Best Personal Loans for April 2024

Get the best personal loan at one of the lenders verified by our specialists. On 12.04.2024 there are 3 options available to you. Increase your chances of getting a loan — fill out an application with a free credit rating check.
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Best Quick Loan Today 12.04.2024*
Mr. Payday
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Rating by Finanso®

The rating by Finanso® is determined by our editorial team. The scoring formula includes a financial product type as well as tariffs, fees, rewards and other options.

Recommended FinScore™
up to $10.000
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Personal Loan
Rating by Finanso®

The rating by Finanso® is determined by our editorial team. The scoring formula includes a financial product type as well as tariffs, fees, rewards and other options.

Recommended FinScore™

Effective interest rate on the product

up to 46.96%

Loan term for the financial product

up to 60 months
Coast Capital Savings
Personal Loan
Rating by Finanso®

The rating by Finanso® is determined by our editorial team. The scoring formula includes a financial product type as well as tariffs, fees, rewards and other options.

Recommended FinScore™

Effective interest rate on the product


Loan term for the financial product

60 months
Royal Bank of Canada
Unfortunately, the loan terms offered to me by RBC turned out to be less favorable than those of other banks.
Royal Bank of Canada
It's very convenient to use RBC's online services to manage my loan and make monthly payments.
Royal Bank of Canada
I obtained my home loan with RBC, and they were very flexible in setting terms that suited my financial capabilities.
Royal Bank of Canada
Great service and quick processing of my loan request.
Royal Bank of Canada
I found the process of getting a loan with RBC to be quite slow and confusing.
Royal Bank of Canada
RBC provided me with a loan at a very low interest rate, helping me save on loan payments.

When searching for the best personal loan in Canada, it's essential to consider various factors to ensure it aligns with your financial needs. The interest rates offered by lenders play a pivotal role in determining the overall cost of the loan. In Canada, interest rates can range from around 8% to 45%, with fluctuations influenced by the current prime rate set by the Bank of Canada. Traditional financial institutions like banks and credit unions often provide lower interest rates, but private lenders are becoming increasingly competitive, expanding their offerings to cater to a broader range of credit scores, providing more choices for consumers. Borrowers must explore and compare options, taking into account their credit score, debt-to-income ratio, and the total cost of the loan, including any additional fees.

When assessing the best personal loan in Canada, the borrower's credit score plays a pivotal role. While some lenders may consider a credit score of around 620 for a lower interest rate, maintaining a credit score of at least 680 is recommended to secure more favorable terms. Additionally, lenders evaluate the debt-to-income ratio, stability of income, net worth, and the number of credit checks performed. By understanding these criteria and thoroughly comparing loan options, borrowers can make informed decisions to secure the best personal loan in Canada tailored to their financial circumstances.

Characteristics of Personal Loans

  1. Loan Types. Look for lenders that offer both secured and unsecured loan options. Consider additional options such as debt consolidation loans, co-signed and joint loans, personal lines of credit, and flexible financing solutions.

  2. Loan Amount and Terms. Assess the maximum loan amount and repayment terms offered by each lender. Favor lenders that provide flexibility with higher maximum loans (up to $50,000) and longer repayment periods, catering to diverse financial needs.

  3. Application Process and Funding Time. Opt for lenders with a streamlined and user-friendly online application process. Consider lenders that provide quick approval and funding times, especially if you require urgent access to funds.

  4. Interest Rates and Fees. Compare annual interest rates, considering the impact of your credit score on the rate offered. Evaluate the transparency of fees, including origination fees, late payment fees, and closing costs. Choose lenders with competitive and transparent fee structures.

  5. Borrower Qualifications. Check eligibility criteria, including minimum credit score requirements, annual income thresholds, and employment status preferences. Prioritize lenders with lenient qualifications to increase your chances of securing favorable loan rates.

Pros and Cons


Flexible Use of Funds. Personal loans offer flexibility in using the funds for various purposes, such as debt consolidation, home improvement, or unexpected expenses.

