How To Get A Bad Credit Loan In Newfoundland and Labrador
Filters
- Amount
- Up to $35,000
- Rate
- 9.99% – 34.95%
- Term
- 9 – 78 Months
- Amount
- Up to $60,000†
- Rate
- 19.99% – 34.99%*
- Term
- 6 – 120 months
- Amount
- Up to $10,000
- Rate
- Varies by product
- Term
- Varies by product
If you’ve got bad credit, it can get in the way of securing a traditional loan. The good news is, bad credit loans in Newfoundland and Labrador are available and offer financial relief for those with low credit scores, making financing more accessible. With flexible terms and more lenient approval requirements, these loans can help you get access to funds while you work towards rebuilding your credit.
Read on to find out all you need to know about getting a loan with bad credit in Newfoundland and Labrador.
What To Expect When You Apply For A Bad Credit Loan In Newfoundland & Labrador
Bad credit loans are typically characterized by the following:
| Loan Amount | Up to $35,000, though some lenders may offer more if you back the loan with collateral |
| Loan Term | 6 to 60 months |
| Interest Rate | Higher rates than banks, with APRs between 9.99% and 35% |
| Funding Method | Direct deposit or e-Transfer |
Requirements For A Bad Credit Loan In Newfoundland & Labrador
Bad credit loan criteria varies by lender, though certain requirements are relatively standard:
- Be a Canadian resident.
- Be the age of majority in Newfoundland & Labrador (19 years).
- Meet the lender’s minimum income requirements. Some lenders may accept income from sources other than employment, like government benefits or pension income.
- Have a low debt-to-income (DTI) ratio, typically no higher than 44%.
Is My Credit Score Bad? Follow This Simple Table As Your Guide
- Excellent (Scores 760+)
- Very Good (Scores 759 – 725)
- Good (Scores 724 – 660)
- Fair (Scored 659 – 560)
- Poor (Scores 559 – 300)
How To Check Your Credit Score Online
| Cost | Credit Score | Credit Report | ||
 | Free | Yes | Yes | Visit Site |
 | Free | Yes | Yes | Visit Site |
 | Free | Yes | Yes | - |
How To Apply for a Loan If You Have Bad Credit
Here are some steps you can take to get a bad credit loan:Step 1. Compare Lenders And Get Pre-Approved
To get the best loan terms, compare loan offers from multiple lenders. You can do so by getting pre-approved with a particular lender or by using an online loan aggregator site like Loans Canada. You can then compare offers side-by-side and choose the one that best suits your needs.Step 2. Apply For A Loan
Depending on the lender you work with, you may apply in person or online. To accurately assess your financial situation and verify your identity, lenders usually require certain documents for review, including a government ID, pay stubs, and bank account statements. Sometimes, you won’t require any physical documents as the whole verification process can be done via instant bank verification (IBV) services like Flinx, Plaid and Yodlee. You’ll be asked to sign into your bank account through a secure portal during your application process. This allows lenders to receive a read-only bank statement and have your bank account verified instantly.Step 3. Get Funded
If you’re approved, you may receive your funds within a few minutes to 24 hours via e-transfer or electronic bank transfer.Can I Apply For A Bad Credit Loan Online?
Yes, you can apply for a bad credit loan online no matter where you’re located in the province, whether it’s St. John’s, Labrador City, Gander, Corner Brook, or elsewhere. In fact, many bad credit lenders solely provide online loans without any physical stores.
Benefits Of Applying For A Loan Online vs. In-Person
There are several reasons to apply for a bad credit loan online:
- Convenience: You can apply for a loan no matter where you are from the comfort of your home without having to physically visit a lender. Plus, many online lenders accept loan applications 24 hours a day, 7 days a week.
- Quick Approval & Funding: An increasing number of online lenders use instant bank verification (IBV) to verify your income in seconds. With this technology, your loan can be approved and funded very quickly, often on the same day you apply.
- Streamlined Process: With online loans, you can apply and upload documents all online. Once your loan is approved, you can even sign the contract electronically, then receive your funds via direct deposit or e-Transfer.
