Trust check
Is Magical Credit legit?
Magical Credit has been lending for over a decade, is licensed in the provinces they lend in, has a strong BBB rating and publishes their privacy policy. They are also CLA certified.
Magical Credit: Overview
If you've been turned down by your bank and need to quickly cover the cost of an expense, Magical Credit could be the lender for you. They specialize in working with low-income earners and bad credit consumers, and they look at your income rather than just your credit score.
Magical Credit has been helping Canadian consumers get approved for quick personal loans since 2014. They offer two types of personal loans: Magical Installment Loans and Magical Cash Loans. Their number one goal is to provide access to the loan solutions Canadians want and need, because they believe everyone deserves the chance to borrow when they need it.
Who Is Magical Credit Best For?
Magical Credit can be a good fit for you if:
- You have bad credit and need a bigger loan. Magical Credit specializes in bad credit loans. You can get an installment loan up to $20,000, with flexible payments.
- You have an urgent need for fast cash. A Magical Cash Loan of $100 to $1,500 is usually deposited within a few hours of final approval, and the online application takes about five minutes.
- You recieve benefits. Magical Cash Loans accept Employment Insurance and WSIB as a source of income.
What Does Magical Credit Offer?
Magical Credit offers two types of personal loans, plus merchant cash advances for Ontario businesses through their sister brand, Magical Business.
Magical Installment Loans
You can get between $1,500 and $20,000. Installment loans are available to Ontario residents, and you'll need employment income, though benefits like CPP, private pension or the Canada Child Benefit can count as a second source of income.
These are personal loans that you repay in installments. Plus, you can pay them off early with no penalty.
| Loan Amount | $1,500 to $20,000 |
| Interest Rate | 34.86% APR |
| Term | 12 to 78 payments, weekly, biweekly, semi-monthly or monthly |
| Funding Time | Usually within 24 hours, by direct deposit |
| Availability | Ontario |
Magical Cash Loans
Magical Credit also offers cash loans to residents of Ontario, British Columbia, Northwest Territories, Nunavut, and Yukon. You can get up to $1,500, and you repay the full amount in one payment on your due date.
| Loan Amount | $100 to $1,500 |
| Cost | $14 per $100 borrowed |
| Term | One payment on your next payday, 14 days in their examples |
| Funding Time | Within a few hours of final approval, by direct deposit |
| Availability | Ontario, British Columbia, Northwest Territories, Nunavut, and Yukon. |
Magical Business Merchant Cash Advances
If you run a registered business in Ontario, Magical Business offers merchant cash advances of up to $300,000. You repay a share of your daily or weekly sales, so payments are smaller when sales are slow.
| Amount | Up to $300,000 |
| Cost | Set in your offer |
| Repayment | A percentage of your daily or weekly sales, collected automatically |
| Funding Time | About 24 hours after you accept your offer, wired to your business account |
| Availability | Registered businesses operating in Ontario |
Features
- Loans Are Unsecured: No collateral is necessary for approval.
- Flexible Payment Schedule: Installment loan payments can be weekly, biweekly, semi-monthly or monthly, so they line up with your paycheque.
- No Prepayment Penalty: You can make extra payments or pay off your loan early at any time.
- Instant Bank Verification: Your bank shares a read-only copy of 90 days of statements, which speeds up your approval.
- Loan Calculator: Their calculator gives an estimate of your potential loan costs before you apply.
- Optional Loan Protection Plan: You can add coverage to an installment loan, and its cost is included in your payment.
- Referral Bonus: Current and past customers get a $200 cheque when a friend they refer is approved for a cash loan.
How Fast Can You Get Your Money From Magical Credit?
For the Magical Cash Loan, you may be funded within within a few hours after approval. Installment loan are typically deposited within 24 hours.
How Can I Get Approved By Magical Credit?
Magical Credit specializes in bad credit loans, so qualifying with them may not be as tough as with a bank or other prime lender.
| Requirement | Magical Installment Loan | Magical Cash Loan |
|---|---|---|
| Age | 18 or older | The age of majority in your province (18 or 19) |
| Residency | Canadian citizen or permanent resident living in Ontario | Canadian citizen or permanent resident in Ontario, British Columbia, Northwest Territories, Nunavut, and Yukon. |
| Income | Employed for the past 3 months, with your pay deposited directly into your bank account. Government income (Child Tax Benefit, CPP, etc.) or a private pension can be a second source of income | Consistent income for the past 3 months, at least $1,500 a month. They accept employment income (full-time, part-time or self-employed). EI and WSIB is also accepted as a source of income. |
| Bank Account | Canadian bank account | 90 days of bank statements for Magical Credit to review |
| Credit Check | Soft check on every application, hard check once you're approved | No credit check |
| Past Loans | A history of paying off your loans, and no current bankruptcy or consumer proposal | – |
Income Magical Credit Accepts
Magical Credit accepts a wide variety of incomes, including but not limited to:
Magical Cash Loans:
- Employment income (Full time, part time and self employment)
- WSIB
- Employment Insurance
Magical Installment Loan
- Employment income
- Canada Child Benefit
- CPP
- Private pensions
Documents Required To Apply
Magical Credit doesn't require any documents to approve your loan. Their system looks at each application individually, so you won't need a lot of paperwork. Instead, you'll share:
- 90 days of read-only bank statements through Instant Bank Verification, which your bank sends to Magical Credit securely. Your income deposits can be via e-transfers, cheques or direct deposit.
- Your Social insurance number (SIN).
