Best Debt Consolidation Loans in Canada

When encountering a company called Loans Canada, you can be pretty sure what its area of expertise is. Like some other companies dealing with loans, this isn’t a direct lender but a directory of loan providers, a mediator for the customers.

Funding Types Offered

A wide variety of offers covers all Canadian provinces and doesn’t exclude even the customers with less than stellar credit history. You can repay loans at this directory ranging from $500 to $35,000 in up to 60 months. Of course, the details depend on which lender you’re signing up with.

To find the right loan for yourself, you’ll use a simple filtering tool with four settings - province, employment status, monthly income, and credit range. Then, the site will create multiple offers and direct you to some of its partners that should be able to fulfil your loan request.

Reasons To Choose Loans Canada

The company works with a massive network of lenders. You'll likely find it here if you want a small loan with a short repayment term. Since this was the first company of its kind in Canada, we were glad to see that it’s still very transparent about who it’s working with and lets customers use various tools to manage their finances.

Reasons To Look Elsewhere

The only reason not to work with Loans Canada is if you’d rather work with a direct lender. Even then, you can use this site to search for providers and then decide whether you’ll go to them directly or take advantage of the offers on Loans Canada.

Key Benefits:

• Loans for low and fair credit score
• Great lending network
• Borrow up to $35,000

LoanConnect is a directory of businesses that can provide you with a custom-tailored loan. It’s also one of the most popular sites of this kind, with over one million satisfied customers.

Funding Types Offered

It takes just under a minute to complete the application and get pre-approved for a loan since you’ve only got to fill out a single page during the application process. You can borrow anywhere between $300 and $50,000, which you can pay off in up to 120 months. Depending on the lender, the upper repayment limit can be lower, usually 60 months.

Since LoanConnect isn’t a direct lender, you don’t have to meet specific requirements. Instead, the site will try to match you to a lender that can provide you with cash or work out a similar deal through an agent. Finding a loan is generally easier if your credit score and annual income are high. Also, while the site doesn’t charge any fees, the company you’re loaning from might. In Canada, debt consolidation loans usually have an origination fee of up to $100.

Reasons To Choose LoanConnect

The platform is straightforward, and the whole process couldn’t be more streamlined. Most people will find offers on their very first search, and the network of lenders is trustworthy. Funding is fast, too, with loans processed within a single day.

Reasons To Look Elsewhere

If you’d rather work directly with a lender, LoanConnect might not be for you. Since the offers are generated after you’ve entered your details, you can’t shop around beforehand and decide whether to provide private info.

Key Benefits:

• 60-second pre-approval
• Borrow as low as $300
• Streamlined application process

Spring Financial t makes getting a personal loan a breeze, with same-day funding and some of the lowest credit score requirements in the business. The company claims all credit scores are welcome.

Funding Types Offered

Spring Financial is the variety of loans you can take out. You can request between $500 and $15,000, and your term can be as short as nine months. So, ideal for smaller loans that you can repay quickly. Not only will you efficiently consolidate your debt but also improve your credit score along the way.

To get your loan, you’ve got to fill out a simple form on the website, providing basic information to give the lender an idea of your capability to pay off a loan. Then, you’ll receive a personalized loan offer, all without impacting your credit score. 

Reasons To Choose Spring Financial

One of the biggest reasons many Canadians borrow from Spring Financial is the low credit requirements for most loans. Banks and other lenders may require you to have an impressive credit history, so finding a loan with a fair interest rate is always good. You’ll also have an option to pay off your loan monthly or bi-weekly, whichever suits you the most.

Reasons To Look Elsewhere

Spring Financial's platform is a bit barebones. For example, you can’t see the APR before you’ve already filed an application. That being said, this company has an impressive 4.8 rating on TrustPilot from thousands of satisfied customers, so it’s still getting a recommendation as a highly trusted source for personal loans.

Key Benefits:

• Flexible payment intervals
• Short- and long-term loans
• All credit scores welcome

A slogan that will greet you on the Borrowell website says, “Make financial prosperity possible for everyone.”

