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  • May 16th, 2019 10:54 am
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Aug 9, 2016
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Personal Loan

I just wanted to ask everyone for advice. Our family is in need of emergency funds due to a family member being hospitalized back in our country. I was wondering which is a better institution to loan. Is it the bank or to fairstone?

Thank you
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John8graz wrote:
May 13th, 2019 12:44 am
I just wanted to ask everyone for advice. Our family is in need of emergency funds due to a family member being hospitalized back in our country. I was wondering which is a better institution to loan. Is it the bank or to fairstone?

Thank you
The bank will likely be cheaper. A personal loan, a line of credit, or as someone mentioned below, a HELOC. But they will all take time to process, with the HELOC being the most time-consuming.

Fairstone is one step above the payday loan companies, I think. Perhaps easier to get an unsecured loan from them than the banks, but you'll pay for it.

C
[OP]
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Thank you all.

I haven't really thought of the rates but I assumed the easiest way to get cash though is through fairstone?

But now I know, thanks a lot everyone for your inputs
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John8graz wrote:
May 13th, 2019 12:44 am
I just wanted to ask everyone for advice. Our family is in need of emergency funds due to a family member being hospitalized back in our country. I was wondering which is a better institution to loan. Is it the bank or to fairstone?

Thank you
The best place to get a loan depends on your situation.
You have to tell us more

-whats your credit score?
-do you own a home with equity?
-how much do you make and how solid is your employment?
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CNeufeld wrote:
May 13th, 2019 10:32 am
The bank will likely be cheaper. A personal loan, a line of credit, or as someone mentioned below, a HELOC. But they will all take time to process, with the HELOC being the most time-consuming.

Fairstone is one step above the payday loan companies, I think. Perhaps easier to get an unsecured loan from them than the banks, but you'll pay for it.

C
Some offer smaller loans or lines of credits secured against home equity with quicker processing time. Higher interest rate though.
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UrbanPoet wrote:
May 13th, 2019 9:46 pm
The best place to get a loan depends on your situation.
You have to tell us more or

-whats your credit score?
-do you own a home with equity?
-how much do you make and how solid is your employment?
Thank you UrbanQuote.

My current credit score is at around 7.8
I don't have any home/property here in Canada.
Currently employed with an annual income of $40000
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John8graz wrote:
May 13th, 2019 10:15 pm
Thank you UrbanQuote.

My current credit score is at around 7.8
I don't have any home/property here in Canada.
Currently employed with an annual income of $40000
Do you meAn 780?
Thats considered very good.

If youre not all maxed out on credit....
Just go to the bank with all your pay stubs and bank statement ready. Bring a t4a to be thorough.

If it is really a life or death situation ... you could just max out your credit cards to send money. Then make a cobsolidation loan after. You risk not getting approved for a consolidation loan.
But 19.99% creditcard is better then these 30-59% payday loan type companies.
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Jan 15, 2017
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Usually unsecured loans like those at Fairstone are open loans. This means that while they may charge you 29.99% interest, you don’t actually have to pay that rate. You can effectively lower that rate by paying extra payments and by paying earlier. There are usually no penalties for this with open loans.

One of the best ways you can reduce the amount of interest that you pay is to make your first payment the very same day that you receive your loan. These loans are often structured so that your first payment isn’t for 30 or 45 days, during which the loan is just earning interest. Making a payment right away reduces this.

The reality is if you are in a position to repay the loan quickly and greatly reduce the amount of interest that you pay, these loans can work.
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skeet50 wrote:
May 14th, 2019 9:48 am
Usually unsecured loans like those at Fairstone are open loans. This means that while they may charge you 29.99% interest, you don’t actually have to pay that rate. You can effectively lower that rate by paying extra payments and by paying earlier. There are usually no penalties for this with open loans.

One of the best ways you can reduce the amount of interest that you pay is to make your first payment the very same day that you receive your loan. These loans are often structured so that your first payment isn’t for 30 or 45 days, during which the loan is just earning interest. Making a payment right away reduces this.

The reality is if you are in a position to repay the loan quickly and greatly reduce the amount of interest that you pay, these loans can work.
Personal line of credit, home equity line of credit, credit card cash advance all work the same way with lower interest. The only reason to go to a place like Fairstone is because you don't qualify for the aforementioned.
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Jul 2, 2019
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Generally, a personal loan is a type of loan that involves borrowing a set amount of money and paying the creditor off with interest in a structured payoff schedule. These loans are “unsecured” because you don’t have to put up any collateral (such as your house, car, etc.) to get the loan; instead, lenders use your personal credit and other factors to determine eligibility. The concept is simple and similar to the borrowing you’re used to: you borrow and pay that money back. One of the benefits is that you have more flexibility with what you can use the money for.

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