April 5, 2024
6 mins

7 Best Alternative Lenders in Canada

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Summary.Looking for quick cash? Alternative lenders in Canada like NoRefusal, Fairstone, EasyFinancial, and iCash provide fast online loans to Canadians in need. While convenient...

In Canada, navigating financial needs can lead many to seek alternatives beyond traditional banks. Whether due to stringent requirements, the need for speed in processing, or a preference for more adaptable terms, alternative lenders offer valuable solutions.

To help you navigate these waters, we've compiled a list of the 7 best alternative lenders in Canada, showcasing their distinct advantages and how they differentiate themselves in a competitive space.

NoRefusal: The premier choice in alternative lending

Website: https://norefusal.ca/ 

Address: 320 Bay St. Suite 101, Toronto, ON M5H 4A6 

Opening hours: Open 24/7

No Refusal stands out as the top no refusal payday loan provider in Canada, offering an expansive range of loan products that cater to a wide audience. 

What sets NoRefusal apart is its streamlined application process and the promise of no outright rejections, making it an attractive option for those who might have faced difficulties obtaining financing elsewhere. 

Their flexibility and customer-first approach ensure that borrowers can find a financial solution that truly fits their needs.

Customer review:

“Thank you so much for the help! Love the comparison app.” –  Max (Toronto)

PrêtAuto514: Leading the way in auto financing

Website: https://pretauto514.ca/   

Address: 1100 René-Lévesque Blvd O, Montreal, Quebec, H3B 4N4 

Opening hours: 8am – 9pm

Prêt Auto 514 shines as the foremost car lender, specializing in auto loans that are both accessible and tailored to the buyer's financial situation. 

Their expertise in the automotive industry allows them to offer competitive rates and terms that are hard to match. 

For anyone looking to finance a new or used vehicle, PrêtAuto514 presents a compelling choice with its fast approvals and customer-centric service.

Customer review:

“Definitely the best experience! The process was quick and easy, and the follow up was excellent. I would definitely recommend them to anyone looking for a car loan.” –  Alaa (Laval)

Fairstone: A top choice for near-prime borrowers

Website: https://fairstone.ca/   

Address: 630 René-Lévesque Blvd W #1400, Montreal, Quebec H3B 1S6 

Opening hours: 8:30am – 5:30pm

Fairstone excels in serving the “near-prime” segment, offering personal loans to those who may not qualify for traditional bank loans but do not fall into the high-risk category. 

Their balanced approach to lending combines reasonable interest rates with a high approval rate, providing a viable option for those with less-than-perfect credit scores seeking fair and transparent financing solutions.

Customer review:

“Great service. It was quick and very efficient. I highly recommend Fairstone” –  James (Vancouver)

PaydayExpert: Revolutionizing payday loan comparisons

Website: https://paydayexpert.ca/   

Address: 240 Richmond St W, ON M5V 1V68

Opening hours: 8:30am – 5:30pm

Payday Expert has established itself as the leading payday loan comparison platform, designed to help users find the best rates and terms among myriad payday loan providers. 

This platform simplifies the process of comparing short-term loans, ensuring users can make informed decisions quickly and efficiently, thus avoiding potentially predatory lenders.

Customer review:

“I am impressed by the efficiency of the service but especially the great rate that I was offered! I recommend 100%!” –  Marie (Ottawa)

EasyFinancial: The go-to for home-equity loans

Website: https://www.easyfinancial.com/   

Address: Find a branch

Opening hours: 8:00am – 5:00pm

EasyFinancial distinguishes itself in the home-equity loan market, offering tailored solutions that allow homeowners to leverage the equity in their homes for various financial needs.

With competitive rates and a flexible approval process, EasyFinancial is ideal for those looking to consolidate debt, finance home improvements, or cover significant expenses.

Customer review:

“Everything was great! Very quick service and helpful” –  Ashraf (Montreal)

iCash: Innovating cash advances with a cutting-edge app

Website: https://icash.ca/   

Address: 372 Bertha St #102, Hawkesbury, ON K6A 2A8 

Opening hours: Open 24/7

iCash is at the forefront of the cash advance sector, thanks to its user-friendly app that streamlines the borrowing process. 

This app enables quick access to funds, transparent terms, and a seamless repayment process, making it the best option for those in need of immediate financial assistance without the hassle of traditional lending routes.

Customer review:

“iCash is absolutely great! Definitely a legit company. The application and approval process was ridiculously fast.” –  Ryan Ogigon

MicroCapital: Small-business financing made simple

Website: https://www.microcapital.ca/en/   

Address: 1235 rue Notre-Dame Ouest. Unité #174 Montreal, QC H3C 0B1 

Opening hours: 9am – 5pm

MicroCapital has carved a niche as the best small-business loan broker, offering personalized brokerage services that connect small businesses with suitable lenders. 

Their deep understanding of the small business landscape allows them to offer tailored advice and solutions, making them an invaluable partner for businesses seeking to navigate the complex world of financing.

Customer review:

“MicroCapital is the best place in Quebec to get a fast business loan. Thanks again.” –  Jasson (Quebec)

What is an “alternative” lender?

In Canada, an “alternative” lender is a financial institution outside of the traditional banking system (Big Banks like TD, RBC, BMO, etc.), offering loans to individuals and businesses that may not qualify with mainstream banks. 

These lenders, including credit unions, private lenders, and online platforms, provide more flexible financing options, often at higher interest rates or with different terms. 

Usually, these alternative lenders cater to those with lower credit scores, non-traditional income (such as freelancers), or needing more personalized financial products. Even though alternative lenders offer more expensive financial products, they are vital for offering access to credit to underserved markets, like small businesses or individuals with imperfect credit histories (around 1/4th of Canadians)

Bottom line

In summary, the landscape of alternative lending in Canada offers diverse and flexible financing options for individuals and businesses that may not find suitable solutions within the traditional banking sector.

The seven alternative lenders highlighted above provide unique advantages, catering to a wide array of financial needs with various terms, interest rates, and loan products. 

Whether you're an entrepreneur seeking startup capital, a small business in need of growth funding, or an individual with less-than-perfect credit, these alternative lenders present valuable opportunities to access the funds you need. 

It's crucial, however, to thoroughly understand the terms and potential costs associated with each option to make an informed decision that aligns with your financial goals and capabilities. Don’t forget to take into account all the possible fees associated with the loan origination and make sure that all the lenders are licensed to do business in your province.

Frequently asked questions

  • Who are alternative lenders in Canada?

    Alternative lenders in Canada include non-bank financial institutions like NoRefusal, Fairstone, EasyFinancial, Borrowell, and online lenders such as Loan Connect and Lending Loop.

  • Who is Canada's largest non-bank mortgage lender?

    First National Financial Corporation is Canada’s largest non-bank mortgage lender, with over $100 billion in mortgages under administration.

  • Which bank is easiest to get a mortgage with in Canada?

    Online banks like Tangerine and Simplii Financial often have more lenient mortgage qualification criteria compared to traditional banks. However, mortgage approval ultimately depends on individual financial circumstances.

  • Who is the most generous mortgage lender?

    The most generous mortgage lender varies based on individual needs and qualifications. Credit unions and alternative lenders may offer more flexible terms than traditional banks. Compare options to find the best fit.

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