If you have a poor credit score and are looking for fast loan approval, LoanConnect Canada could be your answer.
Getting loan approval with a bad credit score is challenging in Canada. The reason is so obvious!
Most lenders are looking to minimize risk and maximize gains by lending to people with good credit scores.
Fortunately, loan search engines like LoanConnect provide opportunities for people with bad credit scores to get fast loans approval with low-interest rates.
Unlike Google, Bing, or other search engines, loan search engines are specifically designed to provide solutions for different loan needs.
This LoanConnect review covers everything you need to know about the search engine in order to make an informed decision.
What is LoanConnect?
LoanConnect is an Ontario-based loan search engine that connects unsecured personal loan lenders with borrowers.
The online loan search engine partners with over 25 lenders to provide customized unsecured loans solutions in Canada. Some of the LoanConnect partners include:
- Lending Arch
- Consolidated Credit
- Easy Financial
Founded in 2016, LoanConnect operates online and services all Canadian provinces and territories.
Headquartered in Toronto, LoanConnect offers access to a wide range of loans, ranging from debt consolidation loans, auto loans, home renovation loans, business loans, among others.
Currently, you can receive up to $50,000 loans at a 5.75% to 46.96% annual percentage rate (APR) on LoanConnect Canada.
How Does LoanConnect Work?
LoanConnect works like other loan search engines. That’s, it connects borrowers with different unsecured loan lenders.
As a result, LoanConnect collects your information and matches you with the perfect loan provider in Canada.
You can apply for up to a $50,000 unsecured loan from LoanConnect and have it deposited in your account within 24 hours after approval.
But depending on your situation, a lender may charge you from 5.75% to 46.96% annual percentage rate (APR). That said, LoanConnect has 3-120 months loan repayment terms. However, you can pay your loan ahead of time to boost your credit score and interest rate.
LoanConnect Types of Loans
As mentioned previously, LoanConnect connects borrowers with different types of unsecured personal loan lenders. The following are some of the unsecured personal loans you can apply on the platform:
- Debt consolidation
- Auto loans
- Home improvement loans
- Business loans
- Vacation loans
- Wedding loans
- Medical coverage loans
Each loan’s annual percentage rate (APR) is calculated based on the borrower’s credit history and personal information.
However, the interest rate may vary based on your province/territory. The interest rate is also subject to change at any time.
As a result, it’s essential to carefully read a lender’s terms and conditions before consenting for loan approval.
That said, making extra payments will help you reduce your interest rate and pay off your debt faster. This will also help improve your credit score.
Is LoanConnect Legitimate?
Absolutely. LoanConnect is a legitimate loan search engine that connects lenders with borrowers. It partners with over 25 top lenders, such as Borrowell, Lending Arch, KOHO, etc.
Furthermore, LoanConnect is accredited by Better Business Bureau, which rates it A+. The company was also rated 4.8/5 on TrustSpot based on 157 customer reviews.
That said, your information on LoanConnect is protected using the latest security encryption tools and is available only to lenders that match your profile.
Overall, LoanConnect is legitimate and safe, so you have nothing to worry about using the platform.
Does LoanConnect Affect Credit Score?
LoanConnect does not affect your credit score when you apply for a loan. This is because LoanConnect doesn’t conduct a hard credit check when connecting you with lenders.
However, your potential lender will run a soft credit check when assessing your loan request. But unlike a hard credit check, a soft credit check doesn’t affect your credit score negatively.
But if your potential lender needs to run a hard credit check, you will be notified before proceeding. You can consent or reject the hard credit check.
Overall, LoanConnect most often helps borrowers improve their credit scores, not reduce them. When you make extra loan payments, you’re likely to increase your credit score while decreasing your loan interest.
Who is Eligible For LoanConnect Loans?
LoanConnect is available for all Canadians, but not everyone can use the platform.
That said, you must meet the following requirements to use LoanConnect:
- Be a Canadian resident
- Reach the age of the majority of your province/territory
- Your total debt shouldn’t exceed 60% of your income
However, LoanConnect may not be ideal for you despite meeting the above requirements. Consider LoanConnect ideal if you:
- Need a personal loan urgently
- Are looking to consolidate your debt with a poor credit score
- Can comply with terms and conditions of a lender
On the other hand, LoanConnect may not be ideal for you if you:
- Have an emergency fund or a source of getting low-interest loans.
- Have a matured savings account
- Find a low-cost alternative to LoanConnect
Pros and Cons of LoanConnect
It’s not safe to jump to LoanConnect without understanding its pros and cons. Like other loan search engines, LoanConnect has its good and ugly sides, to which we now turn.
- Low APR: LoanConnect links you with unsecured loan lenders that charge low-interest rates, ranging from 5.75% to 46.96%.
- Multiple loan options: Choose from a wide range of loan types. From debt consolidation, auto loans, home improvement loans, etc. – LoanConnect links you to multiple unsecured personal loans in Canada.
- No minimum credit score: LoanConnect partners with lenders that approve requests for people with poor and excellent credit scores. This saves you from the discrimination of most lenders in Canada.
