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17 best bad credit loans in Canada

Apply online for the best bad credit loans in Canada and get fast approval and funding.

Bad credit shouldn’t prevent anyone from getting financing, plus you can use a new loan to help rebuild your credit. But be prepared to pay more interest, since bad credit loans are offered at higher interest rates. If you’re looking for financing, this guide covers some of the best bad credit personal loans in Canada.

How can I get a loan with bad credit in Canada?

To borrow money with bad credit, you can apply to alternative lenders. Many alternative lenders in Canada offer loans online to people with less-than-perfect credit scores. These loans vary widely in loan amounts, loan terms, rates, fees and eligibility requirements, so compare your options before applying.

Competitive Rates

Go to site
Low interest rates
  • Options for all credit scores
  • Fast application
  • Quotes from multiple lenders
  • Pre-approval in five minutes
  • Low interest rates
  • Funds in as little as 24 hours

Flexible Terms

Go to site
All credit scores
  • Accepts bad credit borrowers
  • Easy online application
  • Quotes from multiple lenders
  • Access cash within 1-3 business days
  • High loan amounts of up to $50,000

Fast Financing

Go to site
No prepayment fees
  • Accepts bad credit borrowers
  • Same day funding
  • 100% online
  • No hidden fees
  • No prepayment fees
  • Established lender

Summary of the best bad credit loans

How we found the best bad credit personal loans

To find the best bad credit loans in Canada, Finder experts collected more than 70 points of data for more than 60 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, with partners listed first. These loans are not representative of the entire market. Read more about the Finder personal loan ratings and review methodology.

464+

hours invested

112

lenders vetted

4,608

data points analyzed

Best bad credit loans in Canada

1. LoanConnect

LoanConnect Personal Loan
Finder Score:
★★★★★
Customer Survey:
★★★★★
Go to site Read review

$500 – $50,000

Loan Amount

8.99% – 46.96%

APR

3 - 120 months

Term

LoanConnect maintains a large database of lenders and matches you with bad credit loan offers based on your unique profile. Fill out one application to get matched with multiple lenders.

Why it's one of the best

Save time. Your application will be cast wide and you'll get your results right after you apply.

Easily compare offers. Compare offers from multiple lenders and log in regularly to see if new offers are available.

Choose between secured and unsecured loans. Find a secured bad credit loan if you have an eligible asset or get a loan with no collateral.

Will I get approved?

If your credit score is not the best, no problem. LoanConnect accepts bad credit and doesn't require a credit check for pre-approvals, though some lenders you match with may require it. Its large database of lenders also gives you more chances to get matched with a lender.

  • Pre-approval in five minutes
  • Many bad credit loan options
  • BBB-accredited with an A+ rating
  • Fast funding
  • Not a direct lender
  • High rates for bad credit
  • Miss out on offers from lenders not partnered with LoanConnect
Loan amount $500 – $50,000
APR 8.99% – 46.96%
Term 3 - 120 months
Min. credit score 300
Fees No application, origination or brokerage fees
Turnaround time Receive funds in as little as 24 hours.
Serviced provinces All provinces

2. Spring Financial

Spring Financial Personal Loan
Finder Score:
★★★★★
Customer Survey:
★★★★★
Go to site Read review

$500 – $35,000

Loan Amount

10.8% – 46.99%

APR

6 - 60 months

Term

Spring Financial offers fast bad credit personal loans online. If you don't qualify for an installment loan, however, it'll offer you its credit builder loan The Foundation. With this loan, you won't access the loan funds until after you've made all your payments on time, which include interest.

Why it's one of the best

Get a loan from an established lender. Spring Financial has been providing installment loans since 2015 and has over 200 employees with headquarters in Vancouver, BC.

Improve your credit score. Spring Financial reports payments to the credit bureaus so you can increase your credit score.

Get quick funding. You can get your bad credit loan as soon as today.

Will I get approved?

Spring Financial has pretty flexible requirements, with a low minimum credit score of 550 and a low minimum income of $2,000/month. Its credit builder loan The Foundation is easier to qualify for than its regular personal loan, but make sure it's the right product for your current situation before signing up.