Learn more: Is It Better To Apply Online Or In Person For A Loan?
Where Can I Find A Bad Credit Loan Near Me?
If your loan application has been denied by your bank because of your bad credit score, you may find what you need by working with an alternative lender. Many lenders across Newfoundland work specifically with bad credit borrowers in the province and use other criteria instead of your credit score to assess your creditworthiness.
Bad Credit Loans In St. John’s
| Fairstone | – 15 – 25 Kenmount Road, St. John’s, NL, A1B 1W1 – 70 Hamlyn Road, Suite 105, St. John’s, NL A1E 5X7 – 464 Torbay Road, St. John’s, NL A1A 5J3 | Learn More |
| easyfinancial | – 95 Stavanger Dr., Unit C0003, St. John’s, NL, A1A 5V9 – 45 Danny Drive, St. John’s, NL A1H 0N4 – 80 Kenmount Rd, Unit 3, St. John’s, NL A1B 3R1 | Learn More |
| Cash Money | – 470 Topsail Road, St. John’s, NL A1E 2C3 – 330 Torbay Rd, St. Johns, NL A1A 2H3 | Learn More |
| Money Mart | – 378 Rothesay Ave, Saint John, NB E2J 2C4 | Learn More |
What Are Your Rights When Applying For A Loan With Bad Credit In Newfoundland & Labrador?
Newfoundland and Labrador was the first province in the Atlantic region to set regulations specifically designed for high-cost credit lenders.
Lenders in this province are required to follow specific rules under the Consumer Protection and Business Practices Act, as well as the High-Cost Credit Product Regulations and the High-Cost Credit Product Licensing Regulations. These measures were put in place to better protect borrowers who take out loans with high costs.
More specifically, legislation or high-cost credit products requires the following compliance from lenders in the province:
- Lenders must be licensed by the Director of Consumer Protection and Business Practices.
- Lenders must clearly display their license number at each physical location and their website if they operate online.
- Lenders must clearly state that the product is a high-cost credit product.
- Borrowers have the right to cancel their agreement within 4 business days without penalty.
- Maximum interest rate for payday loans is $14 per $100 borrowed, while for other loans, the maximum rate is 35% APR.
How To Increase Your Odds Of Getting A Loan With Bad Credit
To boost your chances of loan approval with bad credit, consider these steps:
- Wait For Recent NSF Fees To Clear: If you’ve had any NSF (non-sufficient funds) transactions in the last 2 to 3 months, it might hurt your chances of getting approved for a loan. Lenders will check your bank statements, and if they see NSF fees, they may hesitate to approve your loan application, or may charge higher interest rates. Given this, you may want to wait until your statements are clear of NSF fees for at least 60 to 90 days.
- Consider A Cosigner: Adding a cosigner with good credit can make it easier for you to qualify for a loan. With a cosigner, the lender will focus on their financial situation rather than just yours. Keep in mind that if you default, the cosigner will be responsible for payments.
- Lower Your Debt-to-Income (DTI) Ratio: A DTI over 44% is seen as risky. Think about paying down some debts to boost your chances of approval.
- Apply For A Lower Loan Amount: The smaller the loan amount, the higher your chances of getting approved. This is because it poses less risk to the lender and generally requires a lower income.
- Improve Your Credit Score: If you have bad credit, there are a few things you can do to help you improve your credit, including:
- Paying your bills on time
- Disputing errors on your credit report
- Lowering your debt-to-income ratio
- Using credit building products
| Tip: If you’re not in a rush for borrowed funds, consider waiting before applying. During this time, take steps to improve your credit score, as this will boost your odds of loan approval with lower rates. Consider taking out a secured credit card, open a savings loan, or enrol in a credit building program to give your score a boost. |
Other Loans You May Want To Consider If You Have Bad Credit
If you have bad credit, there are several loan options available beyond personal loans you may want to consider.
Payday Loans
Payday loan lenders typically don’t conduct credit checks, making them suitable for bad credit borrowers. These loans are made for no more than $1,500 and come with very short repayment terms up to 62 days. Repayments are usually made in one lump sum, rather than in installments like personal loans.
