The bad credit score or rating is often an impediment to obtaining a loan. It describes your overall credit worthiness to lenders and implies a fair level of risk. It is a critical factor in the decision-making process of borrowing money. Your credit score ranges from 300 to 900 for most Canadians, and includes such things as your payment history, accounts in collections, and canceled accounts. A poor credit score is a particularly serious situation. Guaranteed approval loans for poor credit canada
Charge Higher Interest Rates Compared To Traditional Loans
Fortunately, if your credit score is below 650, you still can apply for a guaranteed approval loan. Although a guaranteed approval loan for poor credit Canada is not technically possible, it is available in Canada. You can find such loans from Lend for All partners, as well as many other direct lending companies. These companies offer unsecured personal loans for people with bad credit, but they charge higher interest rates compared to traditional loans. They’re sometimes called subprime rates.
Many new financial technology companies offer lending services online. Their goal is to meet individual needs and engage with a broader spectrum of borrowers. Unlike traditional banks, these companies typically have lower credit score requirements and quick funding. For these reasons, they’re often the only options for those with poor credit. And, because they are more accessible online, they can approve more people than you think. So, the next time you need money, apply for a guaranteed approval loan in Canada today.