Featured Partner Offer
1
Smarter Loans
Minimum Credit Score
No Minimum Requirement
APR
9.99% – 47.72%
Loan Amounts
$100- $50,000
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Unsecured personal loans—meaning loans that don’t require collateral in the form of property or other assets—are a popular borrowing option among Canadians. The application process is straightforward with reasonable qualification requirements, and funds are usually dispensed quickly to approved applicants.
View and compare our top choices for the best unsecured personal loans in Canada below, with additional resources about how you can confidently navigate your selection process.
Featured Partner Offer
1
Smarter Loans
On smarter.loans’s Website
Minimum Credit Score
No Minimum Requirement
APR
9.99% – 47.72%
Loan Amounts
$100- $50,000
Undisclosed
8.99% to 22.99%
$1,500 to $35,000
Undisclosed
8.99% to 22.99%
$1,500 to $35,000
Bank of Montreal offers a broad range of loan amounts, from a small $1,500 to a considerable $35,000, catering to diverse financial needs. BMO’s same-day funding feature makes it a standout choice for borrowers in urgent need of financial assistance. With the flexibility of no prepayment penalties and the advantage of autopay and loyalty perks, BMO showcases their commitment to customer-friendly loan solutions. Additionally, the absence of a specified minimum credit score suggests BMO caters to a broad range of borrowers, including customers with past credit challenges.
Learn more: Read our BMO personal loan review
Eligibility: With no specified minimum credit score, BMO’s personal loans are accessible to a wide range of borrowers. The bank also offers co-signer or co-borrower capabilities, potentially increasing the chances of loan approval for some applicants.
Loan Uses: BMO’s versatile loan amounts between $1,500 and $35,000 can be utilized for a plethora of purposes, whether it’s consolidating debt, funding a major purchase or handling unexpected expenses.
Turnaround Time: One of BMO’s strong suits is their ability to provide same-day funding, making it a top choice for borrowers who need funds urgently. Combined with an efficient online application process, obtaining a personal loan is made swift and hassle-free.
No credit history necessary
9.99% to 46.96%
$500 to $100,000
easyfinancial bridges the gap for many borrowers who may find it difficult to get loans due to a lack of credit history. Same-day funding ensures swift financial relief for urgent needs. While the APR range is on the higher side, easyfinancial offers perks like autopay and loyalty discounts. With a flexible loan term ranging from 9 to 120 months and no prepayment penalties, borrowers have the freedom to pay off their loans at a pace that suits them.
Eligibility: easyfinancial stands out by catering to individuals who don’t have a credit history. Additionally, the co-signer or co-borrower capability offers an extra layer of security and assurance, potentially helping more people get approved.
Loan Uses: With loan amounts between $500 and $100,000, borrowers can cover a variety of needs, from consolidating debts to financing significant life events or emergency expenses.
Turnaround Time: The promise of same-day funding makes easyfinancial a go-to option for those in immediate financial need. The online application streamlines the process, ensuring borrowers don’t have to wait long for their funds.
Undisclosed
5% to 10%
$300 to $10,000,000
Undisclosed
5% to 10%
$300 to $10,000,000
Fusion Credit Union offers an unparalleled range of loan amounts, catering to both individual small needs and large-scale business investments. The flexibility in loan terms, spanning one to 25 years, ensures borrowers can choose a repayment period best suited to their financial situation. With competitive starting APRs, the opportunity for a beneficial deal exists, although potential borrowers should be wary of the higher APRs, even if their maximum APR of 10% is not as high as some of their competitors. The credit union’s commitment to the personal touch with daily human contact and the inclusion of modern features, like online applications and a mobile app, make its borrowing process both personal and convenient.
Eligibility: Fusion Credit Union offers a broad spectrum of loan options without mandating a minimum credit score. The ability to include a co-signer or co-borrower further enhances the accessibility of their loans across different financial profiles.
Loan Uses: With the capability to lend up to $10 million, Fusion Credit Union can support various financial requirements, from personal needs like debt consolidation and home renovations to substantial business expansions or acquisitions.