No Collateral Requirement. Most personal loans are unsecured, eliminating the need for collateral and making them accessible to a broader range of borrowers.

Competitive Interest Rates. With a good credit score, borrowers can secure competitive interest rates, potentially lower than other forms of credit like credit cards.


Higher Interest Rates for Poor Credit. Borrowers with lower credit scores may face higher interest rates, potentially making the overall cost of the loan more expensive.

Origination Fees and Additional Costs. Some lenders may charge origination fees or other upfront costs, increasing the total cost of the loan.

Risk of Debt Accumulation. If not used responsibly, taking out a personal loan can contribute to debt accumulation, especially if borrowers fail to make timely monthly payments.

How to Get the Best Personal Loan in Canada

Apply for a Loan

  1. Check and Improve Your Credit Score. Obtain a copy of your credit report to understand your credit score. Improve your credit score by paying off outstanding debts and addressing any errors on your credit report.

  2. Determine Loan Purpose and Amount. Clearly define the purpose of the loan and the specific amount you need to borrow.

  3. Compare Lenders. Research and compare personal loan lenders in Canada, considering factors such as interest rates, fees, and customer reviews.

  4. Consider Traditional and Online Lenders. Explore both traditional financial institutions like banks and credit unions, as well as online lenders. Online lenders often offer competitive rates and faster approval processes.

  5. Check Eligibility Criteria. Review the eligibility criteria of potential lenders to ensure you meet the requirements before applying.

  6. Prequalify for Loans. Consider prequalifying for loans with multiple lenders. Prequalification provides an estimate of the loan terms without impacting your credit score.

  7. Gather Necessary Documentation. Prepare the required documents, including proof of employment, government-issued ID, bank statements, and proof of address.

  8. Apply for the Loan. Submit applications to selected lenders. Avoid making multiple applications simultaneously to minimize the impact on your credit score.

  9. Review Loan Terms. Carefully review the loan terms, including interest rates, fees, repayment schedule, and any other conditions.

  10. Negotiate if Possible. If you have a strong credit history, consider negotiating with the lender for better terms, such as a lower interest rate.

  11. Consider Co-Signers or Collateral. If your credit score is not optimal, explore the option of having a co-signer or providing collateral to potentially secure a better interest rate.

  12. Read Customer Reviews. Research customer reviews and testimonials to gauge the satisfaction of previous borrowers with the lender's services.

  13. Finalize and Receive Funds. Once satisfied with the terms, finalize the loan agreement and receive the funds. Be mindful of the timeline for disbursement.


  1. Age and Citizenship. Borrowers typically need to be of the age of majority in their province (18 or 19 years old) and be Canadian citizens or permanent residents.

  2. Credit Score. A good credit score is often required for the best loan terms. While some lenders may accept a minimum score of around 620, a score of at least 680 is recommended for lower interest rates.

  3. Debt-to-Income Ratio. Lenders prefer a debt-to-income ratio below 40%, indicating that 40% or less of the borrower's monthly income goes towards payments, including mortgage and minimum debt payments.

  4. Stable Source of Income. Borrowers need to demonstrate a stable source of income. Lenders may look for around 3 months of consistent income, and new job situations are typically considered if there's a stable employment history.

  5. Net Worth. Some lenders consider a borrower's total net worth to assess their financial capacity. Owning assets, such as a home, may increase the amount a borrower can qualify for.

  6. Low Number of Credit Checks. A high number of hard credit checks on a borrower's credit report can be seen as a red flag by lenders. Too many checks may indicate financial instability or multiple recent loan applications.

  7. Minimum Monthly Income. Most lenders have a minimum monthly income requirement, often ranging from $1,200 to $1,500. Falling below this threshold may result in automatic rejection.


  1. Loan Amount and Terms. Lenders specify the maximum loan amount and offer different terms for repayment, ranging from weeks to several years.

  2. Interest Rates. The interest rates vary depending on factors like the borrower's credit score and the lender's policies. Rates can range from as low as 2%-3% for good credit to higher rates for lower credit scores.

