Xcash Money Solutions review

30-second take

• Think of Xcash if you’re in a financial pinch and you’re having trouble securing financing through traditional means or more popular online lenders. Xcash says it accepts people with bad credit, no credit and even those who are not yet discharged from a bankruptcy.

• Think of something else if you don’t live in Ontario, the only province Xcash services at the moment. You should also think of another lending option if your credit is in good standing because you’ll likely secure better interest rates and terms. Xcash cannot help you if you’re currently in a consumer proposal or debt management program.

• Here’s the catch: Xcash does not disclose its interest rates, fees and APRs for its various loan products on its website. You’ll have to go through the application process to see what rate you may qualify for and what fees you may incur for proceeding with your loan offer. Be prepared for high interest rates that are in line with other bad credit lenders or more.

Is Xcash legitimate?

Xcash is a licensed payday lender in Ontario (licence number 4727868), but it doesn’t share its licence number prominently on its website. It also isn’t upfront about its APR and the total cost of borrowing like other payday lenders are.

Xcash is also a registered corporation in Ontario. It has an office in the heart of Toronto, which customers can visit to apply for a loan. It also provides customer service via phone, text and email.

Lack of transparency

Xcash isn’t transparent about its interest rate ranges, loan terms and extra charges you may incur. If you decide to apply for a loan with Xcash, you’ll need to pay attention to the true cost of borrowing with them before proceeding. You may also want to browse your alternatives from lenders who are more upfront about their rates.

Xcash says it’s been in the lending business since 2010 and has helped 6,000 Ontarians since its inception.

What types of loans does Xcash provide?

Xcash Money Solutions offers a number of different loans based on your needs. They include the following:

1. Payday loans

Apply for a payday loan of up to $1,500. You’ll have to pay fees of $15 for every $100 borrowed, which makes this an expensive way to borrow money.

• How it works: With an online application, you can request to borrow between $100 and $1,500, which you’ll need to repay by your next payday.
• Loan amount: $100 to $1,500
• Loan term: Roughly 2 weeks or your next payday
• What to watch out for: Excessive fees to the tune of $15 for every $100 borrowed borrowed, along with quick repayment terms you must be prepared to meet.

• Am I eligible?

  To get this loan, you must be at least 18 years old, with 2 pieces of ID, 2 months of recent bank statements, a personal cheque to set up your loan repayments and proof of address. You must be working full-time (at least 35 hours per week), not self-employed and earning at least $14 per hour. You also cannot be on the Ontario Disability Support Program (ODSP), a pension, social benefits or employment insurance. In addition, you must not be in a debt management plan or a consumer proposal.

2. Unsecured personal loans

Apply for an unsecured loan of up to $4,500 without putting any collateral on the line.

• How it works: With an online application, you can request to borrow up to $4,500. It’s unclear what the interest rate range may be.
• Loan amount: Up to $4,500
• Loan term: About 1 year
• What to watch out for: Potential for excessive fees and interest charges; neither are disclosed on Xcash‘s website.

• Am I eligible?

  To get this loan, you must be at least 18 years old, with 2 pieces of ID, your latest pay stub, 2 months of recent bank statements, a personal cheque to set up your loan repayments and proof of address. You must be working full-time (at least 35 hours per week), not self-employed and earning at least $14 per hour. You also cannot be on ODSP, pension, social benefits or employment insurance. In addition, you must not be in a debt management plan or in a consumer proposal.

3. Secured personal loans

Apply for a secured loan up to $45,000 by providing security in case you default on your loan.

• How it works: Apply online or in-person for a secured loan of up to $45,000. Xcash refers to home equity on the application page, but it’s unclear if you can use other assets as collateral. You’ll be asked about how much home equity you have and how much you have left to repay on your mortgage.
• Loan amount: Up to $45,000
• Loan term: Not disclosed online.
• What to watch out for: Potential for excessive fees and interest charges; neither are disclosed on Xcash‘s website. You may incur charges for an appraisal and other steps in setting up your secured loan, too.

• Am I eligible?

  To get this loan, you must be at least 25 years old, with 2 pieces of ID, your latest pay stub, 2 months of recent bank statements, a personal cheque to set up your loan repayments and proof of address. You’ll need to prove you’re a homeowner with property located in Ontario that isn’t a vacant lot. Proof of home equity is needed via mortgage statements and other documentation.

4. Invoice factoring

Invoice factoring is a type of business financing in which a business sells its unpaid invoices to a factoring company, such as Xcash, at a discount. The company typically gives businesses between 75% and 90% upfront and then the rest of the funds after your clients pay up – with a fee subtracted.

• How it works: Submit your invoices to Xcash, and you’ll receive the amount of the invoice minus a percentage as payment. When the client pays you, you pay back the lender.
• Loan amount: Not disclosed online
• Loan term: Not disclosed online, but typically your debt is repaid when your outstanding invoices are paid to you.
• What to watch out for: Potential for excessive fees and interest charges; neither are disclosed on Xcash‘s website. You may incur administrative charges for setting up your invoice factoring too.
• Eligibility: Not disclosed online

Alternatives to Xcash loans

Jump between the tabs to browse payday loans and personal loans.