  • 100% online
  • Fast funding via e-Transfer
  • No prepayment penalties
  • High rates for bad credit
  • Low BBB rating, received complaints about the credit builder loan
Loan amount $500 – $35,000
APR 10.8% – 46.99%
Term 6 - 60 months
Min. credit score 550
Fees No fees except $30 NSF fee
Turnaround time Within 24 hours
Serviced provinces All of Canada

3. Loans Canada

Loans Canada Personal Loan
Finder Score:
★★★★★
Customer Survey:
★★★★★
Go to site Read review

$300 – $50,000

Loan Amount

6.99% – 46.96%

APR

3 - 60 months

Term

Loans Canada is an online loan search platform partnered with over 60 lenders. Fill out one application and get your matches for free.

Why it's one of the best

Work with a Finder Award finalist. Loans Canada earned the Finalist award in the Best Personal Loan Search Platform category in the Finder: Personal Loans Customer Satisfaction Awards 2023. Loans Canada scored 75.15% in the overall customer satisfaction score and secured a spot in Canada's Top 15 Best-Rated personal loan providers in 2023.

Search a large lender network. Find bad credit loans that best suit your financial situation.

Get approved. You'll only be shown bad credit loan offers that you have a real chance of getting.

Will I get approved?

If you have a bad credit score or low income, there's still a chance you'll 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 one or more loans.

  • Easy online application
  • Quick deposits
  • High loan amounts
  • No collateral required
  • High rates for bad credit
  • No online quotes provided
  • Limited to its network
Loan amount $300 – $50,000
APR 6.99% – 46.96%
Term 3 - 60 months
Min. credit score 300
Fees No application, origination or brokerage fees
Turnaround time Receive funds in as little as 24 hours.
Serviced provinces All of Canada

4. easyfinancial

easyfinancial Personal Loan
Finder Score:
★★★★★
Customer Survey:
★★★★★
Go to site Read review

$500 – $100,000

Loan Amount

9.99% – 46.96%

APR

9 - 120 months

Term

easyfinancial helps Canadians access financing when their credit scores are low and banks aren't an option. You can apply online for a quick process or visit a branch near you.

Why it's one of the best

Get a quick quote. Apply in minutes with no commitment and it won't affect your credit score.

Work with a Finder Awards winner. easyfinancial was awarded the Winner award in the Best Personal Loan Alternative Lender category in the Finder: Personal Loans Best-in-Class Awards 2024.

Improve your credit score. According to easyfinancial, one in three customers graduate to prime rates after making regular, on-time repayments.

Will I get approved?

easyfinancial scored high in the Finder: Personal Loans Best-in-Class Awards 2024 because its 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 higher rate. Increase your chances of approval and get a lower rate when you secure your loan with your house (but keep in mind you could lose your house if you default). Also increase your odds of approval if you apply with a co-applicant who has stronger finances than you.

  • Secured and unsecured loan options
  • 2% rate reduction with a co-applicant
  • BBB-accredited with an A+ rating
  • Steep rates for bad credit
  • Many negative customer reviews
Loan amount $500 – $100,000
APR 9.99% – 46.96%
Term 9 - 120 months
Min. credit score 300
Fees you may come across non-sufficient funds fees, late payment fees, missed payment fees or admin fees
Turnaround time Approval within 30 minutes
Serviced provinces all provinces

5. LoansLoans.ca

LoansLoans.ca Installment Loan
Finder Score:
★★★★★
Go to site Read review

$500 – $1,000

Loan Amount

28% – 32%

APR

3 months

Term

LoansLoans.ca is a broker that helps people find short-term installment loans. It doesn't do any credit checks and accepts many types of income as long as it's over $1,200. You may be required to pay a fee of up to $300 that will be added to your payments.

Why it's one of the best

Avoid payday loans. LoansLoans.ca's bad credit installment loans have longer loan terms than payday loans, which means you can break up your repayments.

Qualify. LoansLoans is open to many types of income as long as they're recurring. And since it doesn't do credit checks, you can qualify with bad credit.

Work with an established broker. NCR Financial Services, the company that owns and operates LoansLoans.ca, has been around for over 15 years.

Will I get approved?

LoansLoans installment loans are typically easier to get than others on this list because you don't have to go through a credit check and you can only borrow up to $1,000. Small loans are easier to get approved for than big loans because they're less risky for the lender. And as long as you have a stable, recurring income paid directly into your bank account and you have no active payday loans or short-term loans, you have a chance to qualify.