- High loan amount: LoanConnect offers access to one of the industry’s highest loan amounts. Once you meet the requirements, you can receive up to $50,000 unsecured loan through LoanConnect.
- Easy and fast application process: Loan application on LoanConnect is easy for everyone that can operate a smartphone and desktop. Once approved, you will get your loan deposited within 24h hours.
- Not direct access: LoanConnect is not a direct lender. It connects you with different unsecured loan lenders. This means you can’t get direct loan access through the platform.
- Limited loan partners: Currently, LoanConnect has over 25 unsecured loan lenders. This limits your options of choosing a better loan.
LoanConnect Review: My 5-Star Rating
Here at Money Reverie, we follow a systematic process of rating products and services. Here’s how we arrived at the 4.0/5-star rating of this LoanConnect review:
|Types of Loan||****|
|Maximum Loan Amount||*****|
|Credit Score Requirements||*****|
LoanConnect Review Rating Analysis
- Interest Rates: The company links borrowers with lenders that charge 5.75% to 46.96% interest rates.
- Types of Loan: LoanConnect links borrowers with multiple options to choose from, such as debt consolidation, auto loans, home improvement loans, etc.
- Maximum Loan Amount: The company offers access to one of the industry’s highest loan amounts. You can receive up to a $50,000 loan once you meet the requirements.
- Partner Lenders: LoanConnect has a few partner lenders, limiting borrowers’ options.
- Credit Score Requirements: As mentioned previously, LoanConnect partners with lenders that approve requests for people with poor and excellent credit scores. This saves you from the discrimination of most lenders in Canada.
- Loan Eligibility: LoanConnect is one of the few loan search engines in Canada with low requirements. You can easily get loan approval through LoanConnect, unlike through traditional lenders.
- Customer Service: A significant number of LoanConnect customers express their satisfaction by writing good reviews about the company. For example, 9 out of 10 customers recommend LoanConnect on TrustSpot.
How to Apply For a Loan through LoanConnect
Applying for a loan through LoanConnect is simple for everyone that can operate a smartphone. However, you must meet LoanConnect requirements to apply for unsecured loans through the platform.
The following are step-by-step processes on how to apply for a loan through LoanConnect:
Login to the LoanConnect website and click the “Login” button if you’ve already signed up on the site. You will be required to enter your email and password.
But if you don’t have a LoanConnect account, visit the LoanConnect website and click on the “Apply Now” button, located at the extreme right-hand of the site.
The “Apply Now” page contains several boxes of information about your:
- Loan amount
- Loan purpose
- First and last name
- Email address
- Date of birth
- Phone number
- Street address
- Employment status
- Annual income
- Citizenship status
- Housing status
After filling all the boxes, you have the option to allow or disallow a soft credit check that will not impact your credit score. You will also be required to accept LoanConnect’s Terms and Conditions and Privacy.
Ensure you read the loan profile beneath the application form before consenting. This contains information about the current interest rate and applicable fees.
This step requires information about your credit score, housing, and other expenses. Click the “Find a loan” button to proceed upon providing the information.
LoanConnect will automatically match you with a handful of lenders that suit your situation. However, you can request another option by emailing the LoanConnect support team at firstname.lastname@example.org.
LoanConnect vs. Loans Canada: Which to Choose?
|APR||5.75% – 46.96%||2.99%-46.96%|
|Loan Amount||$300 – $50,000||$500- $300,000|
|Loan Term||3-120 months||4 – 60 months|
|Credit Score Requirements||None||None|
Loans Canada is one of the top competitors of LoanConnect in Canada. Loans Canada has been in existence since 2012, offering low-interest loans solutions to Canadians.
LoanConnect and LoansCanada share a few similarities and more differences. For example, both loan search engines don’t have credit score requirements.
However, it’s obvious to see from the above table that Loans Canada provides more access to low-interest loans than LoanConnect. Furthermore, you can get access to more loans on Loans Canada than LoanConnect.
As discussed previously, LoanConnect has limited partners to choose from. However, Loans Canada has hundreds of partner lenders to choose from.
Overall, Loans Canada is ahead of LoanConnect in many aspects of comparison. As a result, I recommend Loans Canada over LoanConnect.
Nevertheless, you can use both LoanConnect and Loans Canada to compare more loan rates in order to make a cost-effective decision.
Verdict on LoanConnect Canada Review
Loans have been an integral part of our lives, making it essential to look for low-interest loans at all times.
Unfortunately, having a low credit score is a weakness in qualifying for most loans in Canada. Most lenders that offer loans for people with poor credit scores charge high-interest rates to protect themselves against default.
Thankfully, loan search engines provide access to low-interest rates for people with poor credit scores.
However, it’s obvious from the foregoing LoanConnect Canada review that not all loan search engines are the same.
For example, Loans Canada is ahead of LoanConnect in regards to access to low-interest rates and maximum loan amounts.
Since registration is free on both platforms, it’s essential to compare different lenders’ rates when using any loan search engine. This means using more than one loan search engine at a time. Overall, my LoanConnect review is positive.
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