• Payday Loans
• Personal Loans

What are the benefits of Xcash loans?

• Wide range of loan products. Apply for unsecured loans, secured loans, payday loans, car title loans and other types of loan products with this lender.
• Quick, easy online application. Borrowers can apply wherever they have an Internet connection, sign their contract electronically and receive their funds via Interac e-Transfer or bank transfer.
• Bad credit is okay. Xcash says it accepts people with bad credit, no credit and even those who are not yet discharged from a bankruptcy.
• Wide range of customer service options. You can seek help online, over the phone, via text and in-person at its local storefront in Toronto.
• Mobile app. Xcash offers a mobile app you can use to fill out an application, chat with one of its agents and track your loan.

What to watch out for

• Expect steep interest rates. Payday loans are some of the most expensive ways to borrow cash with APRs that are as high as 400%, driving up the true cost of your short-term financing. What’s more, Xcash doesn’t say a word about its interest rates for its other loan products on its website.
• Short repayment terms. Payday loans must be repaid by your next payday while other Xcash loan products have loan terms of about 1 year. For some borrowers, this may be a short timeframe to repay their debts.
• Unclear on what extra fees and charges may be. Every lender has different charges for administrative fees, NSF fees, missed and late payment fees and other penalties. Xcash doesn’t disclose what these fees are on its website.
• Not available across Canada. Xcash can only help borrowers in Ontario.
• Must be employed full-time with an hourly wage of at least $14. Xcash says that for most loans, you must be working full-time (at least 35 hours per week), not self-employed, earning at least $14 per hour and currently not on ODSP, pension, social benefits or employment insurance. You also must not be in a debt management plan or in a consumer proposal.

How much will it cost me to borrow with Xcash?

This question is tricky, simply because Xcash does not disclose its APR ranges on its website for its loan products, except for payday loans.

Xcash follows Ontario’s payday loan regulations and charges $15 for every $100 borrowed. With this in mind, it provides this example:

If you’re taking out a payday loan of $300 for 14 days, you’ll be charged $45 in fees. The total amount you’ll need to repay by your next payday is $345.

Bear in mind, with the other loan options, the interest rate you qualify for may depend on factors like your credit score, income and existing debts you need to manage.

Am I eligible for an Xcash loan?

If you’re thinking of applying for an Xcash loan, make sure you meet these requirements:

• Be at least 18 years old, with 2 pieces of ID, proof of address and an active bank account.
• You must be working full-time (at least 35 hours per week), not self-employed and earning at least $14 per hour. You’ll need to provide your latest pay stub and 2 months of recent bank statements.
• You must not currently be on ODSP, pension, social benefits or employment insurance.
• You must not be in a debt management plan or consumer proposal.
• For car title loans, you’ll need to prove you’re the owner of the vehicle. The vehicle must be fully paid off, fully insured, not older than 7 years and have fewer than 200,000 kilometres on it.
• For secured loans, you’ll need to prove you’re a homeowner with property located in Ontario that isn’t a vacant lot. Proof of home equity is needed via mortgage statements and other documentation.

How do I apply for an Xcash loan?

If you meet the requirements and you’re ready to proceed, here’s how to apply for an Xcash loan:

1. Head to xcash.ca and click on “Apply now” on the top-right corner of the webpage.
2. Click on the loan option you’d like to apply for. Make sure you check all the eligibility requirements listed on the page and then proceed to the application.
3. Provide your full name, date of birth, marital status and gender.
4. Provide 2 references, including their full names, contact information and their relationship to you.
5. Provide your home phone, mobile phone, email address and mailing address.
6. Provide your employment information, including the company name, supervisor’s name, job title, date of hire and net monthly income.
7. Review your application and submit it when ready.

Xcash says a loan representative will contact you at the number you’ve provided within 24 hours to determine your next steps.

Bottom line

We’re reluctant to tell you if Xcash is a competitive lender worth considering because it doesn’t disclose what its interest rate ranges and fees are, whether you have excellent credit or your credit score limits your options. It’s worth obtaining a quote from this lender while you do your comparison shopping between lenders (which you should always do!). With so many players in the online lending space, you’re bound to find an option that ticks all the boxes.

Compare payday and personal loans

Frequently asked questions

• Can I apply if I have bad credit?

  Yes, Xcash says you can apply for any of its loans if you have bad credit. You cannot be under a consumer proposal or in a debt management program.

• Can I apply if I am currently bankrupt?

  Xcash says it’s possible if you’re not yet discharged from bankruptcy. You’ll need to contact Xcash to see if it can help you.

• What is a car title loan?

  In a nutshell, a car title loan uses your vehicle as security to borrow the cash you need. Xcash can lend you up to 50% of your vehicle’s value (up to $5,000).

• I applied for a loan online. When can I expect a reply?

  Xcash says that during normal business hours, a loan specialist should call you shortly after you submit your application. Wait at least 24 hours and you should be contacted via the phone number you provided on the application form.

• How much are interest rates?

  Xcash doesn’t disclose its interest rates and fees on its website. You can either apply or contact Xcash directly to see what rate you’ll qualify for. Be prepared for high interest rates.