Online installment and payday loans are some of the fastest ways to get extra cash, and fortunately, applying for them online is very easy.
These loans often have few requirements and pay instantly, making them appealing to individuals needing urgent funds.
This post covers the easy online loans in Canada that’ll let you borrow money instantly.
Key Takeaways
- The most common easy online loan types include installment loans, payday loans, and car title loans.
- If you need installment loans, Loans Canada, FatCat Loans, CarsFast and LoanConnect usually offer the best loan options.
- Pay2Day, iCASH, and Cash Money are the top payday loan providers in Canada, offering fast approvals and funds as early as 15 minutes.
Types of Easy Online Loans in Canada
Let’s discuss the three most common online instant loans in Canada.
Installment Loans
Installment loans are typically relatively high-valued loans with fixed interests that are repaid by making regular payments over a period of time (usually over 9 months).
The amount borrowed typically starts from $1,000, but other lenders offer installment loans for amounts as low as $500.
Payday Loans
Payday loans are short-term, high-cost loans that borrowers must repay short-term, typically within a month or the borrower’s next payday.
Ranging from $300 to $1,500, these loans typically have some of the highest interest rates, with APRs being as high as 500%, as they’re disbursed instantly with very little documentation needed.
As much as possible, it’s best to treat payday loans as a last resort, as their interest rates are excessively high compared to other funding options.
However, if you do resort to them, ensure that you pay these types of loans as fast as possible, as they can quickly spiral into unmanageable debt.
Car Title Loans
Car title loans are secured, short-term loans in which the borrower uses their car as loan collateral. You can still use your car while it’s being used as collateral for a title loan, but if you don’t make payments on time, you may lose your vehicle.
Best Installment Loans in Canada
If you need installment loans in Canada, these platforms are often your best options.
Loans Canada
Loans Canada is a loan comparison website that automatically matches you with the best lenders who fit your needs.
Through this website, you can find instant payout installment loans ranging from $500 to $50,000 that are repayable within 4 to 60 months. The APR for these installment loans will vary depending on the specific lender, but you can expect the range to be anywhere from 6.99% to 46.96%.
Loans Canada
Loans Canada allows you to research and evaluate different lenders before you apply for a loan. The loan comparison platform is accredited by the Better Business Bureau and has been used by over 1 million Canadians. It offers many types of loans, including personal loans, debt relief loans, car loans, and business loans.
Loan amount: $50,000
Loan term: 3-60 months
Interest rates: 1.99% to 46.96%
Eligibility requirements: Ability to prove Canadian residence and 3 months of employment
On Loans Canada’s website
FatCatLoans
FatCatLoans is another reputable platform that allows you to access multiple lender offerings with just one loan application.
Its overall network of lenders has an instant approval rate of over 80% and offers loans from $300 up to $50,000 for various installment loans.
Like Loans Canada, the typical APRs with FatCatLoans range from 6.99% to 46.96%. Loan terms on this platform can be anywhere from 3 to 84 months.
CarsFast
For those looking for auto loans, CarsFast is one of the best options. It has already helped over 15,000 car buyers find the perfect car across 350 dealerships.
This lender accommodates applicants with all types of credit and usually approves car financing in minutes.
Through CarsFast, you can get up to $75,000 in auto loans, with terms extending up to 96 months. Interest rates range from 4.90% to 29.90% APR.
CarsFast
CarsFast is a Canadian auto financing network that has helped over 15,000 car buyers afford their perfect vehicle. The company offers auto financing to anyone, regardless of credit score, because it believes every Canadian deserves access to reliable transportation.
Loan amount: $75,000
Loan term: 12 to 96 months
Interest rates: 4.90% to 29.90%
Eligibility requirements: Canadians with a minimum income of $2,000 per month and the ability to prove three months of steady employment
On CarsFast’s website
LoanConnect
LoanConnect is another highly-rated loan comparison website that pre-approves loans of up to $50,000 in as fast as 60 seconds.
Its rates are as low as 8.99% APR, and the terms of its lenders range from 3 to 120 months, giving you flexibility in repayment options.
Some of the most common loans LoanConnect offers include personal loans, debt consolidation loans, and bad credit loans.
Best Instant Online Loans in Canada
As mentioned, it’s best to avoid payday lending companies as much as possible.
Pay2Day
With over 30 locations throughout the country, Pay2Day is one of the best options for borrowing money instantly online. It offers up to $1,500 cash instantly.
It charges $15 for every $100 you loan and gives you up to 31 days to repay your debt before you incur additional charges or penalties.
You can apply for Pay2Day loans in person through its locations or do so online 24/7. If you’re at least 18 years old, have access to online banking, and have proof of employment income, you can apply for Pay2Day’s payday loans.
iCASH
Having issued over 1.9 million loans since 2016, iCash is another reliable payday loan provider in Canada. It lets you borrow anywhere from $100 to $1,500, which you’ll then receive through e-transfer minutes after approval.
iCash’s interest rates vary depending on your province of residence but typically range from $15 to $17 per $100 borrowed.
To be eligible, you must be part of the legal age of majority in your province, have a monthly income of at least $800 month, and have an online bank account.
Cash Money
Founded in 1992, Cash Money offers flexible borrowing options ranging from $50 to $10,000. Through Interac e-Transfer, this lender provides funding as early as 15 minutes after approval, making it one of the go-to choices when you need fast cash.
Cash Money’s interest rates range from $14 to $17 per $100 borrowed, depending on your province of residence.
How to Apply For a Loan Online
Applying for a loan online is usually a simple process, as long as you already meet the criteria required by the lender you want to apply for.
Of course, the exact steps vary depending on the loan provider, but typically, the process starts with you going to the lender’s online application form, filling in the information required, showing the necessary documents, and waiting for approval.
After that, you’ll be notified whether you can proceed, which then means you can go ahead and have the loan deposited into your bank account.
Pros and Cons of Online Loans
Online loans are helpful when you have no or limited access to a credit limit, but they’re not always ideal. Let’s uncover the pros and cons of online loans in Canada:
Pros:
- Fast access to extra cash when in a pinch
- Typically don’t require borrowers to pledge collateral (except for car title loans)
- Flexible borrowing limits ranging from $300 to $50,000
Cons:
- Interest rates can go as high as 50% to 400% APR
- Can damage your credit when not paid on time
- May lead you to fall into debt
How To Choose the Best Online Loan For You
To find the best online loans, get quotes from multiple online lenders and compare their interest rates, repayment periods, and loan amounts.
You’d want to select one that offers the lowest interest rates, repayment periods that fit your situation (not too short or long), and a loan amount that also suits your needs (don’t borrow more than necessary).
Once again, as much as possible, payday loans should be treated as a last resort. Although they’re some of the most convenient options to get cash quickly, they also incur the highest interest rates, which can strain your finances over time.
