Loans Canada Services Are 100% Free. Disclaimer

Personal Loans Burnaby 2019

Compare the best lenders in this region:
ProviderRating
Climb -
4 / 5
Pylo Finance 4 / 5
Fresh Start Finance 4 / 5
Marble Finance 5 / 5
Money Mart 4 / 5
Private Loan Shop 5 / 5
Progressa 3 / 5
My Canada Payday 5 / 5
Mr. Payday 4 / 5
Money Provider 5 / 5
Loan Express 3 / 5
Loan Away 4 / 5
Lendful 3 / 5
LendDirect 5 / 5
Health Smart Financial Services -
GoDay 4 / 5
iCash 5 / 5
Focus Financial Inc. 2 / 5
FlexFi 5 / 5
Eastern Loans 5 / 5
DMO Credit 5 / 5
Capital Cash 2 / 5
Credit 700 2 / 5
Credit Club 5 / 5
Credit2Go 3 / 5
Ledn 5 / 5
Amber Financial 5 / 5
Affirm Financial 5 / 5
310 Loan 2 / 5
Newstart Canada 4 / 5
Ferratum 5 / 5
SkyCap Financial 4 / 5
Fairstone 2 / 5
Lending Mate 4 / 5
Consumer Capital Canada 4 / 5
Lamina 3 / 5
Loans SOS -
514 Loans 5 / 5
CashCo 5 / 5
UrLoan 5 / 5
Loan Me Now 4 / 5
Captain Cash 4 / 5
BC Loans 4 / 5
Urgent Loans 4 / 5
Easy Financial 3 / 5
Mogo Finance 4 / 5
Cash Money 5 / 5
Borrowell 5 / 5
Magical Credit 5 / 5
Speedy Cash 5 / 5
ProviderRating
CLE Capital -
Canada Equipment Loan -
SharpShooter Funding 5 / 5
First West Credit Union 5 / 5
Meridian Credit Union 5 / 5
Laurentian Bank of Canada 5 / 5
HSBC Bank Canada 5 / 5
National Bank 5 / 5
Canadian Imperial Bank of Commerce (CIBC) 5 / 5
Scotiabank 3 / 5
Bank of Montreal (BMO) 3 / 5
Royal Bank of Canada (RBC) 5 / 5
CWB National Leasing 5 / 5
Money in Motion 5 / 5
Lease Link 5 / 5
FundThrough 5 / 5
Econolease Financial Services Inc. 5 / 5
Easylease Corp 5 / 5
Dynamic Capital 5 / 5
Capify 5 / 5
Canadian Equipment Finance 5 / 5
Capital Key 5 / 5
Cashbloom 5 / 5
BFS Captial 5 / 5
BDC 2 / 5
Baron Finance 5 / 5
B2B Bank 5 / 5
AOne Financial Solutions 5 / 5
Borrowell 5 / 5
iCapital 5 / 5
Lendified -
IOU Financial 5 / 5
Company Capital 5 / 5
OnDeck 5 / 5
Evolocity 5 / 5
Lending Loop 5 / 5
Thinking Capital 5 / 5
ProviderRating
Capital Trust Financial -
Canadian Truck Loan -
Canada Car Loans -
Car Loans Canada -
Car Creditex -
Auto Capital Canada 5 / 5
Carfinco 5 / 5
Canada Drives 5 / 5
Prefera Finance 5 / 5
Approve Canada 5 / 5
2nd Chance Automotive 5 / 5
Newstart Canada 4 / 5
SkyCap Financial 4 / 5
Splash Auto Finance by Rifco 5 / 5
Carloans411 5 / 5
AutoArriba 5 / 5
ProviderRating
Newstart Canada 4 / 5
BHM Financial 5 / 5
ProviderRating
CMLS Financials -
CHIP Reverse Mortgage -
CanWise -
Centum 5 / 5
Broker Financial Group Inc. 5 / 5
Bridgewater Bank 5 / 5
Alpine Credits 5 / 5

As a Burnaby borrower, it’s important to have proper financial tools on-hand to add convenience to your life and help you save money, such as credit cards, lines of credit, and loans. While this is true if you’re a Burnaby resident, the same can be said about living in any major city, where your daily expenses are often higher than average.

One of the more common credit products found in Burnaby is the personal loan. Keep reading if you’re interested in discovering the benefits that come with this solution.

Avoid these common personal loan application mistakes.

Personal Loans Application Check List

What Can a Personal Loan in Burnaby Be Used For?