  • No credit check
  • Apply online in minutes
  • Funding on the same day or next day
  • High rates and fees
  • Doesn't give enough information about its brokerage fee
Loan amount $500 – $1,000
APR 28% – 32%
Term 3 months
Min. credit score 300
Fees Late payment fee (2.66% per month), $45 NSF fee, broker fee
Turnaround time Receive funds in less than 24 hours
Serviced provinces All of Canada (except Manitoba)

6. Mogo

Mogo Personal Loan
Finder Score:
★★★★★
Customer Survey:
★★★★★
Go to site Read review

$500 – $35,000

Loan Amount

9.9% – 46.96%

APR

6 - 60 months

Term

Mogo is a Canadian fintech company that offers various financial products, including personal loans and lines of credit for low credit scores.

Why it's one of the best

Get an instant decision. Get your free quote in three minutes without affecting your credit score.

Apply easily online. Set up an account within minutes and get approval and funding within one to two days.

Work with an established company. Mogo was founded in 2003 and is traded on the Toronto Stock Exchange.

Will I get approved?

A Mogo personal loan is harder to get than others on this list since it has a minimum credit score of 600. It also has a minimum full-time annual income of $35,000, which is stricter than others on this list. Finally, all your monthly debt payments must be less than 55% of your monthly income, which is actually more lenient than banks. If you meet these requirements, it's worth getting a quote from Mogo to get an idea of what rate you qualify for without affecting your credit score.

  • No prepayment penalties
  • Bank-level security
  • High rates for bad credit
  • Some negative Mogo reviews online
Loan amount $500 – $35,000
APR 9.9% – 46.96%
Term 6 - 60 months
Min. credit score 600
Fees Non-sufficient funds fee of $20 to $50
Turnaround time Within 24 hours
Serviced provinces BC, AB, SK, MB, ON, NB, NS, PE, NL, YT, NT, NU

7. Get Loan Approved

getloanapproved.com Vehicle Title Loan
Finder Score:
★★★★★
Read review

$1,000 – $50,000

Loan Amount

9.95% – 29%

APR

12 - 72 months

Term

Get Loan Approved offers personal loans with your car as collateral, also known as a car title loan. You can continue to use your car as you pay off your loan. To qualify, your car must be less than 10 years old, in good condition and fully paid off. You could lose your car if you default, so make sure you can manage the loan payments.

Why it's one of the best

Lenient. Get Loan Approved specializes in personal loans for people with damaged credit and with a car. It doesn't do any credit checks, and you don't need to be employed.

Apply easily. Apply online and then either drive to a Get Loan Approved agent near you or have an agent come to you for a car appraisal. The whole process can be completed within 24 to 48 hours.

Increase your chances of approval. Since you'll be reducing the risk for the lender with collateral, you'll have a higher chance of getting approved.

Will I get approved?

There's a solid chance of getting approved if your car meets the requirements of being fully paid off, in good condition and less than 10 years old. Get Loan Approved doesn't do any credit checks and doesn't have job requirements.

  • No credit check
  • No employment required
  • High rates and fees
  • You could lose your car if you default
Loan amount $1,000 – $50,000
APR 9.95% – 29%
Term 12 - 72 months
Turnaround time In as little as one hour
Serviced provinces AB, BC, MB, NB, NL, NS, ON, PEI, SK

8. Loanz

Loanz Personal Loan
Finder Score:
★★★★★
Customer Survey:
★★★★★
Read review

$1,000 – $15,000

Loan Amount

29.9% – 46.9%

APR

12 - 60 months

Term

Loanz is a direct lender of bad credit personal loans. Its application process is entirely online, so you won't ever need to do an in-person interview to borrow money.

Why it's one of the best

Get funded fast. Apply to get instant approval and receive funds in as little as 15 minutes.

Improve your credit. Loanz will report every payment to the credit agencies to help boost your credit score.

Skip the documents. You won't need to send any paperwork if you choose instant bank verification.

Will I get approved?

Loanz has a minimum credit score of 570. It has a minimum monthly income of $1,200. Both are pretty standard for lenders offering bad credit personal loans. If you have extremely bad credit, Loanz is not the best option as it may redirect you to another lender who is more lenient, such as Money Mart.

