Get a Personal Loan in Calgary
Live in Calgary and need a personal loan? Use Borrowell to quickly compare loans, find the best rates, and see your likelihood of approval in minutes! Check your credit score for free to find the best loan options and achieve your financial goals.
How to Get a Personal Loan in Calgary
Your credit score is one of the main pieces of information that lenders look at when qualifying you for a personal loan in Calgary. With Borrowell, you can check your credit score for free and quickly compare the best loans available based on your score. Over 68,000 Calgary residents have signed up for Borrowell to check their credit score, compare loan options, and improve their long-term financial health.
Personal Loans Calgary: What You Should Know
You can pretty much do whatever you want with personal loans in Calgary. When you apply for a loan, you rarely have to promise to use the money in a certain way (unlike with a mortgage, which you must put towards buying a home). Examples of what you can use your loan for include:
- Medical expenses
- A vacation
- Home renovations
- University or tuition costs
- Unexpected expenses
- Large purchase
Another great way to use a personal loan is to get out of other high-interest debt, like credit card debt. This is called a debt consolidation loan, and it can help you group all of your small loans or external debt into one single unified loan with a more manageable payment schedule.
To qualify for a personal loan in Calgary, you should meet the following criteria:
- Have a Canadian bank account
- Be a Canadian resident
- Be 18 years old or older
Each lender in Calgary may have different standards for loan acceptance. Generally, you may need to have a minimum yearly income of $20,000 or greater, and you’ll also need to provide proof of your yearly income with a pay stub or a Notice of Assessment from the CRA.
You may also be expected to have a credit score of at least 660 and a credit history of 12 months or longer. Additionally, to apply for personal loans in Calgary, potential lenders may require that you have never had a bankruptcy, consumer proposal, been in collections, or had delinquencies on your credit history.
If you have a credit score below 660, there are still personal loan options available. Sign up for Borrowell to check your score and quickly find loan options that are available to you.
Each lender has a different loan application process, but most lenders in Calgary will ask for the following personal information:
- Valid form of ID: For example, an Alberta driver’s license
- Proof of residency: For example, utility bills or a tenancy agreement
- Proof of employment and income: For example, bank deposit slips or a letter of employment
- Social Insurance Number
The loan application process doesn’t have to be an overwhelming one. For many lenders, you’ll just need to fill out an online form to get started.
Not sure where to start? Use Borrowell to quickly compare loans, rates, and lenders that you are likely to qualify for based on your credit profile.
While it is difficult to generalize, many lenders prefer that personal loan applicants have a minimum credit score of 660 or above. There are loan options available for borrowers with scores below 660, but these loans will have higher interest rates than loans with stricter requirements.
Each lender in Calgary has different credit score requirements. Lenders use your credit score (which is a number between 300 to 900) as a measure of your creditworthiness. They will rely on your score to help determine whether or not you are a responsible borrower who can manage your loan payments.
When managed properly, a personal loan can help provide a boost to your credit score. This is something that many financial services experts emphasize. Your credit score is made up of five main factors:
- Payment history
- Credit utilization (how much credit you use out of what is available)
- Credit history
- Credit mix
- Credit inquiries
Your payment history and credit history combined account for 50% of your score.
If you manage your loan responsibly and make on-time payments, you’ll be able to improve your payment and credit histories, which will in turn improve your credit score. Take note, however, that it’s crucial to ensure that your lender is reporting your loan payments to a major credit bureau so there is an official record of your loan.
Why You Should Check Your Credit Score First
Lenders qualify you based on your credit score
Your credit score is one of the main criteria for qualifying for a personal loan. Because of this, you should find out what your actual credit score is before applying for a loan. With Borrowell, you can check your credit score for free before applying for a loan.
Applying for a new loan affects your credit score
When you apply for a loan and a lender checks your credit score, it is recorded on your credit report as a “hard inquiry.” Hard credit inquiries temporarily lower your credit score, so it’s in your best interest not to apply for multiple financial products in a given time frame.
Borrowell shows you your likelihood of approval for each loan
To minimize impacts to your credit score, you want to make sure you apply for a loan that you're confident you'll get approved for. Borrowell helps protect your credit health by showing you your likelihood of approval for the loan products recommended to you on our platform, based on your credit score.
Borrowell's Quick & Easy Loan Process
Sign Up & Get Your Score For Free
When you sign up to Borrowell, you’ll get your free Equifax credit score free in just three minutes. Checking your score won't impact it, and you can see which loans you will be eligible for.
Check Rates & Choose Your Offer
Borrowell automatically matches your credit profile with the best loan products available based on your credit score. Select your offer and complete the online application.
Get Your Loan
Once your personal loan is approved by a Borrowell loan partner, you can usually access your funds in just a few days.
Is Signing Up for Borrowell Free?
Yes, it's really free. Borrowell provides you with your Equifax credit score, free of charge. Based on your credit score, we provide you recommendations on the best loans, credit cards, and financial products that you are likely to qualify for. Knowing your credit score speeds up the loan application process and helps you get your money as quickly as possible.
Still Have Questions?
Get More Answers
There are a variety of personal loans in Calgary, such as car loans, school loans, emergency loans, and more. All of these types of loans generally fall into two categories, a secured loan or an unsecured loan. A secured loan means that you secure repayment of the loan with collateral, such as a house or a car. An unsecured loan means that you do not guarantee repayment of the loan with some form of collateral.
The big difference between secured and unsecured personal loans in Calgary is that a secured loan involves guaranteed repayment through the use of collateral. With a secured loan, you would use an asset like a home to guarantee that you will repay the loan. That means that if you default on your debt obligations, your home could be seized by the loan company. This can be a huge risk for borrowers. However, with a secured loan, you get lower interest rates than you would with an unsecured loan.
Because a borrower guarantees their loan with an asset, secured loans tend to be available in bigger amounts and feature much lower interest rates. With an unsecured loan, you don’t guarantee repayment, so you don’t have to worry about losing your home if you default. However, with an unsecured loan, you will have to pay higher interest rates throughout the entire course of your loan term.
While both a personal loan and credit card can quickly improve your cash flow, you can generally get access to a larger amount of money with a personal loan. With credit cards, the amount you can borrow is limited by your credit limit. Furthermore, credit cards can have very high interest rates and credit card issuers prefer that you pay off your balance (or most of it) each month, whereas personal loans are designed to be slowly paid back over a longer period of time.
Interest rates for personal loans vary by lender but usually range anywhere from 5% to as high as 30%.
Personal loan amounts vary by loan company but you can expect amounts to be anywhere from $1,000 to $35,000.
Many people get personal loans to consolidate debt. With a debt consolidation loan, you can group all of your small loans or external debt into one single unified loan. With this, you just have to keep track of one manageable payment schedule. Oftentimes, a personal loan will have a lower interest rate than other forms of debt (like credit cards), so using a personal loan to consolidate debt can save you money over time.
How Borrowell Can Help with Your Financial Goals
Monitor & Track
Sign up and get your free Equifax credit score in just 3 minutes. Checking your score won't hurt it!
Understand & Improve
Receive weekly updates on how your credit score has changed. Get personalized tips on how you can improve your credit health.
Find the Right Product
Get matched automatically with the right loan products and trusted lenders that match your credit profile. Select your offer and complete the online application through the platform.
Find a Personal Loan in Calgary with Borrowell
Ready to get the loan that you’re looking for? Sign up for Borrowell today to get your free credit score, find the best personal loan options in Calgary, and take the next steps towards improving your credit and financial health.