Struggling with bad credit? You’re not alone. Many Canadians find it hard to get approved for a loan with bad credit in Canada through traditional banks. But the good news is there are still options out there.
In this guide, we’ll break down how you can get a loan with bad credit in Canada, what types of loans to consider, and how BHM Financial can help you get approved fast.
What Does “Bad Credit” Mean in Canada?
Credit scores in Canada typically range from 300 to 900. If your score is below 600, most lenders will consider you a high risk borrower.Learn more about how credit scores work in Canada. This could happen for a variety of reasons like missed payments, maxed-out credit cards, or no credit history at all.
But having bad credit doesn’t mean you’re out of options. It just means you need to work with lenders who understand your situation.
What Loan Options Are Available for Bad Credit?
- Payday Loans: Easy to get but come with extremely high interest rates and short repayment terms. This option often leads to a cycle of debt.
- Unsecured Personal Loans: Some lenders offer these to bad credit borrowers, but approval is rare and interest rates can be very high.
- Secured Loans: These are your best bet. You offer something you own (like a vehicle or mobile home) as collateral. This reduces the risk for the lender and increases your chances of approval.
Why Secured Loans Make Sense
At BHM Financial, we specialize in secured loans for Canadians with bad credit. Here’s why thousands choose us:
- Credit Score doesn’t matter
- Use your vehicle, mobile home, or trailer as collateral
- Borrow up to $50,000
- Same day approval (*Certain conditions apply. Approval timelines may vary depending on loan type.)
- Flexible repayment options
What You Can Use a Bad Credit Loan For
The funds from a secured loan can be used for almost anything, including:
- Paying off high interest debt
- Covering emergency expenses
- Home improvements
- Starting or supporting a small business
- Consolidating existing debts
- Going on vacation
- Paying down student loans
- Paying off car loan balances
- Personal or business-related purchases
Note: We do not finance specific purchases directly. Once the loan is funded, it is up to the borrower to decide how the money is used, whether for personal or commercial purposes.
How to Apply
Getting started is easy. At BHM Financial, we’ve simplified the process into a few quick steps
- Apply Online – Fill out our secure application form.
- Get Approved – We review your info and offer same-day decisions.
- Get Funded – Once approved, receive your funds quickly.
Bad credit shouldn’t stop you from moving forward. Whether you’re dealing with unexpected bills, looking to consolidate debt, or simply want to increase your available cash capital for peace of mind or emergency use, BHM Financial’s secured loans offer a safe, fast, and flexible way to get back on track, even if your credit score isn’t ideal.
Ready to take the next step?
Apply Now for a secured loan and get approved, regardless of your credit score.