Whether you have an unexpected bill that pops up, a medical issue, or a home emergency it can be hard to get your hands on the money you need when you need it. That’s when a quick cash loan can come in handy. While charging a large amount to your credit card can be a quick and convenient way to cover an expense, it can be expensive. Most credit cards come with high-interest rates. Instead, a low-interest quick cash loan may be a better option.
Can You Get A Quick Cash Loan In Canada?
Yes, you can get a quick cash loan to cover an urgent expense. Perhaps your car needs immediate repair, or maybe you have an emergency medical bill to pay. Whatever the situation may be, a quick cash loan can help cover any debt or expense right away.
While big banks and credit unions might take days or longer to approve your loan application and provide you with your borrowed funds, alternative online lenders streamline the entire loan process. In many cases, you can get approved and funded within hours or even minutes.
Moreover, with many alternative lenders you don’t need any asset of value to collateralize the loan, like your home or car, nor do you need good credit to get approved. Plus, the funds can be used for whatever purpose you see fit with no restrictions.
| Amount | APR | Term (Months) | Types of Loan | Funding Time | ||
 Lending Mate | Up to $10,000 | 35% | 36 – 60 | Guarantor loan | With 24 hours | More Info |
 Magical Credit | Up to $20,000 | 19.99% – 35% | 6 – 60 | Personal loan | Same day | More Info |
 LendDirect | Up to $15,000 | 34.99% | Open-end | Line of credit | Same day | More Info |
 iCash | Up to $1,500 | $14 per $100 borrowed | Up to 62 days | Payday loan | Within 24 hours | More Info |
 Captain Cash | $500 – $750 | 28% – 34.4% | 3 | Short-term loan | Same day | More Info |
 Cash Money | Up to 10,000 | – | 6 – 60 | Personal loan | Typically within 24 hours | More Info |
 Cash 4 You | $1,000 – $15,000 | 34.37% | 12 – 60 | Personal loan | Within 24 hours | More Info |
Types Of Quick Cash Loans You Can Get From a Private Lender
There are a number of lenders who provide quick cash loans in Canada. Payday lenders, private personal loan lenders and auto title loan lenders are all common lenders that offer quick cash loans.
Personal Loans
Personal loans are repaid in installments over a period of time, usually between 6 to 60 months. The amount borrowed can range between $500 and $50,000 depending on the lender and your financial profile. Personal loans are preferable to payday loans because they provide you with more time to repay the loan and have a much lower APR (2.99% – 35%).
Payday Loans
Payday loans are small short-term loans that you have to pay back by your next payday. Most payday lenders provide loans between $50 – $1,500, with an APR of up to 500%. These loans are very expensive and are usually paid back with one single payment within 14 days.
Car Title Loans
A car title loan is a loan that is secured by your car. Meaning, if you default on your payments, the lender has the right to seize your car as payment. A car title loan allows you to borrow money against the value of your car, so you cannot borrow an amount that exceeds the value of your car. While these loans are easy to get approved for because they are secured, they are often more expensive.
How To Get A Quick Cash Loan In Canada
Like traditional lenders, private lenders look at your credit scores to determine your credibility as a borrower. However, depending on the lender you choose and the type of loan you want and how much, other factors may be looked at including income, employment stability, debt-to-income ratio and more.
Similarly, depending on which lender you choose, each of these factors will vary in significance. Some lenders, in particular, bad credit lenders don’t put much emphasis on credit scores. Rather they base the creditworthiness of a borrower based on income and other financial aspects like debt-to-income ratio and employment stability.
So, when applying for a loan be sure to consider if you meet the requirements of the lender you are applying with to increase your chances of approval. It’s a good idea to check your credit score before applying to see where you stand.
What Documents Do I Need When Applying for a Quick Cash Loan?
In general, when applying for a loan with a private lender, you’ll have to provide documents to prove your identity and income. Here is a basic checklist of what you’ll need when applying for a personal loan.
- Personal Identification Documents – You’ll need certain documents to prove your identity and address. This may include a government-issued photo ID, your SIN# and your contact information.
- Financial Documents – Lenders will also require some financial documents to verify your income, employment and financial health. This may include pay stubs, bank statements and an employment letter.
- Bank Documents – For funding and repayment purposes, your lender may require a void cheque or direct deposit form.
How Much Will A Quick Cash Cost?
The cost of your quick cash loan will vary on numerous factors including whether you choose to get a personal loan or a payday loan, your income level, your credit profile and your overall financial health.
| Personal Loan | Payday Loan | |
| Loan Amount | $1,500 | $1,500 |
| Interest Rate | 12.99% | $15 per $100 borrowed* |
| Loan Term | 6 months | 14 days |
| Payment | $259.56/per month | $1,725 (lump sum) |
| Total Paid | $1,557.34 | $1,725 |
| Total Interest | $57.34 | $225 |
Pros And Cons Of A Quick Cash Loan With A Private Lender
If you decide to work with a private lender to get a quick cash loan, you should be aware of not just the pros but the cons that come with working with a non-traditional lender.
Pros
- High Approval Rates – Private lenders are more accepting of borrowers with less than perfect credit profiles. Their requirements are usually more lax, making it possible for more borrowers to get approved.
- Quick Cash – As mentioned, private lenders basically cut out the middle man, which means less paperwork and faster approvals. In fact, some private lenders fund borrowers the same day they apply.
- No Credit Checks – Many lenders use alternative ways to determine creditworthiness. Rather than checking your credit score, they will look at income, job stability and debt-to-income ratio.
- Convenient – Unlike banks, you can complete the entire loan process online, from applying to verifying to receiving your funds.
Cons
- High-Interest Rates – Private lenders charge higher rates due to the lower requirements and added risk they take by lending to people who are more likely to default on payments.
- Fees – Beware or origination fees, administrative fees, penalty fees and other related fees that many private lenders charge.
- Predatory Lenders – Unfortunately, when looking for loans online with quick approval you’ll inevitably come across a few predatory payday lenders. These types of lenders are looking to take advantage of people who need cash fast.
Bottom Line
If you’re looking to get a quick cash loan you can complete a majority of the process online and from the comfort of your own home. Whether you need to cover an urgent car repair or an emergency medical bill, a quick cash loan can help make the cost more affordable.
