Friendly Lender

Bad Credit Installment Loans Guaranteed Approval Canada

You don’t need a horror story to need quick money. Perhaps you’ve been invited on a last-minute vacation or maybe you’re a freelancer looking to start their business. Whatever the reason, it may seem like getting a loan with bad credit in Canada is simply impossible. You’ll be surprised, however, to discover that to the contrary, there are many options available despite your poor credit score.

If you’ve even denied a credit card, made late payments, or have gone bankrupt, you probably have bad credit – and you aren’t alone. If this situation sounds like yours, you’ve also probably realized that your poor credit rating is negatively affecting all the spheres of your life – be it in applying for a credit card, requesting a loan from a bank for your car or mortgage, and unfortunately, even finding a job.

Bad Credit Installment Loans: A Guaranteed Personal Loan

Have you ever heard of collateral? This method allows you to offer a warranty, usually property of some kind, that will ensure loan repayment. Mortgages and car loans are common forms of guaranteed personal loans, where the house or vehicle in question are held as collateral in case of default payment. Pawn shops even function around this type of method, where your item is held in exchange for a loan.

Taking out a second mortgage on the home you already own is another possibility. You can also take out a loan on the property you own. Alternatively, you can take out a secured loan by pledging certain valuables such as jewellery, firearms, etc. or against the title of your vehicle.

Many companies in Canada offer guaranteed bad credit loans!

Payday Loans

Payday lending is growing rapidly in Canada. In their basic form, bad credit installment loans with guaranteed approval don’t necessitate a form of collateral; however, you must demonstrate a stable source of income. The lender waives the requirement for security because you show that you can pay your loan back according to your agreement, which is generally on your next payday. Remember, a bad credit loan through a private lender is unsecured, thus it’s only normal that your payday lender works hard to ensure you have the proper income. Also due to the fact that such loans are unsecured, you can expect high interest fees.

When applying for a bad credit installment loan, you’ll also have to provide proof of income for a three-month period as well as any current debts and payments you have. The amount of your loan will later be decided once all the number have been taken into account, seeing as a credible bad credit private lender won’t grant you a loan for more than you can save for the next payday after you’ve paid off all your other financial responsibilities.

Generally, by the time your next pay day rolls around, you’ll have to reimburse your loan completely. However, a bad credit loan can really come to the rescue if you urgently need cash between paychecks. You should be careful, however, because you risk accumulating high amounts of interest – especially if you’re late on your loan payments!

Applying for an Online Loan is easy as 1-2-3

How it works?

Bad Credit Installment Loans with Guaranteed Approval

Installment loans generally comme attached to a payment plan, or in other words, you agree to pay a fixed amount over a certain period of time. Usually, the interest rate for an installment loan is fixed at the beginning of the loan and interest is paid during the term of the loan as part of the repayment amount. If you live in Canada and want to apply for a bad credit installment loan, try to find a payment agreement that allows you to pay when you actually have the funds.

You also have the possibility of paying more than the agreed upon amount. This money goes directly toward reducing the principal amount of your loan (the part without interest), which in turn reduces the loan much faster. Not only that, but you’ll pay less in interest too. You’re probably used to hearing about installment loans coming from banks or other traditional financial institutions but rest assured, by searching online, you’ll find that there are bad credit installment loans with guaranteed approval available to you.

Who is Eligible?

Bad Credit Loan? Beware!

Every Canadian has the right to apply for a bad credit installment loan, however, there are a few factors that you should pay attention to: Interest rate: Take a look at the private lenders interest rates. Some lenders offer better rates than others. Fees: Never forget to read your ENTIRE loan contract, including the fine print at the bottom of the page in order to avoid any hidden fees or terms.

Penalties: Your loan isn’t free of penalties therefore if you are late or miss a payment, check to see what the penalties are. The same goes for wanting to pay the loan off faster than agreed upon.

Credit reports: Your regular payments made toward your loan must be documented. You can ensure that your private lender informs the credit agencies of your payments in order to help build your credit score.

Final Words

In addition to the impaired loan options mentioned above, you’ll be happy to learn that other bad credit installment loans exist and are worth looking into, depending on your financial needs.