The good news is that there are plenty of options out there when it comes to finding an unsecured loan in Canada. We’ve compiled a list of some of the best lenders out there to help you get quick access to the loan you need.
The bad news is that you may encounter high interest rates if lenders consider you a risky borrower. Watch out for hidden fees with any lender you’re considering, and take care to avoid predatory payday loans.
Summary of the best unsecured personal loans in Canada
Loans Canada is an online search and comparison website for personal loans. It boasts one of Canada's largest lender databases.
Why it's one of the best
Finder Award finalist. This platform is popular. Loans Canada won a Finalist award in the Personal Loans category for our Finder: Personal Loans Customer Satisfaction Awards 2023. The platform scored 75.15% for overall customer satisfaction, securing a spot in Canada's Top 15 Best-Rated personal loan providers for 2023.
Huge lender network. With just a single application, you can search a large network of lenders to quickly find the best loan for your needs.
Loans Canada community. Loans Canada has an active community that enables users to rate and review lenders, giving you the opportunity to feel well informed and confidently choose a lender.
Spring financial provides lending services aimed at helping Canadians build credit and improve their finances through competitive personal loans and credit-building programs.
Why it's one of the best
Credit building. Spring Financial reports loan payments to the credit bureaus to help improve your credit score. If you don't qualify for an installment loan, Spring Financial will offer you its credit-building services to get you on the right track. However, make sure its credit builder loan is right for your current financial situation.
Local established lender. Spring Financial has been providing loan and credit-building products for Canadians since 2015 and is headquartered in Vancouver, BC.
Fast funding. Successful loan applications can be funded on the same day up to $35,000.
easyfinancial provides lending services to Canadians via several types of loan, including unsecured personal loans, with a focus on quick approval and credit building.
Why it's one of the best
Fast quote. You can submit an application in a matter of minutes, with no changes to your credit score.
Work with a Finder favourite. easyfinancial was awarded Best Personal Loan Alternative Lender in our Finder: Personal Loans Best-in-Class Awards for 2024.
Credit building. easyfinancial can help you build your credit by reporting your repayment history to credit bureaus.
Unsecured loan options
2% reduction when co-applying
A+ BBB rating
High rates for bad credit
Some 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
Fig is a Canadian fintech company offering unsecured personal loans via a sleek online platform.
Why it's one of the best
Flexible payments. With Fig loans, you can choose a repayment schedule that fits your lifestyle, with options for weekly, bi-weekly or monthly payments.
Online platform. The Fig loans platform is designed for your convenience, allowing you to apply for and manage your loan all in one place.
No monthly fees. Fig doesn't charge you extra monthly fees while you're paying off your loan.
Online pre-approval
Flexible payment schedule
Backed by Fairstone
Slow funding
Loan amount
$2,000 – $35,000
APR
12.99% – 24.99%
Term
24 - 60 months
Min. credit score
700
Fees
NSF fee: $45
Turnaround time
Up to 5 business days
Serviced provinces
Alberta, British Columbia, Manitoba, New Brunswick, Northwest Territories, Nova Scotia, Ontario, Prince Edward Island, Quebec, Saskatchewan
goPeer is a Canadian peer-to-peer lending platform that connects borrowers with individual investors who provide accessible loan options.
Why it's one of the best
Competitive rates. For borrowers with high credit scores, there are competitive interest rates available.
No prepayment fees. You can pay off your loan ahead of schedule without having to worry about fees. Fast online application. You can apply for a loan with goPeer online in just a few short minutes.
Borrow up to $35,000
Easy online application
Competitive rates for good credit
High credit score required
Origination fees (vary)
Loan amount
$1,000 – $35,000
APR
8.99% – 34.99%
Term
36 or 60 months
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
Magical Credit provides loans for borrowers with low credit scores. It has an easy application process for short-term installment loans.
Why it's one of the best
Fast approval. Get approved for an unsecured loan and receive your funds within 24 hours.
Accepts subsidized income. You can supplement your loan application with government-subsidized income sources such as EI, Canada Child Benefits or your pension.
Longer terms. Opportunity to apply for a longer loan term (up to 60 months).
Accepts bad credit
Quick funding
Extended loan terms
High interest rates
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)
SkyCap Financial offers personal loans for Canadians, focusing on accessible financial options, quick approval and affordable payments for bad credit borrowers.
Why it's one of the best
Quick approval. You can get approved for a loan with SkyCap's quick and easy application process.
