Bad Credit Installment Loans Guaranteed Approval Canada
Sometimes you need a little more money in your life to help get you through the week, month, or even year. The trouble is, you don’t want to stay in that situation for too long. One of the many bad credit installment loans (guaranteed approval) Canada has on the market right now might be able to help you get what you want and make a permanent change for the better while you’re doing it.
How Canadians in Financial Need Get By
If you’re reading this, you probably need some money, and you probably can’t get it easily from traditional lenders due to a credit score problem. This is a very unpleasant situation to find yourself in, and most people solve it, at least temporarily, by taking out an alternative loan. However, the usual way they choose to do this might not be the optimal solution for their situation.
The most common type of loan for people in this situation is your standard payday loan. There are many good reasons why this is the case – it’s fast, it’s a relatively simple process, and it’s very easy to be approved for one. Usually, it only takes a little bit of money right away to help these people make ends meet; you can pay the light bill with a payday loan, for example, or buy some food to ensure you have the energy to make it to the next day. Taking care of these kinds of small emergencies can stave off the worst of a crisis for a little while longer, even if it doesn’t fix the underlying problems. When your day-to-day life is so rough, though, any kind of relief is welcome.
On top of this, the payday loan shop is one of the only places where applicants with poor credit can count on not being turned away. Many other lenders and financial institutions won’t even look at any kind of loan or credit application from someone whose credit history suggests they will be a terrible risk. After someone experiences this kind of rejection enough times, they will instinctively avoid getting into situations where they will experience it again. This means they may stop trying to find more favorable solutions that have a chance of failing on them. In other words, this quick fix becomes the comfortable thing to do because borrowers know that it will come through for them each time they need it, regardless of whether that dependency is good for them in the long run.
The Trouble With Payday Loans
As you can clearly see from above, payday loans have their uses. However, since they’re intended to provide about the same amount of advance funding as a single paycheck, these loans also tend to be very small. They’re really not large enough to make much of a difference to a dire situation, and can only help to smooth over the most pressing issues. That’s certainly better than nothing, but it isn’t ideal for people in strained financial situations who are also saddled with bad credit. These people will continue to be vulnerable until they are able to make some big changes in their life, and payday loan money usually won’t be enough to make that happen.
Payday loans can also become an extremely expensive crutch if used for a long time. While you won’t usually be paying interest on them for an extended amount of time, the typical interest rates on these loans are astronomical, often reaching several hundred percents when calculated on a yearly basis. In the short term, the expense might seem small (paying $15 to get $100, a typical exchange, doesn’t feel like a big deal in isolation). As soon as you start using these products multiple times, however, those small payments can add up fast. That’s assuming that you make your payments on time and in full each time, too, which isn’t always the case – if you miss your payment or run short of funds, you may end up paying even more interest or heavy non-sufficient funds fees to settle your case. Again, one occurrence of this doesn’t seem like a big deal, but it’s easy to make a habit of it and every dollar counts when you’re anywhere close to the poverty line. The continual fees and charges work to keep you in poor financial straits, and the problem has become so acute in some areas that payday lenders are facing calls for major government regulation.
Lastly, payday loans have one more major flaw; they do nothing to help you rebuild your credit. Unlike most types of loans or credit, payday loan payments are usually not reported to any credit bureau. This means that there is no record of your credit behavior when borrowing this way and that your credit score will not improve in turn. Unfortunately, this can have some pretty dire effects on your overall financial health. If you only use payday loans and never venture out to try longer-term financial products, you’re likely to remain trapped in a bad credit spiral that will keep you from getting the better terms and rates that everyone wants. When that’s the case, it’s hard to even think about working toward something better, and you may remain stuck with financial worries and poor living conditions for far too long.
Why Do You Need Bad Credit Installment Loans Guaranteed Approval Canada?
Installment loans aren’t a quick fix, but if you’re smart about when and how you take them out, they can be much more useful to you than their short-term counterparts. In contrast to payday loans, installment loans give their recipients’ much more financial flexibility and power. Because they are usually significantly larger, borrowers can make much bigger and more beneficial purchases with them. With an installment loan, you can potentially do things like put up the first and last month’s rent for an apartment, replace a failing laptop, buy some textbooks for school, or maybe even start up a business. These things can make incredible changes to your quality of life and even your future earning power, and there’s no reason to wait to purchase them when you can use that purchase to help fix up your credit.
While it’s commendable to want to wait until you can pay for things in cash when you have experienced financial troubles in the recent past, doing this can slow down your economic recovery and cause you to deprive yourself of things you really shouldn’t be going without. Whether it’s new clothes, proper furniture, baby supplies, or anything else you need, they won’t become any less necessary with time; in fact, they’ll probably become more so. There’s no reason to forgo things you would really benefit from having, or even just things you really want, because of a lack of immediate cash flow – as long as you’re reasonably certain you will be able to pay back the amount you need, an installment loan would be a much better solution.
With an installment loan, each payment you make will be reported to the relevant credit agencies as you go. Assuming you are paying in full and on time, as you should, this will incrementally build up your credit score over the full term of your loan. Eventually, you may no longer qualify as having ‘bad credit’ and be eligible to take regular loans and financial products again. In the meantime, you’ll still be paying more over time for the same items that you would if you purchased these things outright, and it will take time (possibly a lot of it) to see any real effects on your credit score – but consider the savings you might be able to reap if you salvage your economic status sooner and don’t need as many payday loans or other unsustainable financial stopgaps. Leaving a precarious situation unresolved will almost always lead to it getting worse. When approval is guaranteed, there isn’t even any uncertainty to contend with, so why take the chance? You have nothing to lose by giving it a try.
Get Yourself a Guaranteed Installment Loan – With Our Help, Of Course
If you’re caught between bad credit and a hard place, Bonsai Finance wants to help you out of this tough situation. All you’ll need to take us up on this offer is an electronic device and an Internet connection. With our extensive and convenient online portal, you can look over some of the many bad credit installment loans (guaranteed approval) Canada has available, then pick one out for yourself. With just a few more minutes of your time, you’ll be able to complete the application for your chosen loan and be ready to hear back from your lender of choice. When you’re ready to give this new solution a try, visit our website and see for yourself how we might be able to help you – there’s no need to settle for anything less than a stable, long-term solution for your financial problems.