Getting approved for a personal loan can be difficult if you don’t have the credit or financial profile that traditional lenders typically look for. This can be even tougher for young adults who haven’t had the chance to develop solid credit or a sufficient income, or newcomers to Canada who are just starting to build roots in their new home.
QuadFi may be a suitable alternative for borrowers in these situations. The online lender offers personal and newcomer loans for Canadians and permanent residents who need a little extra money to cover a large expense without having to jump through hoops to get approved.
Let’s take a closer look at the relatively new online lender, its loan types, and how to apply.
Who Is QuadFi?
Launched in 2018, QuadFi is a Toronto-based online lender that focuses on providing financial services to underserved Canadians, including new immigrants to Canada and young adults. First-generation immigrants founded QuadFi. These immigrants recognized the difficulty that certain borrowers faced when applying for loans and credit products at conventional financial institutions.
Rather than using your credit report which may have outdated or inaccurate information, QuadFi makes use of alternative data, AI, open banking, and machine learning models to help them verify and approve their clients for loans. The goal is to make affordable loans more accessible, especially for those who may be stuck with higher interest rates simply due to their lack of credit history.
Borrowers can then use these funds to start a business, enroll in college or university, or cover the expenses of family life.
Types Of Loans Offered By QuadFi
QuadFi offers two types of loans, one of which is specifically designed for newcomers to Canada.
Newcomer Loans
QuadFi’s newcomer loans are designed specifically with new immigrants in mind. Depending on the situation, newcomers often don’t have any credit to back them when applying for a loan, which can make it extremely difficult to get approved. QuadFi’s newcomer loans were developed to help new immigrants build credit here in Canada while taking advantage of their affordable rates and no fees.
Installment Personal Loans
QuadFi also offers personal loans between $5,000 and $50,000 to those who qualify. The loan amount (plus interest) is repaid over a set period of time (36 or 60 months) via regular installment payments. Instead of using typical financial and credit information that banks and credit unions use to verify a borrower’s creditworthiness, QuadFi uses other types of data to make a decision about an applicant’s ability to repay the personal loan.
Whether you’re a newcomer to Canada, a student, or someone with bad credit, you can still qualify with QuadFi to cover any expense you have.
Features Of QuadFi Loans
There are a number of advantages to QuadFi’s loans, including the following features:
No Commitment Prequalification
Get pre-qualified within minutes with no commitment. Just answer a few simple questions to help QuadFi get a sense of your financial profile, and you’ll be quoted the fairest possible rate.
Low Rates
QuadFi’s interest rates are as low as 5.99%, which is very competitive compared to personal loan rates with other alternative lenders. This makes it a great choice for debt consolidation. The company uses a unique model that takes multiple factors into account, including alternative financial information and even academic performance. Taking a variety of factors into consideration, QuadFi comes up with an accurate and fair rate for each borrower.
Long Terms And Large Loan Amounts
QuadFi offers 36- or 60-month loan terms, giving you plenty of time to repay your loan. With QuadFi, you can also get loans for as much as $50,000 (and as little as $5,000), depending on your needs and your financial capabilities.
No Credit Score Required
One of the great things about QuadFi’s loans is that there’s no need to have an excellent credit score, which is traditionally the most important factor that conventional lenders look at before approving loan applications. Even with a bad credit score (or no credit at all), you can still get approved for a loan with QuadFi, as long as all other factors in your financial life are relatively healthy.
Co-Signer Not Required
Some lenders may not approve a loan application without a co-signer added to the contract. But because QuadFi uses unconventional data to determine your ability to secure a loan, you do not need a co-signer to get approved. That said, having a co-signer can still increase your chance of qualification.
No Prepayment Penalties
Many loans come with prepayment penalties if you pay off your loan before the term ends. But QuadFi does not charge any prepayment penalty fees if you’re able to pay down your loan early at some point.
QuadFi Loan Overview
| Loan Type | Personal loans | Newcomer loans |
| Interest Rate | 5.99% and up | 5.99% and up |
| Fees | No | No |
| Loan Terms | 36 and 60 months | 36 and 60 months |
| Pay Loan Off Early? | Yes (no prepayment penalty) | Yes (no prepayment penalty) |
| Loan Amounts | $5,000 – $50,000 | $5,000 – $50,000 |
| Minimum Requirements | -Be over 18 -Have Canadian citizenship or permanent resident status | -Be over 18 -Have Canadian citizenship or permanent resident status -Have been in Canada for 5 years or less |
How To Apply For A QuadFi Loan
The QuadFi Loan application process is simple. It just takes a few minutes, and you’ll be pre-qualified with no commitment required. Just follow these steps.
1. Answer A Few Questions
To find out what type of rate you can get, you’ll first need to answer a few questions. Your answers will help QuadFi determine your financial profile, which will play a role in your eligibility and the rate you may qualify for.
2. Select The Loan Type
Once you input your information, QuadFi will provide you with your loan options. From there, you can choose your loan and the term length that best fits your needs and proceed with the application if you so choose.
3. Receive Your Funds
Before approving and funding the loan, QuadFi will want to verify your information, so you’ll need to go over a few documents and sign them if all is accurate. Once your information has been verified, you’ll receive your funds within 48 hours.
QuadFi Eligibility Requirements
Depending on the type of loan you choose, the qualification requirements vary slightly. Below are the minimum requirements for QuadFi’s personal and newcomer loan.
Minimum Requirements For Newcomer Loans
To qualify for a newcomer loan, you must meet the following:
- Be over the age of 18
- Be a Canadian citizen or permanent resident
- Have been in Canada for 5 years or less
Minimum Requirements For Personal Loan
To qualify for a personal loan, you must meet the following:
- Be over the age of 18
- Be a Canadian citizen or permanent resident
No credit score or minimum income is required to qualify for either loan type.
Type Of Documents Required
To verify your information, QuadFi may ask for the following:
- Employment information
- Statement of assets
- Academic records
Cost Of A QuadFi Loan
Most loans come with fees, such as loan origination fees, payment processing fees, and early prepayment penalty fees. However, QuadFi does not charge for any of these. The only thing that you’ll need to pay is interest over the term of your loan and a fee for any missed payments.
The following table illustrates and compares the costs of a $10,000 loan versus a $25,000 loan with a 5.99% rate and 60-month term length:
| $10,000 Loan | $25,000 Loan | |
| Monthly Payment | $193.33 | $483.32 |
| Total Interest | $1,599.8 | $3,999.2 |
| Total Loan Cost | $11,599.8 | $28,999.2 |
Final Thoughts
If you’re in need of some extra cash to cover a large expense but are struggling to get approved for a loan from a traditional lender, QuadFi may be a great alternative to consider. Newcomers to Canada and students and other young adults who have a thin credit profile may find QuadFi’s unique lending criteria easier to meet in order to get approved for a much-needed loan.