  • Bank verification allows for fast approvals
  • Easy online application
  • High rates for bad credit
  • If you're too risky of a borrower, you'll be redirected to another lender
Loan amount $1,000 – $15,000
APR 29.9% – 46.9%
Term 12 - 60 months
Min. credit score 570
Fees N/A
Turnaround time 24 hours or less
Serviced provinces All of Canada (excluding Quebec)

9. FlexMoney

FlexMoney Personal Loan
Finder Score:
★★★★★
Customer Survey:
★★★★★
Read review

$500 – $15,000

Loan Amount

18.9% – 46.9%

APR

6 - 60 months

Term

FlexMoney is an online-only lender offering fast bad credit personal loans in Canada.

Why it's one of the best

Get an instant decision. FlexMoney's automated system enables it to give you a no-obligation quote within minutes.

Get your funds fast. Funds should reach your account on the same day or the next day.

Rebuild your credit. FlexMoney will report regular, on-time payments of your personal loan to the credit bureau.

Will I get approved?

FlexMoney has a minimum credit score of 500 and minimum monthly income of $2,000, which is pretty flexible. You're more likely to get approved though if your monthly debt payments don't exceed a percentage of your monthly income. For many traditional lenders, that's 40%. Alternative lenders like FlexMoney can accept a little higher than this.

  • Bank verification for fast approvals
  • Easy online application
  • Funding as soon as same day
  • High rates for bad credit
Loan amount $500 – $15,000
APR 18.9% – 46.9%
Term 6 - 60 months
Min. credit score 500
Fees No application, origination or prepayment fees
Turnaround time Receive funds within as little as 24 hours
Serviced provinces Alberta, British Columbia, Newfoundland, Nova Scotia, Ontario, PEI, Saskatchewan and Yukon

10. Magical Credit

Magical Credit Installment Loan
Finder Score:
★★★★★
Customer Survey:
★★★★★
Read review

$1,500 – $20,000

Loan Amount

19.99% – 46.8%

APR

12 - 60 months

Term

Magical Credit specializes in online personal loans for people with bad credit and/or low income. It's been in business since 2014 with offices in Concord and North York, Ontario.

Why it's one of the best

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.

Will I get approved?

Magical Credit specializes in providing installment loans to people with bad credit. You can get approved if your income is low or if you're on government benefits. However, Magical Credit does not approve everyone. If you have loans in collections or you're in a consumer proposal or bankruptcy, Magical Credit will not approve you. And while Magical Credit will not necessarily deny you a loan for having bad credit, it will still review your credit history to make sure you can afford new loan payments.

  • Automated process with bank verification
  • Easy application
  • Funding as soon as same day
  • Many types of income are okay
  • High rates for bad credit
Loan amount $1,500 – $20,000
APR 19.99% – 46.8%
Term 12 - 60 months
Min. credit score 300
Fees A single administration fee of $194
Turnaround time Receive funds within as little as 24 hours
Serviced provinces Canada-wide (excluding Manitoba, Saskatchewan and Quebec)

11. Alpine Credits

Alpine Credits Home Equity Loan
Finder Score:
★★★★★
Customer Survey:
★★★★★
Read review

$10,000 – $500,000

Loan Amount

10% – 22.99%

APR

Up to 60 months

Term

Alpine Credits offers personal loans using your home equity as collateral. Before applying for this loan, make sure you can afford the payments because if you default, your lender has the right to repossess your house. Also watch out for fees, such as title search fees and appraisal fees.

Why it's one of the best

Work with an established lender. Alpine Credits has been around for over 50 years and is BBB accredited with an A+ rating.

Increase your chances of approval. Offering your house as collateral reduces the risk for the lender and boosts your chances of getting a loan.

Get approved fast. You should hear back in less than 24 hours.

Will I get approved?

Offering collateral increases your chances of approval, and a house is one of the most preferred types of collateral for lenders. Alpine Credits bases its approval on your home equity, which is your home's market value minus your remaining mortgage balance. Unlike banks, Alpine Credit places less importance on your credit score, so it's possible to get approved even if it's low.