A personal loan is a specific amount of cash that you can apply for through a lender. If you’re approved, the money will be deposited into your bank account soon after. While this is the most common process, keep in mind that it can vary depending on the lender you’re working with in Burnaby.

Once you have the money, you’ll follow a schedule that allows you to repay your loan through equally timed and divided installments. While repayment plans might be a bit more strict if you have bad credit or a low income, most lenders in Burnaby can adjust your schedule to meet your financial needs.

You can then use your cash to pay for just about anything. That said, any loan is a serious responsibility that can put you in debt for some time. So, it’s important to only use your borrowings for important expenses, such as:

  • Consolidation of unpaid debts
  • Unexpected travel costs
  • Elective surgeries and other medical bills
  • Repairs, accidents, and other vehicle costs
  • New furniture or other large purchases
  • Floods, broken appliances, or other home emergencies

Click here if you want to borrow money for a large purchase.

How Can a Personal Loan Improve Your Credit?

Another benefit that comes with a personal loan is the ability to make responsible payments and, in doing so, build and improve your credit score. That’s right, as long as you’re working with a lender in Burnaby that reports your payment activity to Canada’s credit bureaus (Equifax and TransUnion), you can see your credit score rise gradually with every payment you complete. If you keep this behaviour up, you’ll be more eligible for larger personal loans and more affordable interest rates in Burnaby.  

However, the opposite effect will occur if you default on any payments. The more late, short, and missed payments appear in your credit history, the worse your credit score will be. Unhealthy credit leads to lower chances of loan approval, smaller amounts of credit, and higher interest rates due to the increased risk that is imposed on your lender.

That said, you can improve your credit with a personal loan if you take some precautions, such as:

  • Compare your lenders in Burnaby and choose one with the best rates
  • Only apply for a loan amount that you can comfortably afford
  • Factor your potential payments and loan fees into your budget
  • Avoid any unnecessary debt that would jeopardize your payment plan
  • Check your credit report regularly for errors, fraud, and identity theft
  • Make timely and full payments, then monitor your credit as it grows over time

Wondering which credit bureau your lender checks? Find out here.

Minimum Credit Score for Loan Approval

Your credit score is a three-digit number ranging from 300 – 900 and represents your strength as a credit user. The higher your score is, the less risk you pose to a potential lender in Burnaby. Usually, this means you’re more likely to get approved for a larger, and less expensive loan. Typically, you won’t have much trouble if you apply with a credit score of 650 or up.  

Then again, most lenders have different standards for which borrowers they approve. For instance, a credit score below the 600 mark means you have bad credit, which may be due to multiple missed payments, identity theft, uncorrected credit report errors, or other financial problems. No matter what the cause, most prime lenders in Burnaby will unlikely to approve you.

While you can still get approved with a private, alternative, or bad credit lender in Burnaby, it will usually be for a lower loan amount at a more expensive rate, so make sure your score is in good standing before you apply.  

Canadian Credit ScoreCheck out this infographic for more information about what affects your credit score.

What Else Do Lenders in Burnaby Look For When You Apply?

Getting approved for a personal loan, especially a large one, is all about your ability to make payments on time. Therefore, all lenders in Burnaby, prime or subprime, will inspect your financial health prior to approving you. The stronger you are as a candidate, the better your approval odds will be.

For the best results, make sure you:

  • Have a stable source of employment
  • Are making a large enough income to support all associated costs
  • Establish an emergency fund in case you can’t work or lose your job
  • Improve your credit score as much as possible
  • Present recent bank statements, paychecks, or other proof of your income
  • Fill out your application honestly

Offering Personal Loan Security

If you have bad credit and/or low financial strength, you can always earn better approval odds and lower rates by offering up loan security, which can be done in two ways.

The first is known as collateral, meaning you would offer up one of your assets, such as your house, car, or another piece of property in exchange for a loan. This will make your loan “secured” and give your lender in Burnaby something to sell in the event that you default. The more valuable the collateral, the better the results. Proceed with caution if you go this route, as your asset may be at risk if you default on the loan.

The second kind of loan security comes in the form of a cosigner, meaning a candidate with stronger financial health than your own. In this case, they would be agreeing to take over your payments if you default. That said, taking over your payments could put your cosigner under significant financial strain, so make sure they’re aware of this before you apply together.

When Would a Credit Card Be Better?

