The 13 Best Unsecured Personal Loans in Canada 2024

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Written by Enoch Omololu

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Have you ever faced sudden money problems because you didn’t have enough cash? Unsecured personal loans, which don’t need collateral, are here to help. 

In this guide, we’ll tell you the difference between secured and unsecured loans. Also, we’ll show you examples and introduce you to the best unsecured loans in Canada. 

Read along to see how these loans can transform your finances.


When we review the best personal loans for Canadians, we consider factors like:

  • APR or interest rates
  • Loan repayment terms
  • Types of loans available
  • Loan amounts
  • Application process
  • Customer support and user feedback
  • Business ratings

Each loan company or comparison site is unique, and we’ve done research on the most popular ones. If you’re looking for loans from banks that don’t list their rates online, you’ll need to contact them directly for a quote.

Best Unsecured Personal Loans

Here are the 13 best unsecured personal loans in Canada, carefully selected based on their features and benefits. We’ve done extensive research to help you choose the right one for your needs.

Loans Canada

Loans Canada is a loans comparison website for various types of loans, including personal loans, car loans, bad credit loans, and debt consolidation loans.

Interest rates: 2.99% to 46.96%.

Loan term: 4-60 months.

Loan amount: $500 to $35,000.

1. Loans Canada

Loans Canada is a loan comparison platform that allows individuals to compare personal loans from multiple lenders. 

Founded in 2012, it provides access to various types of loans, including debt consolidation, auto financing, no credit check, guarantor, private, and employment insurance loans. 

Borrowers can request loans of up to $35,000 for repayment periods of up to 60 months without paying any fees. To apply, borrowers must visit the platform’s website and submit a short application form. 

Once submitted, the platform’s algorithm matches borrowers with eligible lenders, and they receive pre-approval for a loan. If the terms are agreeable, additional details are provided on the lender’s website, and you can receive the funding within 1-2 business days.

  • Interest Rates: 2.99% to 46.96%
  • Loan Amount: $500 to $35,000
  • Loan Term: 4 to 60 months
  • Minimum Credit Score: None
  • Eligibility: You must be of the majority age in the province or territory where you live (i.e., at least 18 or 19 years old)


  • You can utilize it to find the top unsecured personal loans
  • It boasts an A+ rating with the Better Business Bureau (BBB)
  • The platform offers free usage
  • They offer competitive loan rates, with rates as low as 5.99% for unsecured loans and 4.99% for secured loans


  • Does not directly offer loans

For more information, read our review of Loans Canada here.

2. LoanConnect

LoanConnect is a loan search engine that helps you find personalized loans in Canada. With a wide range of lenders to choose from, you can borrow up to $50,000 for various purposes, such as debt consolidation, car purchases, medical expenses, etc. 

Loan rates vary based on your creditworthiness and can range from 8.99% to 46.96% APR. You can borrow for up to 10 years and receive pre-approvals in just 5 minutes. Visit their website to apply.

  • Interest Rates: Range from as low as 8.99% to a maximum of 46.96%.
  • Loan Amount: Borrowers can access loan amounts of up to $50,000.
  • Loan Term: Loan terms are flexible, ranging from 3 to 120 months.
  • Minimum Credit Score: None.
  • Eligibility: All credit scores are acceptable. You must be a Canadian citizen or permanent resident above the age of majority in your province of residence.


  • Use it to find the top unsecured personal loans
  • Boasts an A+ BBB rating
  • It’s free to use
  • Offers competitive rates


  • Doesn’t offer loans directly

3. Mogo

Mogo, founded in 2008, is a fintech company with 1.8 million members offering a range of financial products, including personal loans with APRs between 9.9% and 46.96%. 

Pre-approval takes about 3 minutes, and some loans have a 100-day test drive option. They also provide services like prepaid cards, stock trading, cryptocurrency services, and identity fraud protection.

  • Interest Rates: Range from a low of 9.99% to a high of 46.96%
  • Loan Amount: Borrowers can access loans starting at $500 up to $35,000
  • Loan Term: Vary from a minimum of 9 months to a maximum of 60 months
  • Minimum Credit Score: Doesn’t impose strict credit score requirements, but applicants are expected to have a minimum annual income of $13,000 to be eligible for their loans.
  • Eligibility: Mogo loans are available in BC, AB, ON, NB, MB, PE, NL, and NS. A minimum annual income of $13,000 is typically required.