  • Less focus on age, income and credit score
  • Easy online application
  • Funding as soon as same day
  • High rates for bad credit
  • Fees
  • You could lose your home if you default
Loan amount $10,000 – $500,000
APR 10% – 22.99%
Term Up to 60 months
Min. credit score 300
Fees 5.00% - 8.00% of the APR covers closing & admin fees
Turnaround time 24 hours
Serviced provinces AB, BC, ON, QC

12. Money Mart

Money Mart Installment Loan
Finder Score:
★★★★★
Customer Survey:
★★★★★
Read review

$500 – $15,000

Loan Amount

29.9% – 46.9%

APR

6 - 60 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.

Why it's one of the best

Get your loan fast. Same-day funding is available, depending on the transfer method.

Apply online or in-store. Get your loan online or at one of Money Mart's 500+ store locations.

Get some leniency. Money Mart is less strict with its requirements than banks, credit unions and some alternative lenders. You can qualify with a chequing account and a regular source of income.

Will I get approved?

Money Mart is one of the easier lenders to get approved for on this list. Bad credit is okay, and you can qualify with a low income or non-employment income. However, watch out for high interest rates.

  • Bank verification for fast approvals
  • Easy online application
  • Funding as soon as same day
  • High rates for bad credit
Loan amount $500 – $15,000
APR 29.9% – 46.9%
Term 6 - 60 months
Min. credit score 300
Fees None
Turnaround time Less than 1 day
Serviced provinces AB, BC, MB, NB, NS, NT, ON, PEI, SK, YT

13. Lend for All

Lendforall Personal Loan
Finder Score:
★★★★★
Customer Survey:
★★★★★
Read review

$100 – $50,000

Loan Amount

2.99% – 46.96%

APR

3 - 120 months

Term

Lend for All is a loan-matching company that uses an automated process to match people with various lenders and financial institutions. It is based in Toronto, Ontario, and has an A+ BBB rating.

Why it's one of the best

Save time. It works with a network of lenders that offer quick approval for customers with bad credit.

Get fast pre-approvals. Lend for All provides quick pre-approvals within minutes by doing a soft check on your credit report.

Find a loan for various purposes. Lend for All will match you with offers based on your needs.

Will I get approved?

Lend for All is a loan search platform like Loans Canada and LoanConnect. This means you'll gain access to multiple lenders with just one application. If you don't qualify with one lender, you could with another.

  • A+ BBB rating
  • AI technology gives you viable loan matches
  • Potential for multiple offers
  • Many loan types
  • Online broker (not a direct lender)
  • Small network of lenders compared to other brokers
  • High rates for bad credit
Loan amount $100 – $50,000
APR 2.99% – 46.96%
Term 3 - 120 months
Min. credit score 300
Fees Varies by lender
Turnaround time Varies
Serviced provinces All provinces

14. 24Cash

24Cash Installment Loan
Finder Score:
★★★★★
Read review

$500 – $850

Loan Amount

Starting at 22%

APR

90 - 120 days

Term

24Cash connects applicants to a short-term installment loan with no credit check. It is an alternative to payday loans. Expect a broker fee of up to $225 to be added to your payments (the exact amount is set at the broker's discretion).

Why it's one of the best

Get fast approval. Apply with instant bank verification and get approved in as little as one hour.

Apply easily online. Fill out one quick form and provide your bank details to get approved. Get cash on the same day if you're approved before 2:30 PM EST.

Established online broker. The company is active online and has solid customer reviews on Google and Trustpilot.

Will I get approved?

Like LoansLoans, 24Cash specializes in short-term installment loans with no credit check. Since it requires no credit check, you can get approved with bad credit. 24Cash also limits its loan amounts to $500 to $850, which are easier to get approved for than larger loan amounts.

  • No credit check
  • Manual review available
  • Repay in installments
  • Government assistance not accepted as a form of income
  • Very expensive
  • Small maximum amount
  • May not improve your credit score
Loan amount $500 – $850
APR Starting at 22%
Term 90 - 120 days
Fees broker fee of up to $225
Turnaround time Within 24 hours
Serviced provinces Canada-wide except Manitoba, Quebec and Saskatchewan

15. AAR Financial

AAR Financial Personal Loan
Finder Score:
★★★★★
Read review

$1,000 – $50,000

Loan Amount

14.9% – 46.7%

APR

24 - 120 months

Term

AAR Financial offers personal loans with large loan amounts and long loan terms. The company serves customers in MB, SK, AB, ON and BC.

