Quick approval on Personal Unsecured Loans in Toronto and the Greater Toronto Area.

Start saving: paying off a personal loan vs. paying off your credit card

Thousands of Canadians use personal loans to pay off their credit card debt and save money on interest. Here’s how much a typical borrower could save by paying off $14,000 in credit card debt with a personal loan:

 Starting balanceInterest rateMonthly paymentTime to pay off debtTotal interest paid
Credit card$14,00019.99%$70025 months$3,170
Personal loan$14,00010.00%*$70021 months$1,396

This example is for demonstration purposes only. Interest rates and payments may vary.

Amount saved $1,774


Debt consolidation loan

When you’re drowning in credit card debt, it’s hard to stay above water. Use a personal loan to pay off your credit cards, consolidate your debt into one monthly payment, and scale down your interest charges.

Business loan

You have an idea, a business plan, and a future that you believe in, now you just need the capital to make it happen. Apply for a personal loan today and start following your business dream..

Major purchase

Maybe you need a new stove or fridge. Or maybe you just want to buy a new toy like a boat or an ATV. Unless you’re lucky enough to have the cash sitting in your bank account, the best way to pay for your major purchase is by taking out a low interest rate personal loan.

Home renovation loan

Whether you’re updating a bathroom or fixing a leaky roof, home renos aren’t cheap. Our personal loan service will give you the funds you need to renovate your home. You’ll add value to your property and enjoy your house a whole lot more once you’ve fixed or upgraded it.

Medical or dental loan

Your health insurance may not be enough to cover your family’s medical or dental expenses. Finance the procedure or treatments that are needed with a personal loan.

Vacation loan

Seize the here-and-now and start crossing dream vacations off your bucket list. Wherever you want to go, a personal loan will help get you there.

Engagement loan

Maybe you want to throw a big engagement party or you have your heart set on a special ring. Celebrate your engagement now and pay back your loan in monthly installments at a reasonable interest rate.

Wedding loan

With the venue, food, music, and photographer to plan for, plus a hundred other things, costs can really add up. With a personal loan consider your wedding expenses taken care of.

Special occasion loan

Some things only happen once, like a wedding anniversary, graduation, retirement party, or family reunion. So enjoy the moment and use our personal loan service to help make your celebration one to remember.

Education loan

Whether you’re enrolled in a full-time university program or a one-off skills building course, school can be expensive. If you’re ready to invest in yourself, a personal loan can help you pay for your education.

Taxes loan

You owe money to the Canada Revenue Agency that you didn’t plan or budget for. A personal loan will give you the cash you need to pay your CRA bill.

Rainy day loan

Most of us don’t have the extra income needed to grow an emergency fund. So when an unexpected financial setback arises, like a job loss or major car repair, a personal loan can really help.

Household expenses loan

Between heating, hydro, groceries, and all your other monthly expenses, it’s easy to get behind on your payments. A personal loan can get those bills paid and back up to date.

Bridge loan

Your equity is a little tied up at the moment. So what do you do? Get a bridge loan, a popular short-term financing tool that helps you meet your liquidity needs between the start of a new loan and the conclusion of an existing loan.

Baby or adoption loan

Welcoming a new baby into the family is a lot of things: exciting, and very expensive. A personal loan can help you shore up your finances as you take on the awesome responsibility of being a parent.

Car loan

Buying a car can be very expensive, especially at the “buy here pay here” dealer lots. With a personal loan you can negotiate a better cash price usually at lower interest.

Frequently Asked Questions About Personal Unsecured Loans:

Secured vs. unsecured loans:

Secured loans are backed by an asset, like the equity in a house. Securing a loan can help you gain access to lower interest rates and potentially borrow more money than you could with an unsecured loan. In contrast, unsecured loans don’t require collateral to borrow money. While interest rates may be higher on unsecured loans, the application process is often quicker.

Should I get a debt consolidation loan to pay off my credit cards?

Credit cards charge compound interest – what is usually referred to as “paying interest on interest.” If you’re consistently carrying a credit card balance, you should consider paying off the full balance of your credit card with a debt consolidation loan to avoid accrued interest charges.

How do personal loan interest rates work?

Personal loans generally use daily simple interest. The interest is calculated on a daily basis based on the outstanding balance (or principle) of your loan. Every time you make a payment, a portion of your payment goes to interest and a portion of your payment to principle. After each payment your balance goes down, and the interest is calculated on your lower balance. Learn how you can use daily simple interest to pay off your loan faster.

How are interest rates Determined?

There are two types of factors that influence interest rates – individual factors that you can control, and economic factors that are outside your control. Individual factors like your credit score, employment status, home-ownership status and the loan term you choose are things that you can influence to help you get a lower interest. Economic factors are things you don’t have much control over, and include inflation rate, policy interest rate, prime rate and demand.

How to pay off a loan faster

There are no fees for paying off an unsecured loan early, so here are few simple ways you can pay off your loan faster:

  • Choose a weekly or bi-weekly payment option. By paying more often, you’ll make more payments a year and can reduce the balance of your loan faster, compared to semi-monthly payments (24 payments a year) or monthly payments (12 payments a year).
  • Switch to automatic payments to avoid late or missed payments.
  • Round up your payments. For example, if your payment is $278, make a payment of $300 instead.

Personal Loans are available in Ontario, Quebec, Newfoundland, Manitoba, Saskatchewan, Alberta, and British Columbia