Nowadays, many Canadians are developing poor credit scores and are being locked out of conventional credit options as a result, much to their dismay. Magical Credit is one of many online lenders you might choose to go to if you are in that position. Although they are not the only ones out there, they have some significant upsides to them that make their loans an appealing choice for many.
Examining the Specifics
Magical Credit personal loans are pretty easy to understand. This lender explicitly says that they are open to working with people who currently have bad credit, which means that you can apply to them without worrying about being denied for a sub-standard credit score. You can get your money from these loans in just 24 hours in most cases, which isn’t exceptional as far as turnaround times go in this sector but will more than suffice for most people’s needs regardless. You can pay them back in anywhere from 6 to 60 months, too, making them flexible enough to fit into almost any financial situation (even with the high costs that we’ll get into below). Overall, Magical Credit’s loan offerings come with very few barriers to disincentivize using them, so people from all walks of life can freely consider doing so.
That said, you should expect to pay a pretty penny for this level of easy access. With APRs ranging between 23% and 59.7% annually, these loans are not what anyone would consider affordable. Of course, when they’re one of your only options due to the state your credit is in, the cost is a minor consideration at best. It’s also very common for products aimed at people with bad credit to be at least this expensive or even more so, so it isn’t exactly a shock or out of step with the market as a whole. Everything is kept very transparent during the application and signing process and it should be easy to forecast what the total cost of your loan will be; it’s your job to keep this information in mind when you finalize your decision to go through with borrowing.
A Little Something Extra
There’s something else you might like to be aware of as a Magical Credit customer, and that is their referral program that offers cash incentives for encouraging your friends to sign up. As long as you have an active account with this lender, you will be eligible to receive a link that you can distribute to your friends. If they sign up for a loan and make their first payment on time, you’ll get $50 for your trouble. This isn’t a huge amount of money, but considering how easy it is to get it, it’s a generous offer that you might be able to use to offset the cost of your loan. It doesn’t make sense to count on that revenue when you’re figuring out whether you can afford to make this commitment, though, because it may not pan out regardless. Always look at it as just a good bonus that is nice to have.
Loans Everyone Can Depend On
One great thing about Magical Credit is that they are extremely accessible to just about everyone, something that not all lenders can claim. They serve every province with the exception of Quebec, Manitoba, Saskatchewan, and the North-West Territories, so the majority of Canadians will be able to borrow from them if they choose to do so. They emphasize that the process is quick and easy and that very few people will be turned down if they choose to apply; this includes not only people with poor credit, but also those living on pensions or government income who may struggle to be served by other loan outlets. This isn’t the case for all lenders, so if you fall into one of those two categories, this lender may be one of the few realistic options available to you.
At the same time, you should also not start thinking that this openness means that the company lends irresponsibly. Magical Credit is very aware of the potential for their products to exacerbate an already tenuous credit situation, so they make sure to choose their clients very carefully and to never lend to anyone who they think might be put at risk with further access to credit. They also carefully follow all Canadian regulations at both the federal and provincial levels, a practice which ensures that your loan is always completely legal and operating within the reasonable bounds as determined by the law.
The People’s Approval
There may not be that many consumer reviews of Magical Credit out there yet, but since the company has only been lending since 2014 and is part of a crowded lending market, that should not be considered a red flag on its own. Even though there are only a few of them, the online reviews you can find for this company are very positive and most rave about how easy it is to use these loans. This is an excellent sign that indicates that most people who get them have no problem with the high cost and are satisfied anyway because Magical Credit makes it worth their while. In general, people are extremely happy with their experiences with this company, and that bodes well for what you can expect if you choose to work with them as well.
Magical Credit Can Bring the Magic to You
While it is a more niche field than general lending, bad credit lending is still offered by plenty of financial institutions in Canada. Magical Credit might not stand out much from all those other options, but it’s a perfectly viable choice regardless. If you don’t have bad credit, there are probably many other lenders willing to give you a better deal than what this one will offer you; if you do find yourself in a bad credit situation, however, you’ll be thankful to know that this is one company you can turn to for a potential way out.