Why it's one of the best

Increase your odds of approval. AAR Financial claims to approve 99% of applications.

Get a secured or unsecured bad credit loan. Use your home to secure your loan and get a more competitive rate, or get an unsecured personal loan.

Work with an established lender. AAR Financial has been in business for over 15 years with headquarters in Winnipeg, Manitoba.

Will I get approved?

AAR Financial's claim of a 99% approval rate means people have a pretty good chance of qualifying. However, this doesn't guarantee that AAR Financial will approve your application no matter what. You'll need to present your two most recent pay stubs and the last 90 days of your bank statements. AAR Financial will use these to determine whether you have the income to repay its loan, and there is room in your monthly budget for new loan payments.

  • Flexible loan amounts
  • No prepayment penalties for unsecured loans
  • High rates
  • Fees not clearly disclosed online
Loan amount $1,000 – $50,000
APR 14.9% – 46.7%
Term 24 - 120 months
Fees Fees may include insurance fees, administration fees and NSF/late payment fees.
Turnaround time Within 24 hours
Serviced provinces MB, SK, AB, ON and BC

16. Cashco

Cashco Flex Loans
Finder Score:
★★★★★
Customer Survey:
★★★★★
Read review

$100 – $7,000

Loan Amount

Up to 48.99%

APR

6 to 60 months

Term

Cashco offers unsecured bad credit loans called Flex Loans. Apply for a loan online or in one of its branches.

Why it's one of the best

Get some flexibility. You can choose a payment schedule, loan amount and loan term that works best for you.

Rebuild credit. Cashco reports payments to the credit bureau, which will help improve your rating.

Finder Award finalist. Cashco Financial was the finalist in the Best Personal Loan Alternative Lender category in the Finder: Personal Loans Customer Satisfaction Awards 2023. Cashco scored 86.55% in the overall customer satisfaction score and secured a spot in Top 15 Most Recommended and the Top 15 Best-Rated lists.

Will I get approved?

Cashco offers long-term bad credit personal loans. Borrowers can take up to 60 months to repay a loan of up to $7,000. This combination of long loan terms and moderate loan amounts allows Cashco to offer low payments to Canadians who can only repay a little bit each month. So if you have bad credit but there is some room in your monthly budget for these payments, Cashco may be able to approve you. However, the longer the loan term, the more you'll pay in interest. Your loan could end up becoming very expensive when you combine a long loan term with a high interest rate.

  • Fast bad credit loans
  • Flexible terms
  • No prepayment penalties
  • High rates
Loan amount $100 – $7,000
APR Up to 48.99%
Term 6 to 60 months
Fees Up to 10% of your loan amount to set up your loan, NSF and late payment fees of $25.
Turnaround time Within 24 hours
Serviced provinces BC, AB, SK and ON

17. Credito

Credito Installment Loan
Finder Score:
★★★★★
Read review

$500 – $850

Loan Amount

Starting at 23%

APR

90 - 120 days

Term

Like LoansLoans and 24Cash, Credito is a broker that helps people with bad credit find a short-term installment loan. You won't need to go through a credit check to get approved, but expect to be charged interest plus a $225 broker fee (the exact amount is at the broker's discretion).

Why it's one of the best

Qualify. Since Credito doesn't do credit checks and offers smaller loans, it may be easier to get a loan from them versus other alternative lenders.

Avoid payday loans. Credito's bad credit loans are an alternative to payday loans, allowing you multiple repayments and longer terms.

Get funded fast. You can get your money within 24 business hours.

Will I get approved?

It's easier to get than others on this list because Credito only approves lower amounts and doesn't do credit checks. You can only borrow $500 to $850, which are easier amounts to get approved for than loans in the thousands.

  • 100% online
  • No credit check
  • High Trustpilot score
  • High rates
  • High broker fee
Loan amount $500 – $850
APR Starting at 23%
Term 90 - 120 days
Fees $225 brokerage fee (amount set at broker's discretion)
Turnaround time Within 24 hours
Serviced provinces ON, PE, BC, AB, NB, NS, NL, NU, NT, YU

Gold and silver Finder Awards badgesAbout the Finder Awards

The Finder Awards celebrate companies that offer the best products that make life easier and more cost-effective for Canadians. Winners are determined based on a data-driven evaluation to ensure fairness across each and every awards program and category. Ultimately, our goal is to help you find the best products so you can save, invest and grow your wealth.

