Common Types of Loans That Are Available to Those Without a Bank Account
There are two most common types of loans that are available to those without a bank account: pawnshop loans and payday loans.
Pawn Shop Loans
If you have a valuable item that you can offer as collateral for a loan, you may be able to get a loan from a pawn shop. This is usually done in the form of a loan with a short-term interest rate. One of the biggest downsides of applying for a pawn shop loan is the risk of losing the collateral if you fail to pay back the loan. Plus, you’ll have to go all the way to the nearest pawn shop and hope that they are open when you need them.
Payday Loans
One of the fastest, easiest, and most convenient ways to get the fast cash you need is to apply for a payday loan. Payday loans are short-term loans that are designed to help you cover the unexpected expenses that come up in life. They are typically used for things like car repairs, medical bills, or even unexpected expenses like your next meal. Some of the best things about payday loans are:
- If you are in a financial bind and need to borrow some quick cash, a payday loan is a great option. You can apply online in just a few minutes, and if approved, you will get the cash you need within 24 hours.
- You can apply online, so you no longer have to go to a brick-and-mortar store to apply for a loan.
- Payday loans are unsecured loans, which means that you don’t have to put any of your assets up as collateral.
- Some online lenders won’t even bother checking your credit history.
- If you don’t have a bank account, it may be difficult to get a traditional loan. But, with a payday loan, you don’t have to worry about that.
Lenders That Offer Online Cash Loans to Canadians Who Don’t Have a Bank Account
Here are some of the most top-rated online lenders that are willing to lend money to Canadians without a bank account:
Cash 4 You
Cash 4 You is committed to making it easy for people to get the cash they need when they need it. They offer short-term, small-dollar loans to people who don’t have a bank account. Their payday loans range between $120 and $1,500 and charge an APR of 391.07%.
Alterfina
Alterfina offers no bank verification online loans ranging from $500 to $2,500 with a repayment period between 3 and 6 months. They charge an APR of 18.99%. While Alterfina offers installment loans rather than payday loans, we have decided to include them in this list for those who are looking for a bigger loan amount and longer repayment term.
MoneyMart
Probably one of the most popular lenders in Canada, MoneMart also offers no bank verification payday loans. You can apply for up to $1,500 with a loan repayment term of up to 62 days. They charge $15 to $25 per $100 borrowed depending on where in Canada you are located.
Conclusion
We hope that this article helped you understand the basics of how to get a loan without a bank account. It’s important to note that there are some risks involved in taking out a loan without a bank account. Your options will be limited and you’ll be subject to high interest rates and loan fees. But, if you need some extra cash to cover an emergency expense, a payday loan is one of the easiest and fastest ways to get it.