★★★★ 3.7 / 5 Go to site Read review

Best for secured: Fairstone Secured Personal Loan

$5,000 – $50,000
Loan amount
19.99% – 23.99%
APR
60 - 120 months
Term
Fairstone's secured personal loan acts just like a home equity loan. If you're a homeowner, you can use your home as collateral to secure your loan and qualify for better interest rates and terms. Borrow up to $50,000 with terms starting at 60 months up to 10 years.
  • Flexible loan size. Secured loans start at $5,000 up to as high as $50,000.
  • Fast access to funds. Once you've been approved, you should have access to your funds within 1 business day.
  • Flexible loan terms. Count on lengthy loan terms of between 60 months and 10 years so monthly repayments are easier to manage.
  • Available across Canada. You can apply for a Fairstone secured loan in all 10 provinces and 3 territories.
  • Steep interest rates. Interest rates start at 19.99% and go up to 23.99%, even with your home equity on the line.
  • Additional charges. Applying for a secured loan with Fairstone comes with additional fees and charges for a home valuation, title search and other due diligence steps.
  • Your home is used as collateral. Using your home as insurance on your loan can be risky, especially if there's a chance you could default on your loan.
  • In-person application. If you're applying for a secured loan, you'll need to visit a Fairstone location to submit the necessary paperwork in person.
Loan amount $5,000 – $50,000
APR 19.99% – 23.99%
Term 60 - 120 months
Interest Rate Type Fixed
Min. Credit Score 560
Fees Varies by province
Origination Fee Varies by province
Turnaround Time 2+ days

Best for client service: Easy Financial Personal Loan

500 – $50,000
Loan amount
14.99% – 46.96%
APR
9 - 120 months
Term
Count on top-notch customer service with Easy Financial, which is available in all 10 provinces and 3 territories with over 370 locations across the country. You can apply for a loan and receive client services online, in-person or over the phone. As many as 60% of clients who qualify have been turned down by a bank due to less-than-perfect credit.
  • Variety of loan options. Loan options include unsecured loans, secured loans and credit rebuilder loans.
  • Flexible loan amounts. Loan amounts vary from 500 to as high as $50,000 (for a secured loan).
  • Customer service. You can apply online, in-person at over 370 locations or over the phone.
  • Steep interest rates. Interest rates for secured loans start at 14.99% and go up to 28.99%, while unsecured loans come with interest rates starting at 29.99% up to 46.96%.
  • Potential for fees. You may come across non-sufficient funds fees, late payment fees, missed payment fees or admin fees.
Loan amount 500 – $50,000
APR 14.99% – 46.96%
Term 9 - 120 months
Interest Rate Type Fixed
Min. Credit Score 300
Turnaround Time Within 30 minutes

How we selected the best personal loans for fair credit

We reviewed several personal loan providers to come up with a list that best suits the needs of a borrower with fair credit. We included lenders with a credit requirement of 560 and up and considered factors like APR, loan amounts, terms available, reviews and customer experience.

No single personal loan will be the best choice for everyone, so compare your options before applying.

Eligibility requirements for fair credit loans

Before you apply for a loan, you should make sure you meet all of the lender’s eligibility requirements. Double-check that you tick all of the boxes required to qualify, otherwise you may end up getting rejected.

While eligibility criteria differ between lenders, here’s a look at the most common requirements you’ll need to meet to secure a fair credit loan:

  • Be at least 18 years old or the age of majority in your province. Provide government-issued ID, such as your passport, driver’s licence or citizenship card to verify your age and identity.
  • Meet minimum income requirements. Some fair credit lenders require a minimum monthly net income of about $1,900 to $2,000 via employment while others are OK with government benefits. You’ll need to provide evidence of a steady income via bank statements, pay stubs, benefits letters or tax returns.
  • Meet the minimum credit score. With some fair credit loans, minimum credit scores may not apply, but more often than not, lenders may have a minimum threshold of at least 550 to 560 to qualify.
  • 3+ months employed. Some lenders don’t require any employment income at all, but some do. If they insist on employment income, they’ll typically ask that you’ve been employed for at least 3 months.
  • Active bank account. You’ll need an active bank account to receive your funds and to set up loan repayments.
  • Social Insurance Number, full mailing address and active phone number. Your SIN and address may be used to pull your credit score. Make sure you have these details ready, including official mail that shows your full address.

Steps to apply for a fair credit loan

Getting a personal loan with fair credit is completely feasible as long as you do your homework on which loans are available to you and prepare for the application process. Here’s a step-by-step guide on what to expect in the application process:

How to choose the best personal loan with fair credit

Keep these tips in mind to find a competitive deal on a loan when you have fair credit:

  • Consider the maximum APR. You likely won’t qualify for the lowest potential rate with fair credit, so looking at the maximum rate a lender offers might be a better way to find a good deal.
  • Prequalify with multiple lenders. Fill out prequalification forms to find out what rates, terms and loan amounts you might qualify for with multiple lenders to make a more personalized comparison.
  • Apply with a cosigner. Applying with a cosigner with excellent credit can help you qualify for more competitive rates and higher loan amounts.

Where can I find loan for fair credit?

You can get a fair-credit personal loan from most types of lenders, including:

  • Online lenders. Online lenders tend to have more relaxed credit requirements than other types of providers — many rely on other signals of financial health beyond your credit score.
  • Credit unions. Credit unions are nonprofit, member-run financial institutions that tend to offer more competitive rates than their bank or online counterparts to fair-credit borrowers.
  • Banks. While the large banks tend to require good to excellent credit, you might be able to find a good deal at a local or regional bank with fair credit.
  • Online brokers. Online brokers services can help you prequalify with multiple lenders at once. This gives you an idea of what rates, loan amounts and terms you can qualify for, and which lender offers the best deal for you.
  • Peer-to-peer lenders. These online platforms connect borrowers with investors to fund your loan. They work a lot like online lenders, though it can take as long as a week to receive your funds.