Best bad credit personal loans: By the numbers

Loan providerInterest rateLoan amountLoan termKey features
LoanConnect8.99% - 46.96%$500–$50,0003 - 120 monthsLoan search platform, pre-approval in 5 minutes
Spring Financial10.8% - 46.99%$500–$35,0006 - 60 monthsFast application, same-day funding
Loans Canada6.99% - 46.96%$300–$50,0003 - 60 monthsLoan search platform, largest lender network
LoansLoans.ca28.00% - 32.00% + broker fee up to $300$500–$1,0003 monthsNo credit check, funding in 24 hours
Mogo9.90% - 46.96%$500–$35,0006 - 60 monthsQuotes in 3 minutes, flexible eligibility requirements
Get Loan Approved9.95% - 29.00%$1,000–$50,00012 - 72 monthsUse your paid-off car as collateral (less than 10 years old), you can continue to use your car
Loanz29.90% - 46.90%$1,000–$15,00012 - 60 monthsInstant decisions, funding in 15 minutes
FlexMoney18.90% - 46.90%$500–$15,0006 - 60 monthsInstant decisions, same-day funding
Magical Credit19.99% - 46.80%$1,500–$20,00012 - 60 monthsApproval in 1 day, low income or non-employment income are okay
easyfinancial9.99% - 46.96%$500–$100,0009 - 120 monthsApproval in 30 minutes, flexible eligibility requirements
Alpine Credits10.00% - 22.99%$10,000–Up to 60 monthsYour home as collateral
Money Mart29.90% - 46.90%$500–$15,0006 - 60 monthsInstant decisions, offers personal and payday loans
Lend for AllFrom 2.99%$100–$50,0003 - 120 monthsSearch platform for loans, secured and unsecured loans
24Cash22.00% + broker fee$500–$85090 - 120 daysBroker, short-term loan, no credit check
AAR Financial14.90% - 46.70%$1,000–$50,00024 - 120 monthsSecured and unsecured loans, high approval rate
CashcoUp to 48.99% $100–$7,0006 to 60 monthsFlexible repayment terms, unsecured loans
Credito23% + broker fee$500–$85090 - 120 daysNo credit check, funding in 24 hours, short-term installment loans

Our pick for the month

Prudent Financial
Blue phone with dollar sign

Prudent Financial offers secured personal loans to people with bad credit. You can use your house or car to boost your chances of approval. Prudent won the Best Personal Loan Alternative Lender award in our Personal Loans Customer Satisfaction Awards 2023, where we asked customers for their honest feedback on lenders. Customers have complimented Prudent on its friendly service. We think this lender is a worthwhile option for those with poor credit and eligible collateral, but watch out for high interest rates and fees, and apply elsewhere if you don’t live in Ontario.”

Leanne Escobal, Publisher, Loans and Money Transfers

Other loans for bad credit

If you can’t find a bad credit personal loan for your needs, there are other online options to consider.

LoanHow it worksHow it compares to bad credit personal loans
Payday loanBorrow up to $1,500 and repay by your next dayFaster, easier to qualify, much more expensiveLearn more
Pay advance appBorrow up to $350 and repay by your next paydaySmaller loan amounts, often no credit check required, pay a fee for express serviceLearn more
Line of creditBorrow up to a limit, pay the interest and repay the balance any timeCan be harder to qualify for, open loan term requires discipline in repayments and spendingLearn more
Cash-secured credit cardWorks like a standard credit card, but you’ll pay a cash deposit for collateralLower rates, cash collateral requiredLearn more

How to get the best online bad credit loan

  1. Compare lenders. Look at features such as annual percentage rates (APRs), fees, loan amounts, loan terms and eligibility requirements.
  2. Apply to top choices. Pick the best bad credit loans for you and apply online. Provide personal details such as name, contact information, housing information and employment details.
  3. Choose the best offer. Pick the loan that best fits your budget. Your lender of choice may ask you to provide extra information or documents.
  4. Get approved. Your lender will verify your income and identity and confirm approval of the loan if everything checks out.
  5. Submit the contract. Review your contract carefully before signing. Submit the signed contract and get your money on the same day or the next day.