Turnaround Time: Specific turnaround time details are unavailable, but the online application system might expedite the loan processing time. Prospective borrowers should enquire about the estimated waiting period.
No credit history necessary
23.00%
$500 to $750
No credit history necessary
23.00%
$500 to $750
Eastern Loans emerge as a clear choice for individuals requiring smaller loan amounts on a short-term basis. With a consistent APR of 23% and no prepayment penalties, it provides transparency and flexibility in the repayment process. The absence of a credit history prerequisite means it’s accessible to a broader spectrum of borrowers. Their four-star TrustPilot rating further attests to a positive customer experience. Coupled with same-day funding, Eastern Loans offers a quick and relatively hassle-free borrowing experience for borrowers with urgent financial needs.
Eligibility: Eastern Loans provides an inclusive borrowing environment, particularly for those without a credit history. Furthermore, the provision for a co-signer or co-borrower amplifies the chances of loan approval.
Loan Uses: The loan amounts ranging from $500 to $750 cater to immediate, short-term financial requirements. Be it for an unexpected bill, a minor repair or a short-term financial gap, Eastern Loans bridges the divide.
Turnaround Time: For borrowers in a rush, Eastern Loans proves to be an ally with their same-day funding. The online application further accelerates the borrowing process, ensuring minimal wait times.
550
19.99% to 39.99%*
$500 to $60,000
Fairstone caters to a broad audience by offering both secured and unsecured loan options to borrowers online and in every province except Nunavut. Its flexible loan terms, coupled with their simple loan application process and over 100 years of lending experience, make it a standout choice. With a credit score requirement of 550, they tend to cater to those who don’t have excellent credit. Its quick turnaround time, especially for unsecured loans, is an attractive feature for borrowers in urgent need of funds. The option to add a co-signer or co-borrower to its loans further enhances accessibility, although its online management for co-signers could be improved.
Learn more: Read our Fairstone Loans Review
Eligibility: Fairstone requires applicants to have a fair to good credit score (minimum credit score of 550), and offers loans in every province and territory except Nunavut.
Loan Uses: With a diverse loan range, Fairstone can cater to a variety of needs, from emergency bills to home improvements, debt consolidation and significant purchases.
Turnaround Time: Fairstone funds unsecured personal loans in as little as 24 hours. However, secured personal loans may take three or more days, varying by location.
Disclaimer:
*Interest rates are subject to change. Actual Annual Percentage Rate (APR) varies based on the province of residence and individual factors like credit details and loan amount. The interest rate on an unsecured personal loan is 31.99% in BC, 31.99% in MB, and 34.99% in QC.
In Ontario, Fairstone Financial Inc. is licensed as mortgage brokerage 10821.
In Nova Scotia, Fairstone Financial Inc. is licensed as mortgage lender #2021-3000028.
No credit history necessary
9.99% to 46.99%
$500 to $35,000
Spring Financial fills a niche for borrowers who may not have an established credit history but require personal loans for diverse needs. Their competitive starting APR makes the lender an attractive option for individuals who qualify for the lower rates. The lack of late payment fees and prepayment penalties ensures borrowers will have a more flexible repayment experience. Coupled with a high rating on TrustPilot, Spring Financial demonstrates a level of customer satisfaction worth noting. Their promise of a one to two business-day turnaround can be appealing for borrowers in urgent need of funds.
Eligibility: Spring Financial makes it accessible for a broad range of applicants by not necessitating an established credit history. This can be particularly beneficial for young adults or newcomers to Canada.
Loan Uses: With loan amounts ranging from $500 to $35,000, Spring Financial caters to multiple needs, whether it’s for a small project, debt consolidation or a significant purchase.
Turnaround Time: One of the strengths of Spring Financial lies in their quick processing, promising a turnaround time of just one to two business days after you fill out an application.