How To Apply For A Loan With Magical Credit
To apply for a loan from Magical Credit, follow these simple steps:
How Much Your Loan May Cost
Here's what a Magical Installment Loan can cost each month, and a Magical Cash Loan costs $14 per $100 borrowed. Before you apply, add the payment to your budget to make sure you can cover it along with your other bills.
Magical Installment Loan
| You Borrow | Term | Monthly Payment |
|---|---|---|
| $2,000 | 18 months | $198.93 |
| $5,000 | 36 months | $300.40 |
| $15,000 | 72 months | $646.65 |
Repayment amount includes optional Loan Protection Plan coverage. Loan amount and payment amount subject to change upon final loan approval.
Magical Cash Loan
| You Borrow | Cost Of Borrowing | Total You Repay |
|---|---|---|
| $100 | $14 | $114 |
| $300 | $42 | $342 |
| $500 | $70 | $570 |
| $1,000 | $140 | $1,140 |
| $1,500 | $210 | $1,710 |
These numbers are for illustrative purposes only. Actual numbers may vary.
Is Magical Credit Licensed?
Magical Credit Inc. holds payday lender licences in Ontario and British Columbia and is a registered Ontario corporation. They also offer cash loans in the Northwest Territories, Nunavut and Yukon, which don't license private lenders.
Magical Credit Inc., Ontario corporation 2393116, active since October 24, 2013Verified
Consumer Protection BCVerified
What Do Consumers Think Of Magical Credit?
Magical Credit customers rate them highly, with a 4.6 on Trustpilot from 326 reviews, and the BBB gives them an A. The ratings below were last checked on October 28, 2026.
Claimed since January 2019, and they reply to every negative review.
Not BBB accredited. 4 complaints in the last three years.
Magical Credit has been lending to Canadians for 12 years.
What Are The Pros And Cons Of Magical Credit?
Magical Credit's biggest strengths are their single fixed rate, income-based approval and payments reported to both credit bureaus. The main things to watch are where they lend and the cost of a cash loan.
Pros
- Larger loan amounts than a payday loan: Installment loans go up to $20,000, compared with a $1,500 limit on a payday loan.
- No penalty for paying early: They won't charge you for paying your loan off early or making extra payments.
- No credit check for cash loans: Cash loans don't need a credit check, and installment loan applications start with a soft check that won't affect your score.
- Can help you build credit: Timely payments are reported to Equifax and TransUnion, which looks good on your credit report.
Cons
- Installment loans are for Ontario only: While installment loans are only for Ontario residents, cash loans are also available in British Columbia, the Northwest Territories, Nunavut and Yukon.
- Cash loan terms can't be extended: While cash loans can't be extended or renewed, you can repay early with no penalty and apply again once your loan is paid off.
Magical Credit vs easyfinancial vs Spring Financial
Comparing Magical Credit, easyfinancial and Spring Financial on loan amount, interest rate, term, availability, funding time, funding method, repayment options, eligibility and required documents, as listed by each lender.
| Feature |  Magical Credit Magical Installment Loans Visit site Learn more |  easyfinancial Personal Loan (Unsecured) Apply now Learn more |  Spring Financial Personal Loan Apply now Learn more |
|---|---|---|---|
| Loan amount | $1,500 – $20,000 | $500 – $150,000 | $500 – $35,000 |
| Interest rate | 34.86% | 9.99% – 34.95% | 9.99% – 34.95% |
| Term | 12 – 78 payments months | 9 - 240 months | 6 – 84 months |
| Available in | ON | All provinces | All provinces |
| Funding time | Usually within 24 hours | 24 hours+ | Same day for e-Transfers 2 – 3 days for EFT |
| Funding method | Direct deposit |
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| Repayment | Direct deposit | Automatic debit | Bi-weekly or monthly repayment plans |
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Figures are as listed by each lender and can change. Check the lender's site before you apply.
Other Ways To Cover A Short-Term Expense
Try A Cash Advance App
When the gap is a few hundred dollars and your next paycheque is only days away, a cash advance app can cover it for a small monthly membership or an optional tip, usually with no credit check. The app takes the amount back from your bank account when your pay comes in.
| Lender | Product | Interest Rate | Amount | Fees | Availability | Apply |
|---|---|---|---|---|---|---|
 Bree | Cash advance line of credit | 0% | Up to $750 | No mandatory feesOptional fee for express delivery |
| Apply |
 Nyble | Credit building line of credit | 0% | Up to $250 | FreeOptional $11.99/month membership fee with added perks |
| Apply |
 KOHO Cover | Cash advance | 0% | Up to $500**Eligibility criteria and Terms and Conditions apply. | Starting at $2/monthCover bundle subscription; KOHO account required |
| Sign up |
 Spark Access | Loan | 28.9%About 29.9% APR with the $1 access fee. May drop as you unlock bigger loans | $100 – $2,500On-time payments unlock higher amounts | One-time $1 access feeOptional Spark Plus: $9.99 bi-weekly |
|
Check Out Your City Services
Before you borrow, call 211 or visit 211.ca to find free local help. A 211 navigator can point you to emergency funds, food banks, utility relief and rent support in your area, and none of it has to be paid back.
Final Thoughts
Magical Credit is a good fit for Canadians who need fast cash, including those with bad credit or benefits on top of their pay. Their installment loans go up to $20,000, much more than you'd get with a payday loan, at one fixed rate with no penalty for paying early. If a bank has turned you down and you need money quickly, a loan from Magical Credit is worth a look.