  • Provides multiple financial products
  • Offers free credit score monitoring
  • Holds an A+ BBB rating
  • Offers a 100-day money-back guarantee for select loans


  • High rates for poor credit
  • Existence of negative Mogo reviews online
  • Loans facilitated through Lendful and easyfinancial

4. Fairstone

Fairstone has operated in the country for over 100 years and offers various personal loans, including secured and unsecured options. It was awarded as a top employer in Montreal and holds an A+ rating with the Better Business Bureau. 

Its unsecured loan offerings range from $500 to $25,000, with APRs between 27% and 40%, depending on credit score and location. 

Secured loans, backed by collateral, range from $5,000 to $50,000, with APRs between 20% and 24%. Loan terms can last up to 10 years.

  • Interest Rates: Range from 19.99% to 39.99%
  • Loan Amount: Varies between $500 and $50,000
  • Loan Term: From 6 to 120 months
  • Minimum Credit Score: A good credit score is required as the minimum credit qualification
  • Eligibility: You must provide proof of income, such as your most recent pay stub or T4/T4a


  • A well-established and reputable company with a long history.
  • Offers a quick and efficient approval process.
  • Maintains a presence with branches throughout Canada.
  • Holds an A+ rating with the Better Business Bureau (BBB).


  • Interest rates tend to be relatively high.
  • Secured loans may have penalties for early repayment.
  • Please be aware that there could be extra fees involved.

5. AimFinance

AimFinance prioritizes personalized experiences and provides fair access to affordable loans, even for individuals with bad credit. It is based in Mont-Royal, Canada, and provides personal loans and installment loans to Ontario residents.

With a minimum loan amount of $1,000 and a maximum of $5,000, you can get the funds you need quickly and easily. 

Their terms range from 9 to 24 months, depending on the amount borrowed, and payments are made automatically on your next payday. Apply online or visit one of our branches today to see if you qualify. 

  • Interest Rates: Personal loans have a 46.00% APR
  • Loan Amount: Ranges from $1,000 to $5,000
  • Loan Term: Starts from 9 months up to 24 months
  • Minimum Credit Score: Must be fair to good
  • Eligibility: You must be an Ontario resident, at least 18 years old, and have a monthly income of $1,200. A fair to good credit score is preferred, and you’ll need a valid mobile phone number and email address for communication.


  • Timely payments and using funds to pay off debts may boost your credit score
  • You have flexibility in using the borrowed money
  • There’s no application fee
  • The loan process is fast and straightforward


  • High interest rate at 46.00%
  • Borrowers with lower credit scores face higher rates
  • Exclusive to Ontario residents

6. LendDirect

LendDirect offers personal lines of credit of up to  $15,000, accessible through online applications or branch visits. 

Once approved, the funds can be swiftly transferred to your bank account, often within 2 hours, using Interac e-Transfer®. 

This personal line of credit allows you to withdraw cash as needed, up to your approved credit limit. The interest rates for these loans vary from 19.99% to 43.96%.

  • Interest Rates: Range from 19.99% to 46.93%
  • Loan Amount: Up to a maximum of $15,000
  • Loan Term: No specified loan term
  • Minimum Credit Score: No minimum credit score requirement
  • Eligibility: Proof of regular income is required, along with a minimum age of 18, valid identification, and an active bank account.


  • Access an open credit line of up to $15,000
  • Swift funding through Interac e-Transfer
  • Enjoy flexible payment choices
  • Holds an A+ BBB rating


  • APRs may reach up to 46.93%
  • Maximum personal loan limit: $15,000

7. SkyCap Financial

SkyCap Financial, founded in 2013, specializes in personal loans tailored to various needs, including car expenses, weddings, dental care, education, home improvements, and travel, among others. 

Their loan offerings come with interest rates ranging from 12.99% to 39.99%, allowing borrowers to access up to $10,000. 

Flexible loan terms are available, spanning from 9 to 36 months, providing options to suit individual financial preferences.

  • Interest Rates: Range from 12.99% to  39.99%
  • Loan Amount: Goes from $500 to $10,000
  • Loan Term: From 9 to 60 months
  • Minimum Credit Score: None
  • Eligibility: To be eligible, a monthly income of $1,600 or higher is required, along with meeting the legal age of adulthood in your province of residence.