  3. Fees. Lenders may charge origination fees, application fees, or other charges. Borrowers should carefully review the fee structure to understand the total cost of the loan.

  4. Repayment Schedule. Lenders set a repayment schedule, outlining when and how often borrowers must make payments. Flexibility in the repayment schedule can vary between lenders.

  5. Documentation. Lenders require specific documents for verification, such as proof of employment, government-issued ID, bank statements, and proof of address.

  6. Approval Time. The time it takes for a lender to approve and disburse the funds can vary. Online lenders often offer quicker processing times compared to traditional institutions.

  7. Credit Score Impact. Lenders may specify how loan applications and repayments will impact the borrower's credit score. Some lenders may report to credit bureaus, providing an opportunity to positively influence credit history.

  8. Additional Features. Some lenders offer additional features such as co-signed and joint loans, debt consolidation options, personal lines of credit, and more, providing borrowers with a variety of choices.

Best Places to Get the Best Personal Loan in Canada

  1. Fairstone. Established in 1923, Fairstone is a longstanding non-banking financial institution providing a range of financial solutions, including unsecured personal loans, car loans, mortgage loans, and online loans in Canada. With loan amounts spanning from $500 to $35,000, Fairstone distinguishes itself through a quick approval process and the absence of hard credit checks. Secured loans attract lower interest rates, offering borrowers added flexibility in choosing the most suitable financing option.

  2. Borrowell. Borrowell, a prominent Canadian fintech lender, has garnered a customer base exceeding one million. Offering loans ranging from $1,000 to $35,000 with terms spanning 36 to 60 months, Borrowell provides a user-friendly platform with transparent fee disclosure on its website. Customers benefit from the additional perk of receiving a free credit score, enhancing financial awareness and empowering them to make informed borrowing decisions.

  3. Loan Away. As an online-only lender, Loan Away specializes in personal unsecured loans, home equity loans, and debt consolidation loans, with loan amounts reaching up to $5,000. The company boasts an impressive 80% approval rate, making it an attractive option for individuals with challenging credit histories. Loan Away's appeal lies in its straightforward online application process and its commitment to approving customers with bad credit, fostering financial inclusivity.

  4. Skycap Financial. Skycap Financial distinguishes itself by offering swift loan approvals, ranging from $500 to $10,000, within 24 hours. With interest rates starting from 12.99% to 39.99%, borrowers experience a fast and easy funding process, regardless of their credit reputation. Skycap Financial's commitment to flexibility is reflected in the range of repayment terms, spanning from 9 to 36 months. The lender's accommodating approach extends to individuals with a less-than-ideal credit history, making it an accessible option for a diverse range of borrowers.

Things to Pay Attention to

  1. Interest Rates. Understand the interest rates offered by lenders. A lower interest rate can significantly reduce the overall cost of the loan.

  2. Fees and Charges. Carefully review the fee structure, including origination fees, application fees, and any other charges. These fees contribute to the total cost of the loan.

  3. Repayment Terms. Examine the repayment terms, including the duration of the loan and the frequency of payments. Ensure it aligns with your financial capabilities.

  4. Total Cost of the Loan. Calculate the total cost of the loan by considering both the interest rates and any additional fees. This provides a clearer picture of the financial commitment.

  5. Credit Score Impact. Understand how the loan application and repayment will impact your credit score. A positive repayment history can improve your credit, while multiple applications can have a temporary negative effect.

  6. Prepayment Penalties. Check for any prepayment penalties. Some lenders charge fees if you decide to pay off the loan before the agreed-upon term.

  7. Application Process. Assess the ease and efficiency of the application process. Online lenders often provide quicker processing times compared to traditional institutions.

  8. Eligibility Criteria. Review the eligibility criteria to determine if you meet the lender's requirements before applying. This helps avoid unnecessary credit inquiries.

  9. Communication and Support. Evaluate the lender's communication channels and customer support. Clear communication and responsive support can be crucial throughout the loan process.

