Magical Credit Review

Created in 2014, the Magical Credit team devised a mission to help Canadians with financial difficulties and help them get the cash they need. They have a small local group serving the GTA (Greater Toronto Area) through their available storefront. They do not accept walk-ins, but an appointment can be made for hopeful applicants. For those residing throughout Canada, they offer an online application process; available 24 7. Services provided by Magical Credit are available to all provinces and territories; except Saskatchewan, Quebec, and Manitoba.

Magical Credit is not associated with any banks or financial institutions; they are private and independent lending service. As a dedicated professional service to low-income households, Magical Credit offers their borrowers fixed interest rates with low fluctuations.

They were nominated for a prominent FinTech award for their groundbreaking online application software. Magical Credit displays its dedication to innovative technology and offers Canadians a particular service that perhaps they could not acquire through a bank.

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Written by: Piggyy

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magical - logo

Loan Amount

$1,500 - $20,000

Piggyy Rating

Magical Credit

Loan Term

12 - 60 months

Est. APR

% 19.9 - 46.8

Loan Amount

$1,500 - $20,000
  • Easy loan application
  • Fast loan approval
  • Simple repayment
  • Responsible lending
  • High-interest rates
  • Penalty fees


Company Information


Mailing address:

970 Lawrence Avenue, #402

 North York, Ontario M6A 3B6



You can call them toll-free at 1-844-521-2088

you can also contact them at 1-647-946-9767

SMS: 1-844-714-9304

Fax: 1-855-542-0155


The site also states that the company uses a switchboard and has several numbers. They list them all on the site, so clients are not concerned about a fraudulent impersonator. They advise clients to confirm that an authorized Magical Credit representative has contacted them before disclosing any information over the phone. 


Their office hours are: 

Monday to Friday 8 am-5 pm EST

Closed on weekends and statutory holidays. 


For general inquiries 

[email protected]

[email protected]

[email protected]

[email protected]


There is a questionnaire on the site for pre-application requests. You can also email your desired department.  


Their site is has a chat widget available during office hours for instant inquiries. 


As a proud member of the CLA (Canadian Lenders Association), Magical Credit is dedicated to responsible lending, stating that not every application is approved. They offer short-term bad credit loans and provide loans for those receiving various government subsidies. 


According to their site, Magical Credit services have helped over 5000 customers, validating that they are a thorough lender that ensures applicants meet their strict criteria. Customers can apply from almost every province and territory except Manitoba, Saskatchewan, and Quebec.


Types of Loans Offered


Magical Credit offers three types of loans: bad credit short term loans, loans for those who receive government subsidies, and mortgages. Bad credit loans can be for many purposes such as bankruptcy loans, personal loans, bill payment loans, dental loans, cash loans, divorce loans, legal loans, emergency loans, child tax credit loans, medical loans, installment loans, unemployment loans, unsecured loans and fast loans.


Short term loans for those receiving government benefits or subsidies can also be used for many purposes such as personal loans, bill payment loans, dental loans, cash loans, divorce loans, child tax benefits loans, legal loans, emergency loans, medical loans, unemployment loans, installment loans, fast loans and unsecured loans.


Bad Credit Short Term Loan

The site provides a calculator where you can essentially view every possibility of loan limits, terms, and payments. Clients can choose the desired amount, select their terms, and payment frequency. The calculator will generate their payments for the selected loan amount. This loan type is only available to employed applicants. The requirements of “how long you need to be employed” range because of different provincial regulations in Canada. You need to be employed for at least 3 to 6 months before you can qualify.


Loan terms

Cash Limits $1500-$20,000

Payday Frequency Options: Bi-weekly, Semi-Monthly, Monthly

Terms: 12, 24, 36, 48, 60 Month Terms



  • Borrow $1500
  • 3.90% per month
  • Pay the loan monthly
  • For the length of 12 months
  • Payments will be $199.05 per  month


Total repaid: $2401.80



The amount repaid of $888.54  includes their lender fee of $194.00 and interest. After reviewing your application, the APR may change depending on the risk assessment of the team’s designated rating.