You may even be able to use government benefits and pension income as your source of income, rather than traditional employment income. However, keep in mind that payday loans can be very expensive and difficult to repay on time due to their short repayment terms.
Learn more: Payday Loans
Cash Advances
If you’re in urgent need of a small amount that doesn’t require a credit check, consider a cash advance from one of the following service providers:
- Bree: Get up to $500 interest-free with Bree.
- Nyble: Use Nyble to access up to $250 without interest.
- KOHO Cover: KOHO offers up to $250 interest-free.
If you have a credit card, you may also consider a credit card cash advance. This option allows you to access funds up to your credit limit, though interest charged on the withdrawn amount starts to accrue immediately, and rates tend to be higher compared to purchase rates.
Secured Personal Loans
If you have an asset of value, such as a car or house, you can use it as security for a loan. A secured loan reduces the lender’s risk, especially when borrowers have bad credit. Here are a few secured loan options to consider:
- Auto Title Loan — An auto title loan is a quick loan that allows you to borrow money by using your car as security. Since approval depends more on your car value, having bad credit may not impact your ability to secure funding.
- Home Equity Loan — A home equity loan allows homeowners to borrow money based on the value of their home. If you own a home, you may be able to use this financing option to access up to 80% of your home’s value to cover a variety of expenses. Then, you’ll repay the borrowed funds in installments over time.
Auto Loans
Getting a car loan with bad credit is possible. In fact, these loan types may be easier to get approved for compared to unsecured personal loans since they’re backed by collateral. This reduces the lender’s risk and increases your odds of loan approval.
Newfoundland & Labrador Loan Scams To Watch Out For
Even if you’re desperate for fast cash, it’s always important to protect your financial information from those looking to take advantage of your bad credit situation.
When you’re looking for a credit product of any kind, especially one for bad credit, always do as much research as you can to confirm that your potential lender is legitimate and avoid loan scams.
Loan Scam Warning Signs
Keep your eye out for any of the following red flags that may point to a loan scam:
- Lender asks for “loan insurance” – No legitimate lender will ever request an upfront payment before you receive your loan. If a lender says you’re required to pay for insurance before the funds are dispersed, they’re trying to scam you.
- No solid reputation – Any good lender in Newfoundland and Labrador should have a reputation that’s backed by customer reviews, an online presence, and valid contact information.
- Won’t provide all relevant information – Any real lender will be fully transparent about all loan details. This includes the exact terms and conditions, as well as how much your loan will cost by the end of your payment period.
| Did You Know? The average non-mortgage debt per consumer in Newfoundland & Labrador reached $24,770 in Q1 2025 (Equifax). Younger and lower-income borrowers risk missed payments on credit products, like credit cards and personal loans. If you’re having difficulty managing your debt, consider consolidating your debt or reaching out to a credit counsellor to discuss suitable options for you. |
Alternative Sources For Financial Support
The Canadian government offers several programs that may be helpful in alleviating your financial burdens:
| Employment Insurance (EI) | Learn More |
| Canada Child Benefit (CCB) | Learn More |
| Maternity/Parental Leave | Learn More |
| Federal Disability Tax Credit | Learn More |
| Compassionate Care Benefits | Learn More |
| GST/HST Tax Credit | Learn More |
| Green Tax Credits | Learn More |
Other Financial Assistance Programs In Newfoundland
If you’re struggling financially, a bad credit loan may help alleviate your troubles temporarily. But rather than rely solely on a loan, other programs in Newfoundland can provide you with free food, legal aid, affordable child care, etc.
Here are a few to help you get started:
Parental Support And Resources
A handful of resources are available to parents to cover the cost of various expenses. For instance, Brighter Futures’ Healthy Baby Club provides support and resources for pregnant mothers. Items and resources include food vouchers, cooking sessions, lifestyle counselling, prenatal education, transportation, and child care.
Expectant and new mothers are eligible to apply. To find out more, call 709-739-8096 or email karen@brighter-futures.net.
Pregnancy Resources
Expectant mothers from low-income households may be eligible to access free pregnancy resources and support from the Centre for Life. Resources and support include free pregnancy tests, infant clothing and other baby items, counselling, maternal support, and referrals to community networking support services.