  • Provides bad credit personal loans for those with low or poor credit
  • Offers a quick and streamlined application process
  • Holds an A+ BBB rating
  • Access to educational resources via SkyCap Financial University.


  • Loans capped at $10,000
  • APR ranges from 12.99% as the minimum to 39.99% for applicants with bad credit

8. Borrowell

Borrowell, a financial technology company, offers online personal loans and an array of financial products. They were among the early adopters of providing free Equifax credit score checks. 

Borrowell collaborates with various Canadian loan companies, including Fairstone, Symple Loans, LendDirect, Refresh Financial, and more. Loan interest rates vary, starting at 19.99% and reaching a maximum of 39.99%, and loan terms are flexible, spanning from 6 months to 5 years. 

It’s important to note that origination fees may apply to certain loans, with rates going up to 5%, so carefully reviewing the terms and conditions is advised.

  • Interest Rates: Range from 19.99% to 39.99%
  • Loan Amount: Goes from $500 to $50,000
  • Loan Term: From 6 to 60 months
  • Minimum Credit Score: Good credit score required
  • Eligibility: A good credit score of at least 660 is required. Additionally, you should have an annual income of at least $20,000 and no active bankruptcy or collection accounts.


  • Offers competitive personal loans
  • Provides additional financial products and tools, including free credit score checks
  • Holds an A+ BBB rating


  • Doesn’t directly offer loans
  • Requires specific credit score and income criteria
  • Certain loans come with high APRs and origination charges

Related: Borrowell Canada Review

9. LoanMeNow

LoanMeNow, founded in 2013 and based in Montreal, Quebec, operates as a loan brokerage service. It specializes in providing fast approvals for short-term loans, targeting borrowers with bad credit. 

For quick loans without credit checks, you can apply online or by phone, with funds deposited within 24 hours. Loan amounts range from $500 to $1,000, with an annual percentage rate between 28% and 32%. 

Repayment terms range from 84 to 90 days, and flexible payment options are available without prepayment fees.

  • Interest Rates: Range from 28.00% to 32.00% 
  • Loan Amount: Starts from $500 to $1,000
  • Loan Term: From 84 to 90 days
  • Minimum Credit Score: Instead of credit checks, they verify your banking and job details
  • Eligibility: You should be at least 18, a Canadian resident with a Canadian bank account, earning a net salary of $1,200 per month, consistently employed for two months, and not planning bankruptcy or a consumer proposal.


  • Simple online application
  • Flexible repayment options
  • Funds are accessible within 24 hours
  • No fees for early repayment


  • Limited to short-term loans
  • Incurs numerous fees and extra expenses that could add up

10. Loan Away

Loan Away provides swift access to bad credit personal loans, often approving applications in as little as 30 minutes after online submission. 

Borrowers can access funds up to $5,000, with interest rates spanning from 19.99% to 45.9%. Remarkably, the company boasts an impressive approval rate, with over 80% of applications successfully accepted.

  • Interest Rates: Range from 19.99% to 45.9%
  • Loan Amount: Starts from $1,000 to $5,000
  • Loan Term: From 6 to 36 months
  • Minimum Credit Score: None
  • Eligibility: To apply, you’ll need two government-issued IDs, proof of income, Canadian residency, and be at least 18 years old.


  • Access installment loans up to $5,000 with bad credit
  • Enjoy a high approval rate
  • Holds an A+ BBB rating


  • Operates in select provinces: ON, AB, NB, BC, NS, and NL
  • The top loan rate goes up to 45.9%
  • The highest  loan amount is $5,000

11. Eastern Loans

Eastern Loans is a Canada-wide alternative lender known for its competitive interest rates and extended loan terms, outperforming many competitors in the market. 

It offers short-term installment loans as an alternative to payday loans, providing loans of up to $750 at an approximate 23% annual interest rate, with a repayment term extending up to 5 months. 

The application process is simple, involving an online application, and once approved, funds are delivered via e-Transfer.

  • Interest Rates: Approximately 23.00%
  • Loan Amount: Starts from $500 to $750
  • Loan Term: From 3 to 5 months
  • Minimum Credit Score: You must possess a low debt-to-income ratio
  • Eligibility: You should be a Canadian citizen or permanent resident, aged at least 18 (or 19 in certain provinces), have a Canadian bank account, maintain stable employment for a minimum of three months, and earn a minimum of $1,200 per month.