The basic qualifications are brief and straightforward. Magical Credit requires the following for a borrower to be considered for a bad credit short-term loan:

  • Employed 6 months (Some provinces allow 3 months)
  • Income directly deposited into your account at a verified bank or financial institution
  • A history of paying off past payday loans
  • Must also have a minimum income of $1200 a month to qualify
  •  You can provide proof of income with pay stubs and then confirm your income with  a 90-day bank statement review
  • Magical Credit requires a bill with your address on it to confirm your address


Once they have the information they need, an authorized representative will contact you and explain what you’re eligible for through Magical Credit. They clearly state they are not in the business of approving everyone. Instead, they review each applicant’s unique circumstance and history and decide if you meet their requirements. They will contact you regardless of your application’s success and explain their decision. 


Government Subsidy Loan

Magical Credit offers qualifying low-income households the opportunity to access emergency funds through their exclusive service by accepting several forms of government income as a non-traditional income source for verification. 


All government subsidy loans have a fixed term of 12 months. Therefore, this opportunity for applicants receiving government subsidies is a great solution compared to some higher interest loans. 


The applicant’s circumstances decide the cash limits available for the loan. Once an application is sent online, an agent will contact the client within 24 hours and inform them if and what they are eligible for from Magical Credit. 


Cost Example Provided: 

  • Loaned amount; $1500
  • Terms: 12 months
  • Payments: $199.05 per month
  • Monthly Interest: 3.9%


Total Repaid: $2388.54


Incomes Accepted 

  • Employment Insurance (A summary of your unemployment benefits: start and end dates and rates are required from a CRA (Canada Revenue Agency) letter. 
  • Private Pensions/CPP (Pension: A letter from your insurance or private pension company; stating the terms, rate, and contact information) (CPP: A copy of your most recent T-4 and any increase letters usually received in December/January from the CRA. 
  • WSIB (Workers Safety and Insurance Board: A statement received when the applicant first applied for compensation; detailing the terms and rates expected)
  • CCTB (Canadian Child Tax Benefit: Your most recent notice of assessment is required for consideration)


Terms and Conditions


Magical Credit is a private lender and has zero tolerance for defaulted payments. They state clearly that the entire loan is due upon the maturity date of the initial finalized contract. They do not offer any extensions or exceptions. There are no automatic renewals, and all delinquencies are reported to the credit bureau. 


Clients can pay off their loans at any time without penalty or incurring any additional fees. The rate agreed upon at the signing of your contract will be the same on the last day you are required to pay the loan. You also will only pay the interest accumulated up to the exact day that the entire balance is cleared. 



The basic criteria for both loan types offered are the same; only the details vary. 


Basic Requirements

  • 18 years of age or older
  • Valid bank account
  • Proof of income
  • Valid government ID
  • SIN (Social Insurance Number) Card


COVID-19 New Rules

During this time, Magical Credit has added specific criteria for borrowing for new customers only who are applying during the pandemic:

  • They only accept employment and CCTB as forms of income for new customers for loan consideration. 
  • They only accept banks under instant verification protocols. 
  • There is a maximum non-negotiable term limit for all new customers of 2 years.


Verified Banks Accepted

BMO, CIBC, RBC, Scotia, TD, ATB, CoastCapital, Desjardins, EQBank, FlinksCapital, HSBC, Laurentienne, Meridian, National, Simplii, Tangerine, and Vancity. 


Valid ID Accepted

Canadian Driver’s License

Canadian Passport

Certificate of Canadian Citizenship

Certificate of Indian Status

Canadian Permanent Residency Card

Old Age Security Card

Photo Health Card and Birth Certificate or SIN card

BYID (Ontario residences for alcohol purchases) Cards and Birth Certificate or SIN Card


The Process


By using the online application, your information is securely uploaded to Magical Credit through their secure 128-bit bank-level encryption.  VeriSign is used to monitor all services and maintain the highest level of site security.


They consider all factors during the application process and do not offer any debt consolidation loans. They can, however, advise you to apply for a larger loan and use the funds to take care of multiple smaller debts. 


As an unsecured short-term loan provider, Magical Credit does not need any form of collateral for any of its loans. 


They look beyond your credit history for qualification purposes. However, if you have any history of defaulted payments on payday loans, your application will be rejected immediately. 