Below 620
N/A
$1,000 to $15,000
Below 620
N/A
$1,000 to $15,000
GoDay offers an exceptional blend of flexibility and convenience. With an allowance for credit scores below 620 and loan amounts reaching up to $15,000, they cater to a broad audience. Their round-the-clock customer support, coupled with high TrustPilot ratings, suggests a lender committed to excellent service. Perks, discounts and the provision of same-day funding further enhance their appeal, making them a standout choice for borrowers (with a poor credit score) in need of personal loans.
Eligibility: Catering to eight provinces/territories and applications with a co-signer or co-borrower, GoDay offers borrowers increased chances of approval.
Loan Uses: Ideal for multiple personal requirements, ranging from emergency expenses to debt consolidation and major purchases, given their generous loan amounts.
Turnaround Time: GoDay showcases its efficiency and commitment to customers by promising potential same-day funding, minimizing waiting times for borrowers with urgent needs.
No credit check necessary
28% to 38%
$300 to $1,000
No credit check necessary
28% to 38%
$300 to $1,000
DMO Credit emerges as an ideal choice for borrowers who value both speed and flexibility. Their absence of credit checks, combined with the provision of same-day funding, ensures immediate accessibility. In addition, DMO Credit’s expansive reach over eight Canadian provinces and territories, coupled with the added bonus of perks and discounts, makes it a comprehensive lending option.
Eligibility: DMO Credit has a wide reach, serving borrowers in over eight provinces/territories in Canada. They also offer the option to add a co-signer or co-borrower to their loans, providing an added layer of accessibility.
Loan Uses: Best for individuals seeking quick financial remedies, from unforeseen expenses to emergency needs, especially when traditional credit checks may be a hurdle.
Turnaround Time: DMO Credit stands out for its efficiency, providing the possibility of same-day funding for borrowers in pressing financial situations.
Undisclosed
Based on the loan amount, term and credit history.
Undisclosed
Undisclosed
Based on the loan amount, term and credit history.
Undisclosed
While rates are not listed publicly on CIBC’s website, the Schedule 1 bank is regarded as one of Canada’s most trusted and reputable financial institutions. When it comes to personal loan options, CIBC proves that it can cater to most borrower needs, with a borrowing range going as high as $200,000.
What makes CIBC’s unsecured loans attractive to borrowers is their flexibility towards early repayment. Borrowers are required to make scheduled payments, but charge no extra fees for early repayment, which grants customers the opportunity to lower interest payments, with free EFT payments for CIBC customers.
Learn more: Read our CIBC Personal Loan Review
Eligibility: Applicants of a CIBC personal loan must not have been declined for any CIBC credit product within the previous 6 months. Applicants must also earn a minimum annual salary of $17,000 to qualify. Customers will also be asked to provide their bank account numbers, credit card numbers and other financial information, upon request.
Loan Uses: CIBC is transparent about letting their customers know that personal loans can be used for anything, citing main reasons as debt consolidation, investments, vacations, and other specific personal purchases.
Turnaround Time: CIBC does not explicitly provide details on their turnaround time for depositing funds. However, turn around times for major banks are fairly quick, typically ranging from same day financing to as long as five business days.
No credit check necessary
22% (with a transaction fee of $0.50)
$500 to $750
No credit check necessary
22% (with a transaction fee of $0.50)
$500 to $750
Captain Cash offers fast, flexible borrowing without the need for a credit check. The lender specializes in small-scale loans with a uniform APR and the ability to accommodate borrowers in up to seven provinces and territories. They also allow for the option of a co-signer or co-borrower and the ability to manage loans via a mobile app. Plus, same-day funding is a significant advantage for individuals in urgent need of funds.