How to Repay a Personal Loan in Canada

  1. Understand the Loan Terms. Thoroughly review the loan agreement to understand the repayment terms, including the interest rate, repayment schedule, and any fees associated with the loan.

  2. Set Up Automatic Payments. If possible, set up automatic payments through your bank account. This ensures that you never miss a payment and helps you maintain a positive repayment history.

  3. Create a Budget. Develop a budget that includes your monthly loan payments. This will help you prioritize your loan obligations and avoid overspending.

  4. Communicate with the Lender. If you encounter financial difficulties, communicate with your lender. Some lenders may offer hardship programs or temporary relief options. Ignoring the issue can lead to penalties and damage to your credit.

  5. Avoid Late Payments. Make payments on time to avoid late fees and negative impacts on your credit score. Late payments can also result in increased interest rates.

  6. Check for Prepayment Penalties. Confirm whether your loan has prepayment penalties. If not, consider paying off the loan early to save on interest.

  7. Monitor Your Credit Score. Keep an eye on your credit score. Responsible and timely loan repayment can positively impact your credit history.

  8. Review Monthly Statements. Regularly review your monthly statements to ensure accuracy and to track your progress in repaying the loan.

Reasons for Getting Rejected for the Best Personal Loan

  1. Low Credit Score. One of the primary factors lenders consider is the applicant's credit score. A low credit score, indicating a history of missed payments or high levels of debt, can lead to rejection.

  2. High Debt-to-Income Ratio. Lenders assess the debt-to-income ratio to ensure that the borrower has sufficient income to cover existing debts and the proposed loan. A high ratio may result in rejection.

  3. Unstable Employment or Income. Lenders prefer borrowers with a stable source of income. Frequent job changes, unemployment, or irregular income patterns can be red flags for lenders.

  4. Insufficient Income. If the applicant's income is below the lender's minimum requirements, they may be deemed unable to afford the loan, leading to rejection.

  5. Recent Bankruptcy or Defaults. Recent bankruptcies, foreclosures, or defaults on loans significantly impact an individual's creditworthiness and may lead to rejection.

  6. Multiple Recent Credit Applications. Making several credit applications within a short period can signal financial distress and may be viewed negatively by lenders. This can result in rejection.

  7. Incomplete or Inaccurate Information. Providing inaccurate or incomplete information on the loan application can lead to rejection. Lenders rely on accurate data to assess an applicant's financial situation.

  8. Lack of Collateral. Personal loans are typically unsecured, but some borrowers may seek secured loans. If there is a lack of suitable collateral, it may result in rejection for a secured loan.

  9. Legal Issues. Individuals with legal issues, such as outstanding judgments or liens, may face rejection as these factors can impact creditworthiness.

  10. Inconsistent Information on Credit Report. Discrepancies or inconsistencies in the information provided by the applicant and the data on their credit report may lead to rejection.


  1. Credit cards. A credit card is a financial tool that allows users to make purchases on credit, up to a predetermined limit set by the card issuer. Users can make transactions and repay the borrowed amount over time, with interest charged on the outstanding balance. Credit cards offer convenience, flexibility, and the opportunity to build a credit history. They often come with additional features such as rewards programs and cashback incentives.

  2. Credit unions. Credit unions are not-for-profit financial institutions owned by their members, who share a common bond, such as belonging to the same community or profession. Unlike traditional banks, credit unions operate intending to serve their members' financial needs rather than maximize profits. Members of credit unions have a say in the institution's decision-making processes and may benefit from lower fees, competitive interest rates, and personalized service.

  3. Credit builder loan. A credit builder loan is a financial product designed to help individuals establish or improve their credit history. Unlike traditional loans where funds are disbursed upfront, a credit builder loan works by holding the loan amount in a savings account or certificate of deposit. The borrower makes regular payments, and once the loan is fully repaid, they receive the initial loan amount. A positive repayment history contributes to building a positive credit profile, making it a useful tool for those with limited or damaged credit.