Am I eligible for the best bad credit loans in Canada?

Before you proceed with any application, check the lender’s eligibility criteria to save time and effort. Here are the basic eligibility requirements you may come across for personal loans:

  • Be at least 18 years old or the age of majority in your province
  • Be a Canadian citizen or resident
  • Meet the minimum income or employment requirements
  • Meet minimum credit score requirements, if applicable
  • Have an active bank account

How to compare the best bad credit personal loans in Canada

Not all bad credit lenders are the same. Consider the following as you compare the best bad credit loans in Canada.

Other things to watch out for with personal loans for bad credit

  • Annual interest rate plus a surety or broker fee. You may encounter this fee among installment loans with loan terms of less than six months. Find out how much it is because it can make your bad credit loan much more expensive.
  • Pushy customer service. Be wary if the lender is pressuring you to sign. Carefully read your contract and know exactly what loan you’ll be getting and how much you’ll be paying.
  • Loan insurance requirement. Lenders in Canada cannot require or insist that you pay for insurance in order to get a bad credit loan. Insurance is 100% optional and will add to the cost of your loan.
  • Upfront fee. Steer clear of lenders asking you to pay some sort of fee before you get the loan. This is a common scam.
Blue spyglass

Looking ahead: Bad credit personal loan rates in 2024

In 2024 the federal government plans to lower the maximum personal loan rate allowed in Canada from 47% APR to 35% APR to make loans more affordable for Canadians. 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, this year and the following years will help the government and participants of the lending market to 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.

How much will my bad credit personal loan cost me?

The cost of your bad credit personal loan will depend on the loan amount, loan term and interest rate. To illustrate, let’s assume you get a $5,000 loan over 3 years. Here’s how the overall cost breaks down with a 35% APR vs 47% APR:

Feature35% APR47% APR
Loan amount$5,000$5,000
Loan term3 years3 years
Monthly payment$226.18$261.39
Total cost$8,142.49 ($3,142.49 interest)$9,410.07 ($4,410.07 interest)

The savings difference between 35% APR and 47% APR is $1,267.58.

Can I get a loan with bad credit and no guarantor?

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 them 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.

Tips to get approved for the best bad credit loans in Canada

  • No short-term loan debt. Having an active payday loan or other short-term loan debts will lower your chances of approval on a bad credit loan, so try to pay these off before applying.
  • No NSF transactions. It’s also best to wait until you have no NSF transactions in your credit history in the last 60 to 90 days. A few NSF charges may be acceptable to some lenders.
  • Opt for a secured loan. Offering collateral such as your house or car reduces the risk for the lender and increases your chances of getting approved. You could lose your asset if you default, so make sure you can manage the payments.
  • Rebuild your credit first. If you can wait at least six months, improve your credit score first by making on-time payments for your other bills and debts.

What transactions in a bank account would increase an applicant’s chances of approval?

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.

Trust Science

Trust Science

Plans to borrow in Canada

Recent data from the Finder: Consumer Sentiment Survey Q2, shows that 20% of respondents plan to take out a personal loan in the next three months.

The vast majority of respondents plan to borrow less than $15,000, with only 11% of respondents looking to borrow between $15,000 and $20,000 and 8% planning to borrow more than $20,000, in the next three months.

Bottom line

If you have bad credit, you can still apply and get approved for the best bad credit loans in Canada. But watch out for steep interest rates, and only apply to lenders you trust. If you’d like to learn more about how personal loans work, read our guide to personal loans.

Survey methodology

The results of the Finder: Consumer Sentiment Survey Q2 were collected through an online Pollfish survey conducted between April 27 and April 29, 2023. In the survey, 1,011 Canadians from across the country were asked about their past use and current plans to use personal loans and other forms of credit. The estimated margin of error for the survey is +/- 3%, 19 out of 20 times.

Frequently asked questions

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Written by

Leanne Escobal

Leanne Escobal is a publisher for Finder. She has spent over 11 years working on financial products and services, specializing in content and marketing. Leanne has completed the Canadian securities course (CSC®) as well as the personal lending and mortgages course by the Canadian Securities Institute. She has a Bachelor of Arts (Honours) in English literature and creative writing from Western University. See full profile

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