Eastern Loans review
- APR Range
- 23%
- Loan Amount
- $500 - $750
- Loan Term
- 90 -120 days
Our verdict
Borrow up to $750 and get your funds deposited into your bank account within 24 hours.
Eastern Loans offers short-term installment loans with no credit check. It has easier eligibility requirements than banks and credit unions so people with bad credit can apply, but it is also more expensive. These loans are only suitable for emergency funding and if you've exhausted your other options. Watch out for a "surety fee" that will be added to your payments.
Pros
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No need to send documents
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No credit check
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Quick funding
Cons
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High cost of borrowing
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Some types of income do not qualify
Is Eastern Loans legit?
Yes, Eastern Loans is a legit Canadian loan provider offering loans up to $750. Eastern Loans has an A+ rating from the Better Business Bureau, and a 4.8 out of 5 star rating on Trustpilot.
How does borrowing from Eastern Loans work?
Eastern Loans provides short-term installment loans, which are an alternative to payday loans. It can lend you up to $750 with an approximate 23% annual interest rate and a term of up to 5 months.
You can apply to borrow up to $750 by filling out an online application and receiving your funds via e-Transfer.
How can I apply for a loan with Eastern Loans?
You’ll only be able to apply for a loan with Eastern Loans by filling out an online application. This is because the company doesn’t seem to have any storefront locations where you can apply for a loan in person.
The process of applying online is fairly simple. All you need to do is input some personal and financial information into Eastern Loans‘ application. From there, you’ll send along the required documents to support your application (by fax or by scanning them into your computer).
Once Eastern Loans receives your information, it will assess your eligibility. Your loan will then be deposited into your account via e-transfer within 24 hours from the time you’re approved as long as you meet all of the necessary requirements.
How much will I have to pay for an Eastern Loans loan?
You’ll pay around a 23% interest rate on the amount of your Eastern Loans loan plus an additional surety fee. For example, the company website indicates that if you take out a $500 loan payable every two weeks and repayable in 6 payments, your total interest charges will be $125.08. The surety company will also set a commission on top of that based on their own discretion. This means you could end up paying over $200 in fees and interest by the time your loan is repaid.
What are the benefits of an Eastern Loans loan?
There are a number of perks you can access when you sign up for a loan with Eastern Loans.
- Easy application. You can apply for a loan with Eastern Loans in a matter of minutes.
- Fast approval. You’ll get approved within minutes and have your money deposited within 24 hours of filing your loan application.
- Lower interest rates. You’ll pay an APR of approximately 23% on your loan, which is a lower interest rate than many other loan providers charge.
- Longer terms. You’ll be able to pay your loan back in 3 months to 5 months – in 3, 6 or 12 installments.
- No collateral required. Since it’s an unsecured loan, you won’t have to worry about losing any of your assets if you can’t pay your loan back on time.
- Bad credit doesn’t matter. You’ll still be able to apply with bad credit, although the surety fee you’re required to pay may be higher.
- Canada-wide approval. You can apply for a loan with Eastern Loans from just about every region in Canada.
What should I watch out for?
Eastern Loans loans come with a number of disadvantages that you should think about carefully before you take one out:
- Additional surety fees. You’ll be required to pay a surety fee for a variable amount that’s decided on by a third-party institution.
- Limited amounts. You can only borrow up to $750 at a time, which might not be enough to cover your expenses.
- Minimum term length. You have to take your loan out for at least three months, which isn’t ideal if you want to pay it off early to reduce your interest.
- Strict eligibility criteria. You’ll need to meet a list of minimum requirements to qualify, such as having stable employment and making a minimum of $1,200 per month.
- Some forms of income not accepted. Eastern Loans doesn’t accept many alternative forms of income towards its monthly income requirement.
Which forms of income are not accepted at Eastern Loans?
There are a number of forms of income you won’t be able to use to meet the minimum $1,200 per month income threshold requirement at Eastern Loans. These include the following:
- Disability assistance
- Welfare
- Child tax benefit
- Student loan
- Canada pension plan (CPP)
- Self-employment income
Compare Eastern Loans with other loans
What should I know before I apply for an Eastern Loans loan?
Eligibility requirements
To apply for an alternative online loan from Eastern Loans, you need to meet the following criteria:
- Be a Canadian citizen or permanent resident
- Be at least 18 years old (or 19 in some provinces)
- Have a Canadian bank account
- Have a steady form of income and stable employment (three months minimum)
- Earn at least $1,200 per month
- Have a low debt-to-income ratio
Required documents and information
- Proof of ID. You’ll have to show a government-issued piece of ID like your driver’s licence or passport to prove your identity.
- Proof of address. You may be required to submit a utility or cell phone bill to prove that you live at a stable address in Canada.
- Void cheque. You’ll likely have to supply a void cheque or direct deposit form to facilitate withdrawals from your account.
- Income verification. You could be required to submit pay stubs, bank statements or other financial documents to prove your income.
How to apply for an Eastern Loans loan
If you think that you meet all the eligibility criteria for a Eastern Loans payday loan and you’re ready to get started with your loan application, you just need to follow the steps below:
- Use the online application to provide personal information like your name, email address, proof of ID and relevant documents.
- Review and submit your application.
- Get verified and negotiate the terms of your loan if you meet the eligibility requirements.
Bottom line
Eastern Loans is a Canada-wide alternative loan provider that offers lower interest rates and longer terms than many of its competitors. It also provides quick turnaround on loan approval and will deposit your funds into your account within 24 hours of approving your application. Just be aware that you’ll be charged a surety fee to use this service which can make your overall bill more expensive.