  4. Peer-to-peer lending. Peer-to-peer (P2P) lending, also known as marketplace lending, is a lending model that connects individual borrowers with individual lenders through online platforms. These platforms match borrowers seeking loans with investors willing to fund them. P2P lending bypasses traditional financial institutions, allowing for more direct interactions and potentially offering lower interest rates for borrowers and attractive returns for lenders. The process is facilitated by online platforms that assess creditworthiness, set interest rates, and manage loan transactions.


Keeping your Debt-to-Income (DTI) ratio below 30-40% of your monthly income is crucial. This will help you avoid potential financial problems in the future. Additionally, always assess the necessity and feasibility of taking a loan, ensuring you can comfortably manage its repayment.

How to Choose a Lender

  1. Make sure to confirm whether the lender is licensed to operate in your province. You can verify this information with your state regulator or attorney general.

  2. Check if the lender is a member of a reputable association, such as the Canadian Lenders Association (CLA). Membership in such organizations may provide an extra level of reliability.

  3. Carefully review all the terms and conditions of your payday loan contract.

  4. Thoroughly examine the interest rates on payday loans and ensure that your contract includes a detailed breakdown of the total cost of the loan.

  5. Take advantage of your right of rescission. Usually, you can rescind the loan within three days after signing the agreement. Alternatively, there is typically a "cooling-off" period, which allows you several days to thoroughly review the contract before making an informed decision to enter into a consumer loan agreement based on the terms specified by the lender.

  6. Choosing a payday lender is a significant decision that demands careful consideration and a good understanding of how such organizations operate.


At Finanso, we've carried out a comprehensive analysis of over 70 lenders, assessing them based on 35 different parameters across six key categories: accessibility of loans, customer relations, quality of service, interest rates, and transparency of conditions.

In each category, we carefully considered the most critical factors in selecting a lender. These factors include the interest rates, available loan amounts, minimum credit score, minimum income, application fees, and the speed at which funds are transferred.

At Finanso, we highly value our users, which is why we also focus on the quality of customer service, user reviews, and additional features that can aid our users in making a well-informed decision.

Our ultimate goal is to provide insightful recommendations and expert advice to assist you in selecting a lender that best caters to your specific needs.


What is the best place to take out a loan?

Determining the best place to take out a loan in Canada depends on individual preferences, financial needs, and creditworthiness.

Traditional banks like RBC, TD, and Scotiabank offer a range of personal loan products with established reputations for reliability. Credit unions, such as Desjardins, are member-owned institutions that often provide competitive rates and personalized service.

Additionally, online lenders like Borrowell and LoanConnect offer a convenient alternative, allowing borrowers to compare multiple loan offers quickly. The choice ultimately hinges on factors like personal loan interest rates, loan terms, fees, and the ease of the application process, and individuals are encouraged to explore different options to find the lender that aligns best with their specific requirements.

Which bank has the easiest personal loan approval?

Identifying the bank with the easiest personal loan approval can be subjective and depends on various factors, including an individual's credit history and financial situation.

Certain banks may have more streamlined application processes and flexible approval criteria. TD Canada Trust is known for its user-friendly online application and efficient approval process, while Scotiabank is recognized for offering pre-approved loans to existing customers.

However, ease of approval may vary for each applicant, and it's crucial to consider factors like credit score, income stability, and existing relationships with the bank.

Can I get a $10,000 personal loan with bad credit?

Obtaining a $10,000 personal loan with bad credit can be challenging, as traditional lenders may be hesitant due to the higher risk associated with poor credit.

However, there are alternative options to explore. Some online personal loan providers specialize in bad credit personal loans and may be more willing to consider your application. It's important to be prepared for higher personal loan rates and less favorable terms compared to loans for individuals with good credit.

Additionally, securing a co-signer with a stronger credit history may increase your chances of approval. Before proceeding, carefully review the terms, fees, and conditions associated with the loan to make an informed decision based on your financial circumstances.

Loan Terms