How to Compare Personal Loans in Canada
Compare personal loans on total cost of borrowing, not monthly payment: check the full APR range, use soft-check prequalification, decline add-ons you don't need, and confirm the lender operates in your province.
Why compare on total cost, not monthly payment?
A smaller monthly payment stretched over a longer term usually costs more in total. One Canadian lender's own published example (verified July 10, 2026): a $1,000 loan over 12 months at 29.99% ends at $1,501.08 in total repayment. Ask every lender the same question — what will I have paid in total when this loan is done? — and compare those numbers.
Where will you land in the APR range?
Lenders publish ranges — 9.99% to 35% APR is common — and the bottom of the range requires strong credit. If your credit score is low, compare lenders on the TOP of their ranges, because that's closer to what you'll be offered. Since 2025, no consumer loan in Canada may exceed 35% APR, so any quote above that is a red flag.
What is prequalification, and why use it?
Most online lenders offer a quote based on a soft credit check, which doesn't affect your credit score. Use it to see your actual offered rate from two or three lenders before letting anyone run a hard check. A hard inquiry only happens when you proceed with a full application — keep those to a minimum.
Which add-ons should you decline?
Optional products like loan protection insurance are sold alongside many non-prime loans and can add meaningfully to the total cost. They are optional — a lender cannot make them a condition of the loan. Decline anything you don't understand or need, and check whether the payment quote you were given includes them.
Is the lender licensed in your province?
Lending is provincially regulated, and not every offer is available everywhere. Check the lender's licence disclosures (usually in the site footer) and your province's consumer protection office. Our comparison pages only show offers valid in the province you pick, with licensing notes and verification dates.
Frequently asked questions
Does comparing loans hurt my credit score?
No — as long as you stick to prequalification quotes, which use soft credit checks. Only full applications trigger hard inquiries that can affect your score.
How many lenders should I compare?
Two or three prequalification quotes for the same amount and term is usually enough to see where the market prices you — and it costs nothing.