Flexible repayment. SkyCap allows for flexibility when it comes to your repayment amounts and terms, making it easier for you to manage your loan no matter where you're at.
Customer service. SkyCap has a strong customer service rating and an A+ score with the BBB.
Fast approval
Flexible repayment options
Easy qualification
A+ BBB rating
High interest rates on some loans
Some hidden fees
Not available throughout Canada
Loan amount
$500 – $10,000
APR
12.99% – 39.99%
Term
9 - 36 months
Min. credit score
575
Fees
No fees except $50 NSF fee
Turnaround time
24 hours
Serviced provinces
All provinces and territories except Quebec and Nova Scotia
To find the best unsecured 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.
What is an unsecured loan?
Personal loans are generally either secured or unsecured. An unsecured loan is one that is lent without the borrower being required to provide collateral (such as a vehicle, home or other asset). A secured loan is a loan that does require collateral, i.e. as a form of security for the lender.
Unsecured loans are supported primarily by the borrower’s creditworthiness and overall financial situation, as opposed to a collateral asset. Because of this, unsecured loans will often come with higher interest rates than secured loans, since the lender is taking on more risk.
Types of unsecured loans
Unsecured personal loans in Canada generally fall into three categories:
Cash advance apps in Canada allow you to borrow small amounts in advance of your next paycheque without the need for a hard credit check.
Payday loans are short-term, high-interest loans intended to provide quick cash to borrowers who will repay the loan with their next paycheque. Learn more about the best payday loans.
Pros and cons of unsecured loans
Pros
Simple and quick application. Most lenders allow you to apply online and submit a loan application in a matter of minutes.
No assets required. With an unsecured loan, you won’t need to provide any assets as collateral, which makes funding much more accessible. There’s no need to worry about losing your valued property if you default on repayment.
Flexible spending. You’ll have the freedom to use your loan however you choose, unlike a secured loan which is typically intended for a specific purchase category. The exceptions are car title loans and home equity loans or HELOCs, which require your car or house as collateral, but you can use the loan funds for any purpose.
Quick funding. Unsecured loans can generally be processed within a day or two, making it a great option when you need to access emergency funding.
Cons
Higher rates. Unsecured loans come with higher interest rates compared to secured loans. That’s because, with no collateral, lenders are taking on greater risk.
Hard to qualify with bad credit. If your credit score is less than average, it can be difficult to get approved for an unsecured loan. If you do find options, you’ll likely be faced with high interest rates.
Credit score damage if you default. Missing unsecured loan repayments will result in an immediate hit to your credit score, so managing your repayments is key.
Bottom line
An unsecured loan can help you access the cash boost you need without having to put your home, car or any other valuable assets on the line. However, you’ll need a good credit score to access the best interest rates. Online pre-approval with most lenders makes the application process quick and easy.
Frequently asked questions
The amount of loan funding available varies between lenders and may also depend on your credit score, income and current debt. Generally, unsecured loans are available from $500 to $50,000, depending on the lender you choose.
Fairstone offers up to $60,000 for unsecured loans, but the exact amount you'll be approved for will vary based on your finances and the lender you choose. For example, CIBC offers unsecured loans up to $200,000 for those with very high credit scores, high incomes and low levels of debt.
There are lenders out there who will approve borrowers as long as they can show evidence of a consistent history of payment. Some lenders will also accept CPP, Canada Child Benefits, EI and other sources of income as proof of funds. Learn more about unemployment loans.
The exact rate you're offered when applying for a loan will vary depending on your credit score, income, debt levels and history of payments. Banks often advertise their best available rates, but you'll need a very good credit score and low debt-to-income ratio to access these.
If you've got a bad credit score, your options for fast unsecured loan funding are limited. While payday loans could get you a $1,500 loan, anything greater than that may be difficult to secure. Keep in mind that payday loans are the most expensive type of loan out there, typically offering high APRs of 500%-600%.
Steven Brennan is a freelance finance writer working from Vancouver, B.C. He has a BA and an MA in English Literature at the University of Ireland, Maynooth, and also spent time working in Italy and Vietnam as an English teacher. Today, he writes regularly on a range of personal finance topics including banking, loans, mortgages, insurance and tax. His work has appeared on sites such as LowestRates.ca and WealthRocket, as well as in print with Canadian MoneySaver. See full bio
Read our guide to finding a small loan, even if you have bad credit.
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