  • Quick application process with approval within 24 hours
  • Competitive APR of approximately 23.00%
  • Accepts applications with bad credit, potentially with a higher surety fee
  • Available for applicants across Canada


  • Additional surety fees determined by a third-party institution
  • Maximum borrowing limit is capped at only $750
  • Minimum loan term of three months
  • Strict eligibility criteria, including stable employment and minimum monthly income of $1,200
  • Limited acceptance of alternative forms of income

12. Symple

Symple Loans, an online lender, focuses on personal loans for borrowers with credit scores of 660 or higher. 

Originating in Australia in January 2018, it expanded to Canada in January 2021, establishing its Canadian headquarters in Toronto’s financial district on Bay Street.

It holds an A rating with accreditation from the Better Business Bureau and is recognized as a verified lender by the Canadian Lenders Association.

  • Interest Rates: Range from 6.99% to 32.00%
  • Loan Amount: Starts from $5,000 to $50,000
  • Loan Term: From 12 to 84 months
  • Minimum Credit Score: 660 credit score
  • Eligibility: You should be a Canadian citizen or permanent resident, aged at least 18, with a minimum annual income of $50,000. Additionally, you should have no history of bankruptcies or active consumer proposals and be residing in Canada, excluding NS, QC, and SK.


  • Obtain rate quotes without affecting your credit score, similar to Mogo and Fairstone
  • Repay your loan early with no extra charges
  • Competitive interest rates start at 6.99% for well-qualified applicants
  • Access a convenient 24/7 online application and account management
  • Borrow up to $50,000, a high maximum loan amount


  • Variable interest rates are dependent on the Bank of Canada’s overnight rate, impacting your interest vs. principal payment
  • The minimum borrowing amount set at $5,000
  • Loan origination fees ranging from 0-5% and a $45 charge for late or missed payments
  • Online-only customer service; no physical locations for in-person assistance

13. Loanz

Loanz, operated by LendingArch Financial, specializes in excellent personal loans for people with bad credit. Interest rates span from 29.9% to 46.9%, with repayment terms of 12 to 60 months. 

Fast approval is often instant with basic requirements met, and funds can be in your account within 15 minutes. You can use Loanz personal loans for credit rebuilding, car purchases, bill payments, or emergencies.

  • Interest Rates: Range from 29.9% to 46.9%
  • Loan Amount: Starts from $1,000 to $15,000
  • Loan Term: From 12 to 60 months
  • Minimum Credit Score: None but you must at least have a $1,200 monthly income
  • Eligibility: You need to be at least 18 years old with a stable monthly income of $1,200 or more. Also, you must have a Canadian bank account and no bankruptcy or collection status.


  • Quick and convenient online personal loans in Canada
  • Funds are available in 15 minutes
  • Offers personal loans for individuals with bad credit
  • Trustpilot rating of 4.1/5


  • High-interest rates, ranging from 29.90% to 46.90%
  • Possible fees, including late, missed payment, and non-sufficient funds (NSF) charges, are typically around $50 for bad credit personal loans
  • With minimum loan amount set at $1,000
  • Extended minimum loan term starting at 12 months, slightly longer than other bad credit lenders

Best Unsecured Loans in Canada: Summary

LenderInterest RateLoan TermLoanable Amount
Loans Canada2.99% – 46.96%4 – 60 months$500 – $35,000
Fairstone19.99% – 39.99%6 – 120 months$500 – $50,000
LoanConnect6.99% – 46.96%3 – 120 months$500 – $50,000
AimFinance46.96%9 – 24 monthsUp to $5,000
Mogo5.99% – 46.96%9 – 60 months$500 – $35,000
LendDirect19.99% – 46.93%N/AUp to $15,000
SkyCap Financial12.99% – 39.99%9 – 60 months$500 – $10,000
Borrowell19.99% – 39.99%6 – 60 months$500 – $50,000
LoanMeNow28.00% – 32.00%84 – 90 days$500 – $1,000
Loan Away19.99% – 45.9%6 – 36 months$1,000 – $5,000
Eastern Loans23.00%3 – 5 months$500-$750
Symple6.99% – 32.00%12 – 84 months$5,000-$50,000
Loanz29.9% – 46.9%12 – 60 months$1,000 – $15,000

What is an Unsecured Loan?

