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Personal loan brokers

Find a personal loan broker and learn how to take advantage of its services.

Name Product Interest Rate Loan Amount Loan Term Requirements Credit Score Link
LoanConnect Personal Loan
Secured from 1.90%, Unsecured from 9.90%-46.96%
$500 - $50,000
3 - 120 months
Currents debts must total less than 60% of income
Min. credit score: 300
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An online broker who helps inform clients towards better finances. Get pre-approved by different lenders for unsecured or secured loans in 5 minutes with any credit score.
Loans Canada Personal Loan
Secured from 2.00%, Unsecured from 8.00% to 46.96%
$300 - $50,000
3 - 60 months
No min. income or employment requirements
Min. credit score: 300
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More Info
An online broker with the largest lender network in Canada. Get matched for free with lenders offering both unsecured and secured loans through one quick application regardless of your financial situation.
LoanConnect Installment Loan
32% + brokerage fee
$500 - $2,500
3 - 6 months
Currents debts must total less than 60% of income
Min. credit score: 300
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More Info
Get approved by different lenders in as little as 60 seconds with any credit score. Access resources to help you work toward better finances.
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Finding a personal loan can take a lot of time and effort. A personal loan broker can cut the time you spend by adding in a middle man that can facilitate a loan for you. And if you don’t have the best credit or are facing a complicated situation, a broker may even be able to find you a loan you didn’t know you could qualify for.

How does a personal loan broker work?

Personal loan brokers work in a similar way to mortgage brokers: they help you find a good deal on a personal loan by connecting you to a direct lender that you qualify with. To do this, personal loan brokers have a network of lenders that have set eligibility criteria for potential borrowers.

If a personal loan broker is able to find a lender that might fit your needs, you’ll be presented with a preapproval offer. After this, you will likely have to finalize the offer with the lender directly, though some brokers are able to facilitate that portion of the process as well.

Why should I consider a personal loan broker?

Lender connection services offer convenience. Rather than filling out multiple applications for a variety of lenders, a personal loan broker only requires you to fill out one application. You’ll receive your offers through the broker, which can save you time.

It might be particularly useful if you have trouble meeting the standard eligibility criteria at larger financial institutions. This is because brokers tend to have a better understanding of different lending requirements of various lenders, so they won’t recommend products that you are likely to be rejected for.

And to top it all off, using a personal loan broker is free. Instead of charging you, brokers receive a commission from the lender once you’re approved for a loan. You’ll save time without having to pay for the privilege of being connected to lenders.

How are personal loan brokers and direct lenders different?

Personal loan brokersDirect lenders
Application processOne application could connect you with multiple lenders. It takes about 10 minutes to apply.One application per lender. It takes about 10 minutes to apply with each individual lender.
Types of feesUsually free of charge, although peer-to-peer lenders may charge an origination fee.Varies by lender. Fees can include an application fee, an origination fee, a prepayment penalty and a late fee.
Safety of your informationWebsites are SSL-encrypted, but brokers will share your contact information with multiple lenders.Websites are SSL-encrypted. They don’t share your information with anyone, and employees usually have restricted access.
Typical minimum qualificationsIt depends on the lenders within the broker’s network.Good to excellent credit, a regular source of income, at least 18 years old or age of majority, a Canadian citizen or permanent resident.

How to find a good matching service

  • Loans offered. Most brokers only connect borrowers with unsecured personal loans. If you need a specific loan, check to make sure your broker has that type of lender in its network.
  • Loan conditions. Every personal loan comes with certain conditions regarding early payments, late payments and loan terms. Check with your lender to make sure you agree to the borrowing conditions.
  • Lender network. A larger network will increase the likelihood you’ll be connected with a lender that can finance your loan.
  • Processing time. Brokers will need to underwrite your application before you can be connected with a lender. Usually this only takes a few minutes, but some with more strenuous eligibility criteria may take longer.
  • Customer service. While you may not be working with your broker for the entire duration of your loan, you’ll want to be sure its customer service is top-notch just in case you have any questions or run into any problems.
  • How they work. Some brokers operate almost entirely online, while others use the more traditional methods like phone, fax and mail.

What to avoid with personal loan brokers

  • Small lender networks. The more lenders your broker has access to, the better your chance of getting the best loan available. Make sure your broker compares a large range of options, otherwise you might as well just do it yourself.
  • Commissions. Most brokers run off of commissions, but you’ll still want to be sure how it affects the broker’s recommendations. Less honest brokers might push lenders that pay them higher rather than the ones that offer the best option for you.
  • Fees and charges. There are multiple personal loan brokers that don’t charge a fee for a connection service. If you opt for one that does, ensure that all fees are clearly explained before you commit to your broker and your loan.
  • Scams. Reputable personal loan brokers don’t charge a fee for you to apply. You should also be wary of other warning signs like an unsecure website or a company without a physical address.

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Bottom line

A personal loan broker can be a handy tool when you’re ready to compare lenders but aren’t sure where to start. With many offering a connection service online, you can apply from the comfort of your own home without having to visit website after website to check terms. However, you’ll still want to make sure your lender is legit before you agree to a loan.

And if you’d rather compare direct lenders, our guide to personal loans can help guide you through the comparison process.

Frequently asked questions about personal loan brokers

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