The program requires an application to access these resources. To find out more, call 709 579-1500, email centreforlife@centreforlife.ca or visit www.CentreForLife.ca.
Legal Aid
If you’re in legal trouble and can’t afford sky-high lawyer fees, you may be eligible for legal aid in Newfoundland. The Newfoundland and Labrador Legal Aid Commission provides free legal support for residents of the province who meet financial eligibility criteria. Legal matters include family law, criminal law, immigration law, administrative law, and traffic violations.
To access legal aid, you must apply online or make an appointment. Call 1-800-563-9911 or email nlac@legalaid.nl.ca to find out more.
Food Banks
Newfoundland residents who are finding it difficult to put food on the table due to rising grocery costs may obtain everything they need from one of several food banks across the province. Each food bank serves local residents.
- Divine Mercy Food Bank, 101 MacDonald Dr., St. John’s, NL, A1A 0E4
- St Peter’s Parish Food Bank, 110 Ashford Dr., Mount Pearl, NL, A1N 3L6
- Food Bank Network of the Bay of Islands, 6 Herald Ave., Corner Brook, NL, A2H 4B4
- Bonavista and Area Food Bank, 28 Church St., Bonavista, NL, A0C 1B0
Final Thoughts
If you’re struggling to get a loan because of bad credit, you have options. Bad credit loans are readily available in Newfoundland and Labrador and can provide you with some financial relief. Until you’ve had a chance to boost your credit score, these loans allow you to access the funds you need in the meantime.
Bad Credit Loans Newfoundland FAQs
What kind of income is needed for a bad credit loan in Newfoundland and Labrador?
How can I get a loan in Newfoundland and Labrador with no credit check?
How can I get a lower interest rate with bad credit?
®Fairstone Financial Inc. is a wholly owned subsidiary of Fairstone Bank of Canada.
*Interest rates are subject to change. Actual Annual Percentage Rate (APR) varies based on the province of residence and individual factors like credit details and loan amount. The interest rate on an unsecured personal loan is 31.99% in BC.
†On approved credit. Terms and conditions apply. Interest rates vary by province/territory and from customer to customer based on factors like credit score and borrowing history. See Fairstone’s website for details.
Fairstone Financial Inc. holds high-cost credit licenses in AB, MB (License #85047, expiring 20-02-2026) and QC; it has applied for a high-cost credit grantor license in NL. For license information by province, visit Fairstone.ca/HCCG
In Ontario, Fairstone Financial Inc. is licensed as mortgage brokerage 10821.
In Nova Scotia, Fairstone Financial Inc. is licensed as mortgage lender #2021-3000028.
easyfinancial Disclaimer:
Unsecured Personal Loans: Personal loan amounts range from $500-$20,000, with rates set between 29.99%-35.00% and determined based on the amount and term of the loan and our assessment of your personal loan profile credit. Amortization between 9-84 months. Different lending rules apply in Quebec and can be viewed at www.easyfinanciere.com . Different lending rules for high-cost credit products may apply in Manitoba, British Columbia, Newfoundland and Labrador. Brokerage #12935 (ON) X300681 (BC) #3000289 (NS). BC HCC #83689 Expiry Date - 10/31/25, MB HCC #62897 Expiry Date - 11/10 /25, AB HCC # 349265 Expiry Date - 01/31/2025, NL HCC # Expiry Date.
Secured Loans: Home equity loan amounts range from $15,000-$150,000, with rates set between 9.99% and 23.99%. Amortization between 72-240 months. The term of your loan will depend on the amount of your loan and our assessment of your credit profile. Additional fees, which vary by loan amount, apply and are subject to a 6 month loan interest penalty when paid within the first 36 months of the loan. Brokerage #12935 (ON) X300681 (BC) #3000289 (NS). BC HCC #83689 Expiry Date - 10/31/25, MB HCC #62897 Expiry Date - 11/10 /25, AB HCC # 349265 Expiry Date - 01/31/2025, NL HCC # Expiry Date.
