$10,000 loans in Canada: Fast decisions for bad & good credit

If you need to take out a $10,000 loan in Canada, there are plenty of lender options, including banks, credit unions and online lenders. Those with good to excellent credit (a credit score of 660 or higher) will get access to lower interest rates and better loan terms. Borrowers with fair or bad credit (a credit score below 660) will need to shop competitively to find the best personal loan terms and rates.

Where to get a $10,000 loan in Canada

You can take out a $10,000 personal loan in Canada from four types of lenders: banks, credit unions, online lenders and peer-to-peer platforms.

• Banks

  Banks are a solid option for borrowers with strong credit scores. Banks usually offer some of the lowest interest rates, but the application process takes longer. If you want to take out a $10,000 personal loan from a bank, check your credit report and make bill payments and credit card payments on time to show that you’re a responsible borrower.

• Credit unions

  Credit unions offer personal loans with rates that are equal to or better than banks. However, you’ll need to sign up for a membership to get a loan (usually a nominal fee between $5 to $25). Applying for membership and waiting on approval and funding could take weeks, so this isn’t your best option if you’re looking for a fast $10,000 personal loan.

• Online lenders

  Online lenders are faster than banks and credit unions. It’s possible to fill out a loan application in minutes and receive money the same or next business day. Online lenders might offer higher interest rates than banks, but some offer competitive rates to borrowers with strong financial profiles. Others offer $10,000 loans for bad credit.

• Peer-to-peer (P2P) platforms

  Rather than funding your loan directly, peer-to-peer lending platforms connect you to private Canadian investors who fund your loan. The application process is similar to an online lender, but it can take one to two weeks to get your money since you’ll have to wait for investors to provide funds. It takes a credit score above 700 to qualify.

Types of personal loans

Personal loans come in a variety of forms, from unsecured loans to secured loans, bad credit loans and cosigned loans. Here’s a look at your options to help you decide which type of $10,000 personal loan best suits your needs:

• Secured loans

  Secured personal loans require collateral (like home equity or a car) and generally come with lower interest rates than unsecured loans. If you default on your loan, the lender has the right to repossess and sell the collateral to get repayment. This assurance is why a secured $10K loan can come with a lower rate than an unsecured loan.

• Unsecured loans

  Unsecured personal loans don’t require collateral and come with higher interest rates than secured loans. Unsecured loans are commonly offered by online lenders. The application and approval process is usually pretty quick, meaning you could secure a $10,000 personal loan the same day you apply.

• Fixed-rate loans

  Fixed-rate personal loans have an interest rate that stays the same throughout your loan term (the length of time you have to pay back the loan). This gives you predictable monthly payments and allows you to budget accordingly. Banks, credit unions, online lenders and P2P lenders all offer fixed-rate loans.

• Variable-rate loans

  With variable-rate personal loans, the interest rate changes with the markets. You can usually find variable-rate financing from banks and credit unions, although some alternative lenders like Symple also offer variable-rate loans. Variable rates are lower than fixed rates but go up and down with prime, which is influenced by the Bank of Canada target rate.

• Cosigned loans

  If you can’t qualify for a $10,000 loan on your own, ask a family member or close friend to cosign the loan with you. The catch? If you default on payments, your cosigner will be responsible for repayment, and both your credit scores will take a hit.

• Debt consolidation loans

  A $10,000 debt consolidation loan pays your existing debts (like credit cards, bank overdrafts, lines of credit and other loans), rolling your old debt repayments into one new fixed monthly repayment. The goal of a debt consolidation loan is to get better rates and terms than you currently have.

Get a $10,000 personal loan with bad credit

Have poor credit? Don’t worry, you have options. Compared to banks and credit unions, these lenders are more likely to approve a $10,000 loan with bad credit. Looking for more options? Explore the best bad credit personal loans in Canada.

Lender	Features	Requirements
	Rates: 9.99% - 46.99% Terms: 6 - 60 months	Min. income of $2,000, min. credit score of 550, 3+ months employed	Go to site
	Rates: 8.99% - 46.96%. Terms: 3 - 120 months	Canadian citizen or permanent resident, age of majority in your province of residence, current debts must total less than 60% of your income	Go to site
	Rates: 9.90% - 46.96% Terms: 4 - 60 months	Canadian resident, age of majority in your province of residence	Go to site

Can I get bad credit personal loans with guaranteed approval for $10,000?

In Canada, legitimate lenders don’t guarantee approval. Your finances will always be evaluated before you can get approved. Lenders advertising bad credit personal loans with guaranteed approval for $10,000 are either scams or predatory. The fine print will prove that these loans aren’t guaranteed.

