Do you have a bad credit score or none at all? Have you struggled to get loans from banks? Consider getting a loan from LendingMate. They're a Canadian company that offers loans to borrowers with any credit score, as long the borrowers have someone to vouch for them.
Keep reading to learn about LendingMate and if it has the right loan rates for you.
LendingMate offers loans to borrowers who can't get loans from banks or other institutions. It's an excellent alternative to payday loans because it doesn't have fees and as high of an interest rate. But it is still a loan, so make sure you can make repayments on time.
Residents of British Columbia, Ontario, and Quebec can use LendingMate. You don't need to use your credit score to apply, so LendingMate can be an excellent option for people with poor credit or no credit history.
If you need a quick loan but don't want to go through a payday loan company, consider LendingMate. It can be a good option, and it's relatively easy to apply.
When applying, you will need to have a guarantor, who will vouch for you and will pay back the loan amount if you cannot.
A guarantor can help you get a loan by promising to pay if you don't pay. If something happens to you or you just don't have the money, it will be up to your guarantor to pay the balance. Loans with a guarantor rely on the guarantor's credit score, so they're an excellent option for first-time borrowers or people with poor credit.
You can choose a friend or relative, but they will need a good credit history for your to get a loan.
The best guarantors are usually homeowners, but people without homes can also be guarantors. In that case, they are likely to need a better credit history than homeowners.
Getting a loan from LendingMate can be a simple process, and its very fast if you choose the right guarantor.
Once you choose a guarantor, you can apply for a loan. However, you can only get a loan for up to $10,000.
If you need more money, you may want to consider a different lender. Or you could elect another person as guarantor for a second loan. But you should always be prudent of your ability to pay back the amount you owe.
While the process is straightforward, you should follow each step attentively. Then, you can increase your chances of getting the loan that you need.
LendingMate makes it easy to calculate how much money you can get from them, and you can figure out your payment amounts. This is an excellent tool for borrowers because you can see if you need to lower your loan amount or extend the term.
You can plug in different loan amounts and term lengths to see your potential monthly payments and how much you will pay in interest.
LendingMate will increase the minimum term length for larger loans. For example, a $2,000 loan can have a term as short as 12 months. Loans over $3,000 will last at least 24 months, and a $5,000 loan will have a term of at least 36 months. You will always have the option of choosing the maximum term, which is 60 months. But you can also pay more than your monthly amount (without any fees attached) to pay off the loan faster and to improve your own credit score.
Once you're ready to apply for a loan from LendingMate, you can go to their online application on their website. You will have a variety of options what your is for:
If you don't see something that represents your reason for a loan, you can also select the "Other" option.
Next, you will fill out your name, date of birth, and contact information. Unfortunately, you have to have an address in British Columbia, Ontario, or Quebec to apply since, as previously mentioned, LendingMate is only available in those provinces.
Adding your Social Insurance Number will help make your application process go faster and more smoothly. You will also select your loan amount and term, and you can will be able to check what your monthly payment will be.
After you add all of your information, you will need to send the application to your guarantor. The application will give you a link that you can include in an email or text message.
Your guarantor will need to provide their information so that LendingMate can review their credit history and other details.
If possible, it can help to fill out your portion and your guarantor's portion back to back. Then, you don't have to worry about your guarantor forgetting. But sending a link can be a good option if you don't live together or if you have different schedules.
After you and your guarantor fill out the loan application, LendingMate will call you to make sure you understand the loan amount and term. They will also verify some details to make sure you and your guarantor can get the loan.
Once they confirm that you understand the loan terms and that you are eligible, they can approve your guarantor. The approval may happen within a few minutes, or it may take a while.
LendingMate will need to review your guarantor's credit history and other details. You can speed up the process by choosing someone trustworthy and with a good credit history.
Another reason you should trust your guarantor is that they will get the money from LendingMate if the company approves your loan. LendingMate sends the money to the guarantor to prevent fraud.
Once your guarantor gets the money, they can transfer it to you or give you cash.
However, you will have to be the one to pay the loan back, even though the money went to your guarantor. You'll need to make the monthly payments, which include your principal and interest. Borrowers in British Columbia and Ontario will have an interest rate of 43%, while the interest rate for Quebec borrowers is 34.9%.
LendingMate will take a direct debit withdrawal from your account each month, and they may ask for a debit or credit card to use in case the direct debit method doesn't work.
If both methods don't work and LendingMate can't contact you, they will contact your guarantor for payment. Your guarantor will then have to pay the owned amount for you. But if your guarantor doesn't pay the loan, LendingMate will take legal action against both the borrower and the guarantor.
LendingMate is safe to use. The company has some good and bad reviews on Trustpilot, but the bad reviews tend to be about how strict the application process is.
LendingMate does have some issues communicating with borrowers and guarantors, and they may take a while to get back, based on reviews. Another concern is that the company has been in business for only a couple of years and do not yet have a BBB accreditation.
Still they are a much better alternative to payday loans, and are a great option if your credit score is preventing you from accessing loans from a bank.
When considering if you should apply for a LendingMate loan, you should consider the advantages. While no loan program is perfect, LendingMate offers some options and features that make it a worthwhile lender.
If you have poor credit or no credit at all, you can get a loan through LendingMate. You can do this because you will have a guarantor that does have good or excellent credit.
If you've had a hard time getting a loan because you don't have a job, that can be frustrating. Luckily, you don't need to have a job or show proof of income to get a loan.
The loan can help you get through a period of unemployment while you look for a job. Then, you can get an income to help pay the loan back.
Another positive of LendingMate is that their application process is simple and fast. You know your your monthly payments before you apply, so you can select the right loan amount and term for your situation.
The company also doesn't charge any extra or hidden fees, so you know what you can expect to pay once you get the loan.
If you don't have good credit, it can be tempting to get a payday loan. But payday loan interest rates are much higher than any other loan. While LendingMate interest rates aren't generous, they're better than what you can get from a payday lender.
LendingMate does offer some benefits over traditional and payday lenders. However, it's not perfect.
If you have decent credit, you may want to start your search with traditional loans to save on interest. Even though LendingMate doesn't charge as much interest as a payday lender, they do charge a lot.
The interest rates range from 34.9 to 43 percent per annum based on the province where you live. And if you need a lot of money, that interest can add up quickly.
Another downside of LendingMate is that you can't get more than $10,000 per loan. While it's possible to apply for multiple loans with different guarantors, you may not have enough money to balance multiple loan payments at a high interest rate.
If you need a loan to buy a house, buy a new car, or do significant repairs on your current home, the LendingMate loan may not be enough.
Not everyone in Canada can apply. You can only get a loan if you live in British Columbia, Ontario, or Quebec.
While you can set up a $2,000 loan with a 12-month term, that's not the case with larger loans. If your loan is $3,000 or more, you will need to select a term of at least 24 months. And the minimum term only goes up from there.
While you can pay more than your monthly payment to pay off the loan in less time, you should consider how long you want to make payments for and if you can get a shorter term elsewhere at a lower rate.
LendingMate is an excellent Canadian lender for borrowers with poor or no credit. You can get a decent amount of money, but you will need someone to act as your guarantor.
Once you find a guarantor, you can apply for a loan of up to $10,000. You can apply online, and you can get your money within 24 hours after approval. LendingMate is trustworthy, although some user reviews mention that they tend to take their time when communicating with customers
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