Personal loans for new employees

Just starting at a new job and need some extra cash? You could still qualify for a personal loan.

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When reviewing your loan application, lenders check a range of factors to make sure you aren’t too risky of a borrower, and a major part of the assessment is your employment. Most lenders require that you be employed, meet a minimum income requirement and have been employed for a certain amount of time.

If you have just started a new job but find yourself in need of a loan, you still have some financing options available to you. Read our guide below to find out more.

What are the minimum employment requirements set by lenders?

Every lender has its own minimum income requirement. The table below contains some of our top options, but when you’re looking for a personal loan, don’t be afraid to spend time doing research so you can find the best loan for your needs.

LenderMinimum time employedMinimum incomeLearn more
FairstoneNo minimumNo minimum, but have an established credit history
Go to Fairstone Canada's website
Mogo Steady income for at least 30 daysMinimum annual net income of $13,000
Go to Mogo's website
FerratumMust be actively employed, applicants on El and Social Assistance approved$2,000+ monthly income with fair to good credit (575+)
Go to Ferratum's website
motusbankNo minimum, have a Canadian bank account and no declared banktrupcyNo minimum
Go to Motusbank's website
LendDirectNo minimum, have an open and active bank accountNo minimum, have a steady source of income
Go to LendDirect's website
LendingMate No minimumNo minimum, demonstrate an ability to afford repayments without financial burden
Go to LendingMate CA's website
Refresh FinancialNo minimumNo minimum
Go to Refresh Financial's website
Cash MoneyNo minimumNo minimum, have a steady source of income
Go to Cash Money's website

How can I get approved for a personal loan as a new employee?

If you’ve just started or are about to start a new job, try to keep these factors in mind when filling out your loan application.

  • Apply for a lower amount. Lenders may be more hesitant to approve you if you haven’t been at your job long. Calculate how much you need and borrow the minimum amount.
  • Offer security. A secured loan is less risky for a lender and you may be more likely to be approved. Keep in mind you may lose your collateral if you can’t make your repayments.
  • Wait to apply. Even a few months of work could give you a better chance of being approved. Wait until your probationary period is up — usually three to six months — to show you have a steady source of income.
  • Meet the other minimum requirements. Lenders have a range of basic eligibility requirements you need to meet that extend beyond employment.
  • Check your credit history. If you aren’t sure what’s on your credit file or what your credit score is, it’s worth checking before you apply.
  • Let your employer know. Lenders may want to confirm your employment with your current employer, so giving them a heads-up before this happens can help speed up the process.
  • Provide as much supporting documentation as possible. If you have any assets or savings, you should provide that information with your application as this increases the lender’s trust that you can repay your loan.
  • Talk directly with the lender. Contacting your lender before you apply can help you understand the specific criteria you’ll need to meet if you want to have a good chance at approval.

What else do lenders consider?

Lenders look at a variety of factors, which can include any of the following:

  • Your age. Lenders don’t base credit decisions on your age, but you usually need to be at least 18 years old, or the age of majority in your province or territory, in order to be eligible to apply.
  • Employment type. You may need to be employed full-time and you may need to earn a certain amount of income to be eligible. Some lenders don’t accept part-time or freelance work as sufficient employment.
  • Debt-to-income ratio. Lenders like to see that you have a steady stream of cash coming in. A general rule of thumb is that your debt should take up no more than 43% of your income, although lower is better.
  • Credit history. Banks and credit unions will normally require that you have good credit. However, there are bad credit personal loans available.
  • Residence. You will usually need to be a Canadian citizen or a permanent resident to be eligible, as well as a valid Canadian address.

Compare employment requirements of top lenders

How to apply

Once you’ve compared your loan options, head to the lender’s website to apply for the loan via a secure application page. Before you apply, make sure you meet the eligibility requirements and have the necessary documents on hand to streamline the application process.

Required documents

You will usually need to provide the following:

  • Your personal details. This includes your full name, date of birth, address, email address, phone number and Social Insurance Number (SIN).
  • Your employment details. You may need to provide your employer’s name and contact information.
  • Your income details. You may need to submit pay stubs or bank statements to provide proof of your income.
  • Your banking details. You will need to provide the name of your bank, the branch address and transit number and your own personal bank account number.

Bottom line

Getting a personal loan is tough, and the process is only made more difficult when you need a loan but have only just started a new job. While not all lenders accept those who have been employed for less than six months, there are plenty of online lenders out there that can finance your loan.

Browse your personal loan options to find a lender that suits your needs

Frequently asked questions

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