If you want to increase your chance of approval for a $10,000 loan with bad credit, consider legitimate online lenders like Spring Financial or online brokers LoanConnect that match you with suitable lenders based on your financial profile.

Can I get a $10,000 loan in Canada with…

No credit check?

There are lenders in Canada that offer $10,000 loans with no credit check, but expect to pay high interest rates or possibly provide collateral such as your car. Instead of assessing your credit score, no-credit-check lenders examine your income and bank statements to ensure you can afford repayments. To get approved, your income must be stable, and your bank account activity should have little to no NSF payments in the last three months or longer.

No credit history?

It’s possible to get a loan with no credit history if you work with certain lenders, especially car title loan lenders.

No job?

Lenders want to make sure you can repay your personal loan. If you need a loan while unemployed, be prepared to show proof that you still receive a steady stream of funds. Lender requirements vary, but some accept alternative forms of income like Employment Insurance (EI), government benefits, private pensions, CPP and OAS, investment earnings, along with other forms of non-employment income.

Instant approval?

Online lenders are a solid option if you have bad credit and you’re looking for the fastest way to get approved for a $10,000 personal loan. Many online lenders offer instant pre-approval and approval within 24 hours.

Online lenders use technology to rapidly evaluate your information and determine whether you are pre-approved or denied for a $10,000 loan. This usually takes minutes. If you want to proceed, the lender will examine your finances in more detail and conduct a hard credit check. Some offer same-day funding. Learn more about getting a fast personal loan here.

How to get a $10,000 loan in 5 steps

1. Compare loan providers. After finding lenders like the ones above that offer $10,000 loans in Canada, compare term lengths, interest rates, fees, requirements and reputation.
2. Get pre-approved. Find out what lenders are willing to give you by applying for loan pre-approval. This can usually be done in minutes, it doesn’t impact your credit score and you’re under no obligation to move forward.
3. Choose a lender and finish applying. Once you’ve selected a lender, submit a full application by providing additional personal and employment information. At this stage, lenders usually do a hard credit check, which temporarily dips your score.
4. Verify your information. Upload or email copies of government-issued ID, proof of income and proof of Canadian residency. Acceptable documents often include recent bank statements, utility bills, pay stubs and tax Notices of Assessment.
5. Sign your loan contract. It could take hours up to several days to get an application decision, depending on the lender. If approved, review and digitally sign your loan documents.
6. Get funded. Many $10,000 loan providers send money the same day (or within 24 hours) via direct deposit or Interac e-Transfer.

What do I need to apply for a $10,000 loan?

Every lender has its own criteria, but generally you’ll need to meet the following requirements:

• Be at least the age of majority in your province or territory (18 or 19)
• Be a resident of Canada
• Have a Canadian bank account
• Have a 660+ credit score, although some lenders offer $10,000 loans for bad credit.
• Receive regular income
• Have non-expired government-issued photo ID like a passport, driver’s license, provincial ID card or permanent residency card.

$10,000 personal loan calculator

For reference, Statistics Canada reports that 9.32% is the average personal loan interest rate in Canada. Loan terms usually last up to 60 months, although some can be longer.

Let’s say you get a $10,000 loan with a 10% interest rate and a 5-year term. The monthly payment would be $212.47. After 5 years, you would’ve paid $2,748.23 in interest.

• How to use this calculator to determine the cost of a $10,000 personal loan

  1. Enter $10,000 under Loan amount
  2. Write the loan term in years (not months) under Loan terms
  3. Under Interest rate, enter the interest rate if there are no fees. Otherwise, enter the annual percentage rate (APR), which includes both interest and fees.
  4. Hit Calculate

What is the monthly payment on a $10,000 loan?

Repayments on a $10K loan depend on your loan term and interest rate. Longer terms will give you lower monthly payments, but you’ll pay more interest over the life of the loan.

Example: $10,000 loan over 3 and 5 years with different APRs

Your goal is to commit to a repayment plan that fits your budget. Don’t overstretch your monthly budget by dedicating too much of your income to loan payments. At the same time, don’t choose repayments that are so low, it takes longer to get out of debt.

How to compare $10,000 loans in Canada

Whether you’re applying for a $10,000 loan with bad credit or good credit, pay attention to the costs involved. To get approved, your debts cannot exceed your income, and your budget should demonstrate that you can manage additional loan payments.

Understand exactly how much of your loan payments are going toward the interest vs the principal. The interest rate tells you what the lender charges to borrow money, but the APR reflects interest plus loan fees and provides a more accurate overall picture of the cost of getting a loan.

People applying for $10,000 bad credit loans will end up paying higher APRs. If you can afford to wait six months, improve your score by paying bills on time, avoiding non-sufficient funds (NSF) fees and not adding to your debt.

