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Payday Loans Victoria 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

While it still costs significantly less than other places like Vancouver and Toronto, the cost of living in Victoria is on the rise. Many individuals may make enough to be able to afford these high costs, but others will struggle to make ends meet every month. For these people, one of the most readily available options for additional cash is payday loans.

Payday loans are small short term loans that can often be applied for an approved incredibly quickly. Because they are so easy to get and quick to approved, they often come with high interest rates fees.

How to Break The Payday Loan CycleFor even more information about the payday loan cycle of debt, click here.

What is the Payday Loan Cycle?

If you utilize payday loans, it’s a good idea to be aware of the payday loan cycle. The payday loan cycle is a cycle of debt that you can easily get trapped in by using payday loans and not being careful. The payday loan cycle follows a very clear path.

  1. The cycle begins when you find yourself short on cash due to something like an emergency, surprise bill, or other expense.
  2. You need money quickly, and a payday loan is the only option quick enough for you.
  3. Because payday loans are easy to be approved for, you get one and have the money you need.
  4. While you have reached the date of your next payday from work, you are still recovering from that initial emergency or expense, or have to use the money on things like rent or food.
  5. As a result, you have very little money left and cannot afford to pay the high fees and the interest rate on your initial payday loan.
  6. You take out a second payday loan to cover the cost of the first one.

As you can see, getting stuck in this cycle for months and sometimes years is definitely possible and unfortunately quite common. This can make it incredibly hard to make any progress or reach any financial-related goals.

Need some debt relief for payday loans? Read this.  

Is a Payday Loan Ever a Good Option?

While the payday loan cycle should definitely be avoided, it is unfair to say that payday loans are always a bad idea. While we wouldn’t suggest that everyone in need of some extra cash take out a payday loan. If you can 100% guarantee that you’ll be able to repay the loan in full on your next payday, this type of loan could work for you and is often less expensive than using a credit card, but of course this is only if you repay you the loan on time.

You should never use a payday loan for the following reasons:

  • When your bills already take up most of your income, as you won’t have much left to pay back the money you borrowed
  • When you need cash for something that lacks importance such as a new video game or that new pair of expensive shoes
  • When your income is unstable

If you use a payday loan for these reasons, it simply doesn’t make financial sense and could do much more harm than good. If you are concerned about whether a payday loan makes sense in your situation or not, typically it’s better to steer clear of them.

The True Cost of BorrowingTake a look at this infographic to learn all about the true cost of borrowing.

Payday Loan Alternatives in Victoria

So as you can see, there are both good and bad times to use payday loans. If you feel that payday loans might not be for you, don’t worry. There are several other options that you can utilize to get the cash you need. These include:

  • Getting a standard installment loan. Sure, it may take longer to be approved for and you won’t get your money as quickly, but it will be much cheaper for you.
  • Borrow money from friends or family members if you are able to.
  • Use credit cards. But be aware, that these aren’t much better and could be expensive if you miss payments.
  • You could get a vehicle title loan if you own your vehicle.
  • In a similar vein, you could get a HELOC if you have equity in your home.

Wondering how you can build home equity in Canada? Find out here.

Is a Payday Loan Really Right for You?

Considering a payday loan to get yourself out of trouble? If so, be sure to weigh all your options before moving forward. Loans Canada can help match you with an alternative option to meet your needs.

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.

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Posted by
After dipping his toes into freelance writing while still enrolled in school, Kale decided to pursue freelance writing as his career after earning his Bachelors degree from the University of Regina. In his six-year career as a professional writer, Kale has focused on writing about finance, technology, cryptocurrency, entertainment, and sports. Kale work has been published on Yahoo, RentHop, the Regina Leader-Post, and ReboundFinance.com. Kale loves to create a wide variety of personal financ...

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