In July of 2021, Canada Post and The Toronto-Dominion Bank (TD) announced a strategic partnership to give Canadians better access to financial services, particularly when it came to remote, rural, and Indigenous communities. Their first product was a pilot program for a flexible personal loan that could be used to cover emergency costs. Now referred to as the Canada Post MyMoney Loan.
What Is A Canada Post MyMoney Loan?
A Canada Post MyMoney Loan is a customizable personal loan that’s delivered by TD and offered through Canada Post offices in underserved regions. It has lower interest rates than other loan products and credit cards, as well as repayment plans you can adjust to suit your lifestyle.
Canada Post MyMoney Loans are also available via direct deposit to chequing accounts from other financial institutions but TD is responsible for funding all loans and managing any credit risk that applicants present. Currently, there are over 200 different Canada Post locations from coast-to-coast where you can apply for a MyMoney Loan.
Features Of A Canada Post MyMoney Loan
Here are some important things to know about Canada Post MyMoney Loans:
Loan Type
This is an unsecured personal loan, meaning there is no collateral or cosigner involved. Funds are sent to the receiver as a single lump sum.
Loan Amount
Qualified customers can borrow $1,000 to $30,000, which they may pay back at any point during their loan term, with zero additional charges.
Interest Rate
Borrowers of the Canada Post MyMoney Loan can choose a competitive fixed or variable interest rate, depending on their finances and credit score:
- Fixed = 7.28% to 16.78%
- Variable = Between 6.43% and 15.93%
- (TD Prime Rate + 3.73% to TD Prime Rate + 13.23%)
Loan Term
Canada Post MyMoney Loan payments may be divided over 1 to 7 years. Generally, longer terms result in more interest charged by the lender.
Payment Flexibility
Customers are allowed to select the frequency of their Canada Post MyMoney Loan payments too. Choices include:
- Weekly
- Bi-weekly
- Monthly
- Semi-monthly
Fees
One of the best things about the Canada Post MyMoney Loan is that it doesn’t have any fees until a payment is missed (prepayments are free).
Funding Time & Method
Loans are sent by direct deposit, so you can receive your funds almost instantly.
Cost Of A Canada Post MyMoney Loan
Just like a traditional loan, the final cost of your Canada Post MyMoney Loan can vary greatly depending on how much money you borrow, what type of payment term you have and which interest rate you qualify for. Here’s a chart to give you a better idea:
| Loan Amount | Interest Rate | Loan Term | Payment Size | Total Cost |
| $5,000 | 7.00% | 4 years | $119.73/month | $5,734.88 |
| $3,000 | 11.00% | 2 years | $32.17/week | $3,334.10 |
| $30,000 | 4.50% | 7 years | $208.34/semi-monthly | $34,916.32 |
| $10,000 | 16.78% | 1 year | $419.02/bi-weekly | $10,891.88 |
Eligibility Requirements For A Canada Post MyMoney Loan
Although this TD loan has easier requirements than a lot of other financing products offered by our Big Five banks, you’ll still need several key elements to apply for one.
To qualify for a Canada Post MyMoney Loan, you must:
- Be a permanent resident or citizen of Canada.
- Be at least the age of majority in your home province or territory (18 – 19+).
- Have a deposit account that accepts Canadian Dollars (CAD) with a participating Canadian financial institution (to receive your funds and make payments).
- Have not declared bankruptcy or had accounts in debt collections for overdue payments within the past 24 months.
Steps To Apply For A MyMoney Loan
You can easily apply for your Canada Post MyMoney Loan using these 4 steps:
1. Apply For The Loan
To start an application, visit the Canada Post MyMoney Loan webpage and click “Apply Now”. You’ll then go through a 5 – 10 minute loan application process, wherein you have to fill out general information about your financial profile and living situation, including your:
- Gross annual income from all relevant sources (before taxes).
- Monthly housing costs (rent/mortgage payments, property taxes & heating costs).
You can add your Social Insurance Number (SIN) to your application. While this isn’t mandatory, it’s recommended because it can help Canada Post and TD locate your credit profile.
2. Update Your Order & Make A Decision
After you submit this information, you should get a series of email messages, including:
- A confirmation that TD has received your application.
- TD’s approval decision on your loan.
- How to consent to the terms and conditions of your loan (if approved).
Keep in mind that it can take 1 – 2 business days for TD to reach a decision. Once you’re approved, the next email you get will guide you through the acceptance process and, if applicable, show you how to verify your identity so you can collect your funds.
3. Verify Your Identity
If your information requires updating or you don’t have a TD account, the approval email will feature steps to confirm your identity. You can also do this by visiting a Canada Post location with the unique verification barcode given in the email. In that case, make sure to bring a piece of government photo ID with you, like your passport or driver’s license.
4. Receive Your Loan Funds
Shortly after you confirm and activate your Canada Post MyMoney Loan, you’ll receive all funds by direct deposit to your chequing account through any financial institution in Canada.
Canada Post MyMoney Loan FAQs
Do I need to be a TD client to qualify for this loan?
Can I get a Canada Post MyMoney Loan with no credit history?
Can I offer collateral to obtain a larger loan?
Can I pay my loan off early without penalty?
What can I use my loan for?
Bottom Line
Canada Post MyMoney Loan is a pilot product managed by two major Canadian companies; Canada Post and The Toronto-Dominion Bank (TD). It’s more flexible and affordable than many other financing products you’ll come across these days. If you’re looking for financing, particularly in an under-served region, you should look into Canada Post My Money Loan.