Having a cosigner increases your chances of approval and may also lower your interest rate. But make sure your cosigner understands what they’re committing to when signing the loan documents.

Here’s a quick checklist of what to consider when getting a $10,000 loan.

• Interest rates. Some lenders offer pre-approval loan quotes without impacting your credit score.
• Loan term. Term lengths typically range from 3 – 60 months. A longer term will lower your monthly payments, but you’ll pay more interest over the life of the loan.
• Fees. Ask about NSF fees, late payment fees, prepayment penalties and origination fees (loan processing charges). Legitimate lenders won’t ask you to pay any fees before getting a loan, so avoid lenders that ask you to pay an upfront fee.
• Turnaround time. The time it takes to get your loan approved and for it to arrive in your bank account will differ among lenders. Online lenders can fund loans on the same day or the next day, while traditional lenders can take between one and three weeks. If your need for a $10,000 loan is urgent, consider emergency loans.
• Eligibility requirements. Which lenders operate in your province or territory? Loan providers often list their criteria online, such as minimum income and credit score.
• Loan insurance. Lenders might offer insurance to cover your repayments in the event of a death, job loss or illness. This is legal, but the lender should never require or pressure you into getting it. Loan insurance adds to the cost of your loan and, by law, should be optional.
• No pressure. Avoid lenders that pressure you into signing a contract. Even if a lender doesn’t pressure you, never rush into a loan agreement without first understanding the terms of your loan, including the APR, the repayment schedule and how much interest and fees you will pay overall.

What credit score do I need for a $10,000 personal loan?

To get approved for a $10,000 loan, you typically need a good credit score (above 660) or a fair credit score that’s close to 660. If you have bad credit (below 560), it might be possible to get a $10,000 loan from an online lender. If you don’t qualify to borrow the full amount, an online lender might approve you for less.

What can I use a $10,000 loan for?

Lenders don’t usually restrict how you can use your loan. Flexibility is one of the reasons why personal loans are such a popular financing option. A $10,000 personal loan can be used for:

Should I get a $10,000 debt consolidation loan?

If you have good to excellent credit and high-interest debts like credit cards, a debt consolidation loan could simplify your monthly payments, reduce your interest and help you get out of debt faster.

If you have bad credit, you won’t get approved for a competitive rate. A debt consolidation loan is worthwhile if it reduces the cost of your debt, so only proceed if you’re offered a loan with better rates or terms than you currently have.

1 in 5 Canadians planned to get a loan in Q2 2023

Data from the Finder: Consumer Sentiment Survey Q2 (CSTQ2) 2023, shows that 20% of respondents planned to take out a personal loan between April and June of 2023. Turns out the majority of Canadians looking for financing planned to borrow less than $15,000.

FAQs

• How can I get a $10,000 loan fast?

  The fastest way to get a $10,000 loan is to apply through an online personal loan provider. Online lenders like Spring Financial, Mogo and Fat Cat can fund a $10,000 personal loan in 24–48 hours.

• Can I get a $10,000 loan with bad credit?

  Online lenders are more likely to approve you for a $10,000 bad credit loan than banks and credit unions. However, to get approved, you'll need to demonstrate to online lenders that you have sufficient income to pay back the loan. If they don't approve you for $10,000, they may approve you for a lower amount.

• How do I get $10K immediately?

  You can't get a $10,000 loan instantly, because lenders must review your finances after you apply. But if you need $10K as fast as possible, online lenders offer quicker approval and funding than banks and credit unions. You can apply online, get pre-approved in minutes and receive your money via Interac e-Transfer or direct deposit as soon as the same day.

• How long does it take to get a $10,000 loan?

  That depends on whether you apply through a traditional or online lender. Online lenders like many of those above can fund a $10K loan in 24 hours up to several days. Banks usually take longer, taking anywhere from several days to several weeks to approve and send funds.

To make sure you get accurate and helpful information, this guide has been edited by Stacie Hurst as part of our fact-checking process.

Written by

Carmen Chai

Writer

Carmen Chai is a freelance writer at Finder, specializing in financial products. She is an award-winning Canadian journalist who has lived and reported from major cities such as Vancouver, Toronto, London and Paris. She has reported on personal finance, mortgages, and banking products for nearly a decade. See full bio

Co-written by

Leanne Escobal

Publisher

Leanne Escobal is a publisher for Finder. She has spent over 11 years working with financial products and services, specializing in content and marketing. Leanne has completed the Canadian securities course (CSC®) as well as the personal lending and mortgages course by the Canadian Securities Institute. She has a Bachelor of Arts (Honours) in English literature and creative writing from Western University. See full bio