Lender | Forbes Advisor Rating | Minimum Credit Score | Interest Rates | Loan Amounts | |
---|---|---|---|---|---|
1 | Bank of Montreal (BMO) | Undisclosed | 8.99% to 22.99% | From $1,500* | |
2 | easyfinancial | No credit history necessary | 29.99%- 46.96% | $500 to $20,000 | |
3 | Fusion Credit Union | Undisclosed | From 7.20% | From $300 | |
4 | Eastern Loans | No credit history necessary | 23.00% | $500 to $750 | |
5 | Fairstone Financial | Undisclosed | 26.99% to 39.99% | From $500 to $25,000 | |
6 | Spring | Undisclosed | 9.99% to 46.99% | Up to $35,000 | |
7 | GoDay | Undisclosed | Based on the loan amount, term and credit history | $100 to $1,500 | |
8 | DMO Credit Union | No credit history necessary | 28% to 38% | $300 to $1,000 | |
9 | Canadian Imperial Bank of Canada (CIBC) | Undisclosed | Based on the loan amount, term and credit history | From $3,000 to $200,000 | |
10 | Captain Cash | No credit history necessary | 22.00% | $500 to $750 |
We reviewed 76 popular lenders based on 17 data points in the categories of loan details, loan costs, eligibility and accessibility, customer experience and the application process. We chose the 10 best lenders based on the weighting assigned to each category:
Within each major category, we also considered several characteristics that would benefit those with bad credit in particular, including awarding an extra five points for lenders offering a low maximum APR, a low minimum credit score, a high maximum loan term and cosigner/borrower capability. Finally, we evaluated each provider’s customer support tools, borrower perks and features that simplify the borrowing process—like prequalification options and mobile apps.
Where appropriate, we awarded partial points depending on how well a lender met each criterion.
Here’s what you should think about as you compare each loan offer:
An unsecured personal loan is a lump sum of money lent by banks, credit unions, or independent lenders that does not require the borrower to provide proof of collateral (such as a house, vehicle or similar asset). Borrowers must repay the loan in full, with interest, along with any applicable fees and by following a predetermined schedule of payments, usually monthly, over a predetermined period known as a term.
Since there is no collateral requirement, lenders tend to view unsecured loans with increased risk and compensate by charging higher interest rates on lower sums.
The average amount of a personal loan ranges from as little as $100 to as high as $50,000, and the average term can range from 6 months to 60 months. This often depends entirely on the institution.
Personal loans in Canada fall into two major categories:
Related: Secured Vs. Unsecured Personal Loans: Which Are Better?
Unsecured personal loans work like any other loan, where the institution or lender charges interest on the principal amount lent to the borrower, often with a loan processing fee (also known as an origination fee). The borrower must repay the loan according to a predetermined schedule until the principal sum is paid in full, and interest is charged on the remaining amount. Timely or missed payments on the loan can either positively or negatively impact the borrower’s credit score.
As their name implies. personal loans can be used for any personal reason, with general uses for personal loans including:
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Unsecured personal loans are generally among the more accessible loans to qualify for if you have a high credit score, and most lenders only require basic information to qualify.
Here are common personal loan requirements that lenders look for:
Your credit score will determine the rate and term of the unsecured personal loan you’ll qualify for. Credit score requirements vary depending on the lender, but a higher credit score will get you a better rate from the lender. You can check your credit score online using free online credit score-checking tools like Credit Karma or Borrowell.
A minimum income requirement is often required to qualify for loans, as well as proof of employment. You may be asked to share your employer’s contact information, as well as recent pay stubs.
Related: 5 Personal Loan Requirements To Know Before Applying
Featured Partner Offer
1
Smarter Loans
On smarter.loans’s Website
Minimum Credit Score
No Minimum Requirement
APR
9.99% – 47.72%
Loan Amounts
$100- $50,000
Getting an unsecured loan is a little more difficult to qualify for if you don’t have a good credit score. However, borrowing options exist for low or bad credit scores, though these usually come with much higher interest rates.
Yes. An unsecured loan is a loan that does not require the borrower to provide proof of collateral.
The most you can borrow on an unsecured personal loan depends on the financial institution or lender, though borrowing limits on loans can go as high as $50,000.
Zack Fenech is a professional finance writer from Toronto. He is passionate about demystifying complex finance topics and making them digestible and easy to follow for the average Canadian. Zack has previous experience writing for various Canadian fintech companies and financial publications, including Ratehub.ca, MoneySense.ca, and WealthRocket, the latter of which he served as editor-in-chief.