Get a Personal Loan in Saskatchewan

Personal loans in Saskatchewan can be used for just about anything, but here are some of the common reasons to obtain one:

• Consolidate high-interest debt

• Home renovations

• Vacations

• Short term cash requirements like emergencies

• Post-secondary education

You can apply for personal loans in Saskatchewan from various sources, including traditional banks or credit unions. These organizations allow you to apply through their local branches, on the phone, or online. Many online lenders offer personal loans with an application process that is entirely online. These online lenders often specialize in lending to people with unique financial situations, such as poor credit or high debt loads.

Not sure where to start looking for a personal loan? Borrowell can help! Use Borrowell to quickly compare loans, rates, and lenders that you are likely to qualify for based on your credit profile. Sign up for free to get your credit score and simplify your search for a personal loan.

Interest rates for personal loans in Saskatchewan can range from as low as 5% to as high as 50%. Your personal loan’s interest rate will depend mostly on your unique financial profile. The more financially stable you are, the better your interest rate. Here are the factors that lenders consider when evaluating you for a personal loan:

• Your income and assets

• Your debt

• Your credit score

If you are financially stable, you could qualify for loans with low interest rates in the high single digits. If you have bad credit, are unemployed, or have a high debt load, your loan’s interest rate will be higher, but it cannot be higher than 60% by law.

Your credit score is a number between 300 and 900 that tells lenders at a glance how creditworthy you are. Most traditional lenders require a credit score of at least 650 to qualify for the best interest rates. If your credit score is lower than 650, you can still be eligible for a personal loan. You may need to work with a lender that specializes in working with borrowers with low credit scores. These loans will likely have higher interest rates.

If you’re not sure what you can qualify for with your credit score, you can sign up for Borrowell for free to find out. Get your free credit score and see what loans and interest rates you qualify for based on your score.

Many factors go into determining your credit score, including:

• How faithfully you make your monthly payments

• How much debt you have relative to your credit limits

• The total length of your credit history

• How many different credit products you have

A personal loan can help you improve your credit score in two ways. First, personal loans require you to make monthly payments, and making on-time payments will improve your credit score. Second, having various credit products (such as credit cards, car loans, and personal loans) will improve your credit score because it demonstrates you can successfully manage multiple types of debt.

You can apply for a personal loan in Saskatchewan either through traditional lenders, like banks and credit unions, or by pursuing an online lender or short term lender. Applications usually take about 15 minutes to complete, and you should have approval within 24 hours. Your lender will require some basic information, so you can streamline the process by having the following on hand:

• Your home address, phone number, and email address

• Government-issued photo ID

• Social insurance number and date of birth

• Employment status (including pay stubs)

• A void cheque for direct deposit

Once your loan is approved and you sign the appropriate paperwork, your lender will deposit the funds into your account and withdraw payments monthly.

If you’re not sure where to start looking, use Borrowell to get your free credit score and find personal loans that you qualify for. Quickly compare lenders, terms, and interest rates that meet your credit profile. Once you’ve found the right loan for you, you can start the application process through the Borrowell platform.

Not everyone will qualify for a personal loan. Here are the most common reasons to be rejected:

• Your credit score is too low

• Your income isn’t high enough to pay back the debt

• You already have too much debt

If you are rejected for a loan, make sure to ask why. The reason will let you know what you need to work on before reapplying. If your credit score is too low, you can read up on best practices to improve it. If your current debt load is too high, you can focus on paying it down. Suppose you can’t wait to improve your financial situation before applying for a loan. In that case, several short term online lenders may be able to approve you for a loan, but with a higher interest rate than you might find at a traditional lender.

Most personal loans in Saskatchewan are issued for amounts between $5,000 and $35,000. If you have a co-signer or collateral to secure the loan, such as a home or car, you may be able to qualify for a larger sum. The amount of money you can borrow will depend on your financial situation and your credit profile.

Many lenders will offer you a choice between a fixed rate or variable rate loan in Saskatchewan, and you should choose the type of rate that works for you. Here’s what that means:

• Fixed interest rate: A fixed interest rate is set when you are approved for the loan and does not change throughout the term. A fixed interest rate means you’ll always make the same monthly payment on your loan until it is fully repaid.

• Variable-rate loan: A variable interest rate means that the interest rate can change during your repayment period. A variable interest rate is usually pegged to the Bank of Canada’s prime rate and is expressed as a percentage plus or minus the prime rate, for example, Prime + 0.5%. If Prime is 2.45%, then your interest rate will be 2.95%. Sometimes your payment will change when the rate changes, and sometimes you’ll make the same payment, but more or less of that payment will be applied to the loan principal.

If you have high-interest debt from several sources that you’d like to consolidate into a single, lower interest rate loan, a personal loan can be a great way to achieve this goal. Consolidating debt helps lower your overall interest rate and simplify your payments. Still, it’s essential to examine the habits that led to you carrying debt in the first place, to ensure you don’t overspend on your credit cards in the future.