Although personal loans come with all sorts of benefits, they’re also not the right financial tool for everyone. If you’re not sure you can handle the responsibility of this kind of product, it’s probably a safer idea to look elsewhere, rather than taking on a debt you can’t afford.

Instead, maybe your credit card is a better option because, rather than having to pay back a lump sum or through mandatory installments, you can withdraw from a revolving credit limit whenever you need and pay your balances back monthly. This option can be very beneficial, as you’ll only have to pay interest on the amounts you borrow, and will also be allowed to make minimum payments if you can’t afford full ones.   

Nevertheless, any credit card can also lead to a cycle of unmanageable debt under the wrong circumstances. Like any financial product, it must be used responsibly.

3 times you should choose a personal loan over a credit card, click here.

A credit card might be better than a personal loan in Burnaby when you:

  • Want the option of minimum payments
  • Need to pay for things quickly and finance them monthly
  • Have smaller (less necessary) consumer items to cover
  • Want to build credit quickly by making more than one monthly payment
  • Are offered various perks, such as reward points, travel insurance, etc.
  • Are trying to build your credit from the ground up

The Right Personal Loan When You Need it

If you’re looking for affordable personal loan options in Burnaby, Loans Canada can help. It’s our mission to help you find the best personal loans, lenders, and rates in Burnaby or any other city in Canada. Get started by submitting an application below.

FAQs

Can you get a loan with bad credit?

  • Yes, Canadians with bad credit can still qualify for a loan. Unsecured bad credit loans may be paired with higher interest rates, but consumers can still opt for a secured loan such as a car title loan to gain access to lower rates.

Will applying for a loan hurt my credit score?

  • If the lender performs a hard pull of your credit, yes your credit score will go down a few points. But it will recover over time. The most important thing is to make sure you don’t have too many hard pulls within a short period of time.

Can I pay off my loan early?

  • Yes, some lenders will allow you to settle your account early. Just keep in mind that you may be charged a prepayment penalty, which is typically a percentage of your remaining loan balance. Before you sign a loan contract make sure you understand the terms of your loan.

What is the difference between a secured and an unsecured loan?

  • A secured loan is backed by some form of collateral, typically an asset like a vehicle or piece of property. If a borrower defaults on a secured loan, the asset could be seized. An unsecured loan does not require collateral. The heightened risk of an unsecured loan may result in a higher interest rate, although this is usually a function of the applicant’s credit history.

How to tell if a lender is legitimate?

  • Choosing a legitimate lender can seem like a daunting task, but there are a few key factors to watch out for. For example, a legitimate lender will never ask for any form of upfront payment and should have many independent reviews you can look at online.

Can I transfer my loan to someone else?

  • Certain loans, for example, a car loan, can be transferred to someone else. But, a personal loan cannot be transferred.

Rating of 5/5 based on 1 vote.

How useful was this post?

Click on a star to rate it!

Posted by
Bryan completed the Cinema, Video, and Communications program in Dawson College and holds a Bachelor’s Degree in English Literature & Creative Writing from Concordia University. Bryan covers a wide range of topics for Loans Canada, including credit improvement, debt management, and all things related to personal finance. In his spare time, he maintains a passion for editing, writing film and television screenplays, staying fit, and traveling the world in search of the coolest sights our plan...

Services In This Region
Regional Service Directory
From the blog...
Make Sure You Understand These Financial Terms Before Getting a Loan
Posted on November 19, 2019

Make Sure You Understand These Financial Terms Before Getting a Loan

Taking on a loan is a serious financial decision, make sure you understand these terms first as they will help make the process as smooth as possible.

Can I Pay Off My Loan Early?
Posted on October 31, 2019

Can I Pay Off My Loan Early?

Thinking about paying off a loan early to save on interest or to get rid of any debt you have? Loans Canada has all the information and advice you nee... Read More

How Can I Get a Lower Interest Rate on a Loan?
Posted on September 26, 2019

How Can I Get a Lower Interest Rate on a Loan?

From our friends at Fairstone Financial, everything you need to know about how to get a lower interest rate on a loan.

Related Videos
How To Identify A Loan Scam
How Your Credit Score is Calculated
The Ins & Outs of Debt Consolidation
Note:

All consultations and conversations with Loans Canada and its partners are confidential and risk-free. Speak with a trusted specialist today and see how we can help you achieve your financial goals faster.

Loans Canada and its partners will never ask you for an upfront deposit, upfront fees or upfront insurance payments on a loan. To protect yourself, read more on this topic by visiting our page on loan scams.