1. You didn\u2019t pass a credit check<\/h3>
Some lenders of payday loans do credit checks, while others don\u2019t. If you\u2019ve been denied a payday loan after a credit check, you might want to consider no credit check loans.<\/p>
2. You don\u2019t have enough regular income<\/h3>
If you don\u2019t have a regular source of income, many lenders will question your ability to repay your loan. While there are lenders who consider unemployed applicants, your acceptance usually hinges on a source of income \u2013 whether that be steady work or government benefits. Often, lenders require you to bring in at least $800 \u2013 $1,000 a month to qualify for a loan. If you don\u2019t meet these criteria, it may be why you were rejected. Learn more about low income loans.<\/a><\/p> Although there are lenders who accept borrowers on welfare, you\u2019ll generally need supplementary income. If you only have welfare payments, this could be a reason for rejection. Read our guide to getting a payday loan while on welfare to learn more<\/a>.<\/p> This is a must for payday lenders. They require active bank accounts to verify your income and to withdraw the money that is owed on the due date.<\/p> When you apply for a payday loan online, lenders may ask to see a copy of your latest bank statements. If your history shows that you\u2019ve dishonoured payments \u2013 that\u2019s when a creditor has attempted to debit from your account and there wasn\u2019t enough money \u2014 you look like a risk, and a risky application is more likely to be rejected.<\/p> Being paid in cash can make it difficult for you to be approved. Lenders need to be able to verify your income, usually through your bank statements. If you don\u2019t deposit the cash you receive into your account each pay cycle, then lenders won\u2019t be able to verify it. Instead, you\u2019ll need to find a lender who is willing to use your payslips as verification. If a lender couldn\u2019t verify your income, this is a likely reason your application was rejected.<\/p> A similar problem can apply to people who receive payment in cryptocurrency. Many lenders won\u2019t check your crypto wallet to verify your income.<\/p> Lenders use your financial situation to determine the risk in lending to you. If you have a recent bankruptcy on your record (within the past 7 years), you may be flagged as high risk and rejected. However, there are still options for people with bankruptcy on their record<\/a>.<\/p> In most cases, you must be a Canadian citizen or permanent resident to qualify for a payday loan. Even if you\u2019re here on a work visa or student visa, payday loans may not be an option for you. That\u2019s because payday lenders likely won\u2019t accept cosigners to help you meet the residency requirement.<\/p> In all provinces the legal age of majority is either 18 or 19 years old. Some lenders also have their own minimum age requirements and won\u2019t lend to anyone under 19, for example. Before you apply, make sure you aren\u2019t too young to take out a loan.<\/p> Before applying for a payday loan, you should make sure you meet the minimum criteria listed on the lender\u2019s website. These criteria are set to establish who the lender will accept. If you didn\u2019t meet all of the criteria, this is likely why you were rejected. In addition, lenders have internal scoring systems where they allocate points to help determine your eligibility. If your score doesn\u2019t add up, your application is unlikely to be approved.<\/p> The first thing to do is double-check your application to make sure all the information is accurate and that there aren\u2019t any typos. Let\u2019s say your monthly income is $1,000, but you accidentally wrote $100 on the application \u2013 that could easily get your application rejected, but it\u2019s also an easy fix when you reapply.<\/p> If all the information on your application is accurate, you still might be able to get a payday loan after being denied by applying with a lender that has looser requirements.<\/p> But if you were denied because you can\u2019t afford the loan, there are many payday loan alternatives<\/a> you can look into instead for more affordable options.<\/p>3. Welfare is your only source of income<\/h3>
4. You don\u2019t have a Canadian bank account<\/h3>
5. There are overdrafts on your bank account<\/h3>
6. You\u2019re paid in cash<\/h3>
7. You have a bankruptcy on your record<\/h3>
8. You aren\u2019t a Canadian citizen or permanent resident<\/h3>
9. You aren\u2019t old enough<\/h3>
10. You didn\u2019t meet other minimum requirements<\/h3>
How to get a payday loan after being denied<\/h3>
Alternative: Cash advances<\/h3>\nCash advances can be much cheaper, with APRs as low as 0% and flexible repayment terms. Fees apply for instant funding.\n