Unlike secured loans, unsecured loans do not require collateral, giving you more flexibility when applying. Instead, lenders check your creditworthiness through your credit score, determining the interest rate you’ll pay based on its quality.

Also, unsecured loans are usually smaller than secured loans, and they often have higher interest rates.

Secured vs Unsecured Loans

Here’s a head-to-head comparison between these types of loans:

FeatureSecured LoansUnsecured Loans
CollateralYes, requires collateral (e.g., home or car)No collateral required
Interest RatesLower, due to lower risk for lenderHigher, due to higher risk for lender
Default ConsequencesLender can seize collateralNo consequences for lender if if borrower defaults
Credit Score ImpactNegatively impacts credit score in case of  missed paymentsPositively impacts credit score if paid off
PurposeTypically used for major purchases, renovationsUsed for various purposes, e.g., debt consolidation, education, wedding
EligibilityStrict eligibility criteriaMore flexible eligibility criteria
Payment TermsFixed or adjustable repayment scheduleFlexible repayment options
Fees and ChargesUsually higher upfront costsLower upfront costs, but higher ongoing charges

How to Apply For an Unsecured Loan

Applying for online unsecured loans is straightforward. 

Visit the lender’s website, provide necessary information like the following:

  •  Name and address
  • Social Insurance Number, 
  • Employment Details
  • Valid ID

After you give your consent, they’ll perform a credit check and offer pre-approval if you qualify. Before accepting the offer, it’s best to review the loan terms, including fees, interest rates, and repayment terms.

Pros and Cons of Unsecured Loans


  • Flexibility: Offers more flexibility as they do not require collateral. 
  • Easy Application Process: The application process is more straightforward, as there is no need to provide collateral or go through a lengthy evaluation process.
  • Fast Funding: Many providers enable you to receive the funds within just a few hours of submitting your application.
  • Low Minimum Income Requirements: Some providers have low minimum income requirements, making them accessible to individuals with lower incomes.
  • Bad Credit Friendly: They allow you to access a loan even if you have a poor credit history. 


  • High Interest Rates: They typically come with high interest rates because lenders take more risk in offering these loans.
  • Limited Amount Available: The maximum amount available is usually limited.
  • Short Repayment Terms: These loans often have short repayment terms, which can make it difficult for individuals to manage their finances and pay off the loan on time.
  • Late Payment Penalty: Missing a payment can lead to late payment penalties.

What to Look For in an Unsecured Loan

When seeking a loan, carefully check the terms being offered. Understand the type of interest rate (fixed or variable), associated costs, and repayment schedules. 

Read the small print to understand the entirety of the agreement. With good credit, you may qualify for a favorable-priced personal loan

Contact your bank and credit union to explore the available offers.


What is the difference between secured and unsecured loans?

Secured loans use an asset, such as a house or car, as collateral to guarantee the loan. Unsecured loans do not need collateral and rely on the borrower’s creditworthiness.

Which bank is best for unsecured personal loans?

Traditional banks like TD, RBC, BMO, and CIBC offer personal loans. If your credit score is good, they usually offer favourable rates. You can look at other lenders or loan comparison sites like Loans Canada, LoanConnect, Mogo, and Loanz if your credit is subpar.

What credit score do you need for an unsecured loan?

A good credit score is generally 660 or higher. Scores below this might make loan approval harder.

Do unsecured loans hurt your credit?

Yes, missing payments or defaulting can damage your credit score. However, making timely payments can improve your credit score over time as well.


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Gravatar for Enoch Omololu

Enoch Omololu

Enoch Omololu is a personal finance expert. He has a master’s degree in Finance and Investment Management from the University of Aberdeen Business School (Scotland) and has completed several courses and certificates in finance, including the Canadian Securities Course. Enoch is passionate about helping others win with their finances and has written about money matters for over a decade. He has been featured or quoted in The Globe and Mail, CBC News, Yahoo Finance, GO Banking Rates, Financial Post, Bankrate, Forbes, Toronto Star, CTV News, and other personal finance publications. He founded Savvy New Canadians, one of Canada’s top financial education platforms.

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