Borrowell is, first and foremost, a directory of debt consolidation companies and an educational tool designed to teach you all about credit in Canada and how to manage your expenses.

Funding Types Offered

Instead of providing you with a loan, Borrowell will point you toward its network of lending partners. It works with more than 50 lenders; so far, more than two million Canadians have used this service to get a personal loan. 

The amounts you can borrow through this network on this site are on the lower end of the spectrum. Most providers offer to consolidate your debt for up to $12,500 or similar amounts, with just a few raising the limit to $15,000.

Repayment terms are within the standard 60-month time frame, with most lenders offering flexible terms depending on your financial situation. The same goes for APR and interest rates.

Reasons To Choose Borrowell

Most sites that list loan providers don’t go much beyond that. What Borrowell does well is educating its visitors on all the loans they can take and how to properly take care of their finances. Additionally, you can check your Equifax credit score rating for free on this site; it takes just three minutes.

Reasons To Look Elsewhere

Unfortunately for Borrowell, while it’s an excellent service, it’s only available in four provinces. For that reason, many Canadians won’t be able to take advantage of exclusive loan offers on this site, which is a shame.

Key Benefits:

• 50+ lending partners
• Free credit score check
• Lots of educational tools

Founded in 1923, Fairstone is one of the oldest loan providers in Canada. It may have changed names throughout the years, but it hasn’t changed one thing - the quality of service it provides to its customers. This company specializes in personal loans, from emergency and car repair loans to debt consolidation with secured and unsecured options to choose between.

Funding Types Offered

Fairstone’s unsecured loan offers start at $500, and you can request up to $25,000 through its online form. The upper limit is slightly lower than what we’ve seen from other companies. Still, it’s worth reiterating that Fairstone is a direct lender, so you’ll be working one-on-one with an agent.

For secured loans, the limit goes up to $50,000, and the repayment term can be extended to 120 months.

While each loan offer is created differently, there are some common grounds here. Loans come with an APR that’s consistently below 40%, which is already highly competitive, and you won’t suffer any prepayment penalties if you go with an unsecured loan.

The application process is quick, and you can even get an estimate of your monthly payment using the on-site calculator.

Reasons To Choose Fairstone

You won’t even need to visit your local branch using the online application, and the money becomes available within the same day. Additionally, you can choose to pay for your loan bi-weekly or monthly, giving you more control over the frequency of your payments.

Reasons To Look Elsewhere

The amount you can get through an unsecured loan is lower than what many competitors offer now. If you’re in the market for a higher loan and don’t want to put down your house as a security, then it’s best to check other lenders on this list.

Key Benefits:

• Loan calculator
• Secured and unsecured loans
• Flexible payment rate

For 35 years, Lendful has been helping Canadians consolidate their debt. The company is laser-focused on personal loans and, throughout the years, it has streamlined the application process to make it as quick and simple as possible. We value transparency, and Lendful provides it.

Funding Types Offered

Lendful’s loans are on the medium to the high side, at least regarding amounts. This lender's unsecured debt consolidation loan ranges between $5,000 and $35,000, and the APRs start at just under 10%. With Lendful, you can be more flexible with your payments as it offers weekly, bi-weekly, and monthly payments.

There are no fees either, especially the origination fee that’s very common, but do take care about making your payments on time.

Another great thing about Lendful is the application process. It takes just two minutes to complete, doesn’t require too much input, and the company will usually send you a loan offer on the same day.

Reasons To Choose Lendful

You won’t need to look at third-party sites to find out the terms and conditions for your loan. It’s all right there on the Lendful homepage. Furthermore, if during your loan term you need more money, you can request a top-up.

Reasons To Look Elsewhere

Lendful’s requirements can seem relatively high to potential customers. The company asks for proof of good credit score and information on credit history. These requirements could prove to be too much for people looking to consolidate their debt. 

Key Benefits:

• Quick, easy application
• Loans can be expanded
• Benefits for early payments