They also do not accept anyone in the stages of filing for bankruptcy. Only those that have already been discharged from bankruptcy can apply for their service. 


Any income that is not directly deposited will also be rejected. They operate online entirely through their management software, and specific requirements must be met to lower the risk to the company. This includes being able to verify your income by direct deposit


Your ID and password prompt the system to redirect the request to your bank for the bank verification process where Magical Credit will have access to a read-only copy of your bank statements for the last 90 days. This process is crucial for the approval of your loan. If you are not comfortable with the process, you can arrange to mail or fax your documents. Magical Credit clearly states that they cannot visually view or store your credentials, and the information you provide is strictly protected through their site’s encryption service. 


Referral Program


Magical Credit offers a unique referral program for its current clients. Every friend who applies and qualifies becomes a member of Magical Credit; they offer a $200 referral bonus.


The $200 bonus is paid for every successful applicant you direct to Magical Credit. In addition, the site states that after the second referral, you are also awarded an additional $100 bonus on top of the $200—a great reward incentive for current clients. 


Why Choose Magical Credit


Magical Credit offers borrowers an easy application process, fast approval, fast funding, repayment by installments and no collateral is required. Getting a loan from Magical Credit is simple and you don’t have to provide all kinds of documents to get a loan.


Easy application process

The entire application is done online. You can submit an application at any time from anywhere.  There are a few screens to fill out with your information, some paperwork to provide, and that’s it! There’s no need to book an appointment or wait for days for a response.


Fast approval

Your loan request will be reviewed as soon as possible and you should hear back from Magical Credit within 24 hours of submitting your application. 


Fast funding

You should get your money within a few hours of being approved.



You can have up to 60 months to repay your loan. A longer repayment term makes your payment lower and easier to manage.


No collateral required

Magical Credit offers unsecured loans which means you don’t need to have an asset to secure the loan. Not having to secure a loan can make getting a loan a lot easier.


How to Apply 


Bad Credit Short Term Loan

magical credit 1

Go to the website.

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Select preferences on the calculator and click to Apply Today.

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Provide your information.


Proceed with bank verification and document upload.


Await contact from a representative.

Government Subsidy Loan

Magical Credit 1

Go to the website and select from drop-down Who Qualifies

Magical Credit 2

Select your province

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You are then prompted to the interactive calculator. Select your preferences and click Apply Today.

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You are then redirected to the application for you to add your information.


Complete application and verification procedures. Await Magical Credit agent to contact you.

Frequently asked questions

What credit bureaus does report to and when? reports every loan payment to the credit bureau. If clients find any discrepancies in their report, they are advised to contact their agent to have the matter corrected immediately.

Does offer mortgages?

Although listed on their site as a selected category. It is a third-party redirect, advocating for different banks and financial institutions that partners with. The company is not involved in the mortgage process and simply provides the resource for interested applicants. 

I have been approved and finalized my documents. When can I expect my funds?

Once you have provided all the necessary information to the agent and your loan documents are finalized. You can simply e-sign them through their online client portal. Your funds are immediately released via electronic transfer. The times of deposit will vary by your own bank’s operating hours. 

How much can I borrow from

For both options of either the bad credit short-term loan or the government subsidy loan; the amounts are the same. You can request $500 to $ 20,000. The amount you will be approved for might differ from your request, as the final numbers are based on your income and debt ratios. As responsible lenders, they do not want to cause any further financial difficulties for a potential client by having them commit to an agreement they simply cannot financially remain obligated to. 

Best Choice


As a private lender, Magical Credit provides a service to Canadians that meets their specific requirements and terms. Since they don’t aim to approve everyone, they examine each application individually to ensure all information is accurate and entails a low risk.  


The service is designed for individuals that do not meet a bank or financial institution’s criteria. This is a truly unique service for Canadians requiring emergency funds or a small loan to help improve their financial situation. A loan from Magical Credit can help you improve your credit rating if you make all your payments on time. You can then eventually gain the ability to qualify for loans with more conventional lenders


Magical Credit shows dedication to enhancing low-income family’s financial capabilities through the designs of their programs.


״The secret of happiness, is not found in seeking more, but in developing the capacity to enjoy less״ - Socrates

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