A Quick Guide to Short Term Loans in Canada

Posted on Friday 21 August 2020


We’ve all been there—all of a sudden your dishwasher breaks and you don’t have enough to cover the repair until the next paycheque in two weeks. Or you’re down to your last $10 and you forgot to leave room to pay that electric bill for the month. You could overdraft your bank account, but you’ll have to deal with all of the fees that come along with it (and suddenly, that extra $50 that you needed quickly skyrockets into $200).

If you’ve ever been in a situation where you needed funds quickly, you know how stressful it can be. Wouldn’t it be great if there was a loan that keeps your bank account covered, no matter what? A short term loan is a great way to cover smaller, one-time expenses without spending months paying interest over the life of your loan.

The good news is that short term loans are readily available across Canada—the key is knowing where to find the right one. Take a look at the sections below for everything you need to know about short term loans, including where to find the best short term loans in Canada.

What is a Short Term Loan?

If you’ve never gotten one before, you’re probably wondering what a short term loan even is. The answer is simple: it’s a smaller type of loan that covers your expenses from one paycheque to the next. And instead of having loan payments for a few years (like traditional loans), you’ll pay your loan back over the next few weeks.

With lower fees and interest rates, short term loans are becoming much more popular across Canada. But why take out a short term loan to begin with? Here are some of the most common reasons that you might want to choose a short term lender:

  • Your credit score isn’t high enough to qualify for a traditional loan
  • You need quick approval and access to funds
  • You need to cover an urgent, last-minute expense
  • Your bank account is running too low to cover you until your next paycheque

A short term loan is exactly how it sounds: a fast, easy loan that gets repaid as your regular paycheques come in. Now, let’s take a closer look at how that process works.

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How Do Short Term Loans Work?

Short term loans work a little differently from traditional loans, which is a good thing. Here’s a quick overview of how these loans work:

  • You apply online or through a storefront
  • Once you’re approved, you’ll get your funds by the next business day (or sooner)
  • Payments are automatically deducted from your bank account on payday
  • Full repayment can be completed in anywhere between 30–60 days

Generally speaking, the process of applying for and getting your loan with a short term lender is much quicker and easier than with a bank or a credit union. All short term lenders have their own unique rules for borrowing, but these types of loans are typically easier to get because:

  • Short term lenders don’t have high credit score or income requirements
  • Some payday lenders will let you apply completely online

Short term loans are a good choice for someone who wants a simple, quick, and convenient borrowing process, no matter what their income or credit score might be.

Where Do You Get a Short Term Loan in Canada?

The best place to get a short term loan in Canada is online, at MyCanadaPayday.com. There are tons of reasons to choose us for your short term loan, from amazing reviews, our world-class customer service, or simply the fact that you can apply in under 15 minutes online.

As long as you have an internet connection, are at least 18 years old, have 60 days of banking history, you can fill out an application. We know your time is valuable, which is why we make getting a short term loan as easy and as straightforward as possible.

What Makes a MyCanadaPayday Short Term Loan Different?

Getting a short term loan from MyCanadaPayday can make a world of difference—especially with the stress that comes from nagging bill deadlines. So what sets MyCanadaPayday apart from other lenders? Here are a few of the reasons why we’re the best short term lender in the country:

No high credit score requirements

Don’t panic if you don’t have an 800 credit score. MyCanadaPayday believes that all Canadians deserve access to fast, convenient loans, so you won’t be denied a loan based on your credit score. After all, no one is perfect, and especially not when it comes to credit—why should a lender expect you to be?

Short term loan applications are available online

Don’t feel like driving over to a storefront lender or getting on the bus? Would you rather stay in your comfy clothes and not have to worry about getting dressed? Or maybe you’re out of town traveling for a few days and don’t have a lot of extra time to spare.

Fill out our application from the comfort of your couch on a commercial break, apply while you’re waiting for your server to bring the desert, or poolside with a drink in hand. As long as you have an internet connection, you can send in your application for a short term loan with MyCandaPayday.

MyCanadaPayday gives loan approval in 30 minutes (or less!)

When you are tight on cash, the last thing that you want to do is sit around waiting to see if you’ve been approved for a loan. With MyCanadaPayday, you can eliminate stress with short term loan approval in 30 minutes or less. It’s just another way that we make the lending process as smooth—and as painless—as possible.

Loans are distributed with secure EMT transfers

Once you get an email announcing your approval and sign the lending agreement, you’ll receive your funds via a secure EMT bank transfer. This gives you the peace of mind to know that your funds will be distributed directly into your account—all without any additional transfers or waiting.

MyCanadaPayday offers flexible payment schedules

Everyone gets paid on different cycles and schedules, so it only makes sense to have flexible payment options. Choose to repay your loan on your next paycheque or even two paycheques from now. We want each and every borrower to set themselves up for financial success—so you don’t have to worry about being locked into a payment schedule that doesn’t fit your needs.

We’re 100 percent Canadian-owned

Being a part of the local community is something that we are proud of. Not only do we offer short term loans across Canada, but we are completely Canadian-owned and operated. That means that when you call our customer service line, you’re not getting an outsourced office located halfway across the world.

MyCanadaPayday support is top-notch

My Canada Payday is consistently highlighted as being one of the best lenders to work with, especially when it comes to our customer service team. Our hundreds of 5-star reviews prove it! And our customer service team is available every day (even holidays and weekends) to help answer questions and make sure that you feel confident in the lending process.

If you need a short term loan that gives you flexibility, convenience and easy repayment terms, don’t waste time searching. MyCanadaPayday is ready and waiting to help you get the funds you need! Get a hold of our customer support team or visit our FAQs to learn more about what sets us apart as one of the top short term lenders in Canada.