How much does a fair credit loan cost?

There is no one-size-fits-all answer for how much a fair credit loan will cost you because it depends on a variety of factors. These include the following:

  • Your loan amount
  • The interest rate you secure
  • Your loan repayment terms
  • Other charges and fees, including loan origination fees, prepayment penalties, NSF fees and late or missed payment fees

If you’re working with a lender that charges a loan origination fee, you may incur more costs, while other borrowers may pay more in interest charges because they have a lower credit score. If you’re applying for a secured loan with fair credit, you may have to pay fees to carry out a home valuation, title search and other due diligence steps.

In other words, there are a handful of different ways you may save or spend more on your fair credit loan.

Across the board, it’s safe to say that fair-credit borrowers will have higher rates compared to borrowers with credit that’s in great shape. It’s in your best interest to get your credit score as high as possible before applying for a loan so you can secure competitive APRs.

Compare more personal loans for fair credit

Name Product Interest Rate Loan Amount Loan Term Requirements Link
Spring Financial Personal Loan
Finder Rating: 4 / 5: ★★★★★
Spring Financial Personal Loan
17.99% - 46.96%
$500 - $15,000
9 - 48 months
Requirements: min. income $1,800/month, 3+ months employed, min. credit score 500
Go to site
More Info
If you're not eligible for an unsecured loan, you may be offered a credit builder loan to help improve your credit score.
LoanConnect Personal Loan
LoanConnect Personal Loan
Secured from 1.90%, Unsecured from 5.75%-46.96%
$500 - $50,000
3 - 120 months
Requirements: currents debts total less than 60% of income, min. credit score 300
Go to site
More Info
Fill out one application with this broker and get pre-approved by different lenders in 5 minutes.
Mogo Personal Loan
Finder Rating: 4.5 / 5: ★★★★★
OFFER
Mogo Personal Loan
9.90% - 46.96%
$200 - $35,000
6 - 60 months
Requirements: min. income $13,000/year, min. credit score 500
100-day money-back guarantee. If you're not happy with your loan, pay back the principal and get your 100 days of paid interest and fees back.
Go to site
More Info
Get a free quote without affecting your credit score and get a loan on the same day. Track your credit score for free.
goPeer Personal Loan
Finder Rating: 3.6 / 5: ★★★★★
goPeer Personal Loan
8.00% - 33.92%
$1,000 - $25,000
36 - 60 months
Requirements: recommended income $40,000/year, no payday loan debt, min. credit score 600
Go to site
More Info
Connects creditworthy Canadians looking for a loan with Canadians looking to invest. Apply in minutes and get a response within 24 hours.
SkyCap Financial Personal Loan
Finder Rating: 4.1 / 5: ★★★★★
SkyCap Financial Personal Loan
12.99% - 39.99%
$500 - $10,000
9 - 36 months
Requirements: min. income $1,200/month, stable employment, min. credit score 550
Go to site
More Info
Apply in less than 5 minutes and if approved, receive financing in as little as 24 hours.
Fairstone Unsecured Personal Loan
Finder Rating: 3.9 / 5: ★★★★★
Fairstone Unsecured Personal Loan
26.99% - 39.99%
$500 - $25,000
6 - 60 months
Requirements: able to make monthly repayments, min. credit score 560
Go to site
More Info
Get a free quote without impacting your credit score. Receive funds within as little as 24 hours. No prepayment fees.
ConsumerCapital Personal Loan
Finder Rating: 3.2 / 5: ★★★★★
ConsumerCapital Personal Loan
19.99% - 34.99%
$1,500 - $12,500
24 - 60 months
Requirements: min. income $1,900/month, 6+ months employed, no payday loan debt, min. credit score 600
Go to site
More Info
Complete an application in less than 10 minutes and get a decision within 24 hours.
Loans Canada Personal Loan
Loans Canada Personal Loan
Secured from 2.00%, Unsecured from 8.00% to 46.96%
$300 - $50,000
3 - 60 months
Requirements: min. credit score 300
Go to site
More Info
A broker with the largest lender network in Canada. Fill out one application and get matched for free with lenders.
FlexMoney Personal Loan
Finder Rating: 4 / 5: ★★★★★
FlexMoney Personal Loan
18.90% - 46.93%
$500 - $15,000
6 - 60 months
Requirements: min. income $2,000/month, 3+ months employed, min. credit score 500
Go to site
More Info
Apply in less than 10 minutes and if approved, receive financing in as little as 24 hours. Pay off your loan any time without penalty.
Loan Away Personal Loan
Finder Rating: 3.6 / 5: ★★★★★
Loan Away Personal Loan
19.90% - 45.90%
$1,000 - $5,000
6 - 36 months
Requirements: min. credit score 300
Go to site
More Info
A lender that approves loans in as little as 20 minutes. Get affordable monthly repayments with any credit score.
Fairstone Secured Personal Loan
Finder Rating: 3.7 / 5: ★★★★★
SECURED
Fairstone Secured Personal Loan
19.99% - 23.99%
$5,000 - $50,000
60 - 120 months
Requirements: must be a homeowner, min. credit score 560
Go to site
More Info
Use your home equity to get a secured loan with flexible repayment options. Get a free quote without impacting your credit score.
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Compare up to 4 providers

Bottom line

Your options aren’t limited when you have fair credit, it’s still possible to find a good deal. Online lenders, credit unions and small banks might be your best bet. But if you have a credit score below 560, you might want to consider applying with a cosigner since that’s the cut-off for most fair-credit lenders.

You can learn more about how borrowing works by reading our guide to personal loans.

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