Now delivering a more accessible loan

All Canadians need access to fair and transparent money services at competitive rates. That’s why Canada Post is expanding its offerings to help more Canadians reach their goals.

Offering personal loans will help communities connect to the financial services they need. This is a natural extension of the financial services we already offer Canadians, including money and wire transfers, and pre-paid debit cards.

A Canada Post MyMoney Loan offers a fixed repayment schedule so that you can pay off your debt over the term of the loan. Also, by using the loan to pay off higher interest rate debt, you can save money on interest payments.

A Canada Post MyMoney Loan is a flexible solution that you can use for many purposes, for example to finance a renovation project, consolidate debt, or make a big purchase. With a set repayment term of 1–7 years and fixed regular payments, you will be able to budget and know when the loan will be paid off.

You can learn more about Canada Post loans above. The steps to apply for a loan are outlined above.

A fixed interest rate stays the same for the term of your loan, meaning you benefit from knowing exactly how much interest you will pay and when you’ll have repaid your debt.

Variable interest rates can fluctuate up or down when the prime rate changes and your regular payments remain the same over the term of your loan. If the interest rate decreases, more of your payment goes to the principal amount owed, meaning you may end up paying off your loan faster.

If the interest rate increases, more of your payment goes toward interest, meaning it may take you longer to pay off your loan.

Your actual loan rate will depend on your credit score and other factors. View our competitive rates. TD Prime Rate is 3.70% as of June 02, 2022.

No, you don’t need to be an existing TD customer. If you’re a new customer, TD will help you set up a new customer profile including access to online banking so you can check your loan details once it is set up.

Your interest rate will be determined by a number of different factors, such as whether you’re getting a fixed or variable rate loan, how long you’ll be taking to pay it off as well as your credit history. You can learn more about the interest rate ranges above.

Your credit score or rating is reflective of your credit related activities — this includes the bills you pay, the types of credit products you have (like credit cards, loans or mortgages), your debt levels, and credit inquiries.

All these factors go into how the credit bureau determines your credit score which is generally a number between 300 and 900. The higher the number, the better your credit rating. But why is this important? Simply, it uses past behaviour to estimate your ability to pay back debt. Your credit score, along with other factors, can impact both the amount of credit you could be approved for, and in some cases the interest rate you will pay.

So if you have a history of late payments or already have credit products that are near their limits, this may impact your ability to be approved for a loan. Having an established credit history may also impact other activities, such as being eligible to rent an apartment.

Learn about building credit in the next section.

Whether you’re a new Canadian or someone who’s just starting out with credit, it’s important to start building your credit rating within Canada. And while establishing credit history takes time, there are some things you can do to get started.

Whenever you have credit products in your name, pay them on time. This can also include regular bills like utilities.

Apply for credit wisely to minimize the number of credit checks under your name.

Consider using an asset (e.g. funds in an account) to secure a credit product to help you establish a credit history.

There are also credit products, like the Canada Post MyMoney Loan that are accessible to Canadians, even new ones, who may not yet have an established credit history. And you can apply online quickly and easily.

Find out how to improve a credit score in the next section.

The good thing about credit scores is that they are not locked in stone. These scores are constantly fluctuating in response to different factors.

Five factors that impact your credit score:

1. Payment History

   Whether or not your bills are typically paid on time.

2. Credit Utilization

   The amount of currently available credit being used.

3. Credit History

   The length of time you’ve had your credit products.

4. Credit Mix

   The types of credit you currently hold.

5. Credit Inquiries

   The frequency that credit checks are performed.

This means that paying your credit and other bills on time can impact your credit score. Additionally, you can also work to pay down the debt you hold and not use all of the credit available to you to reduce credit utilization. You should also be careful when taking on new debt to ensure it’s something you really can pay off. As for credit mix, having different types of credit products that you manage responsibly over time, may improve your credit score, such as a credit card, line of credit, and a personal loan.

You can apply online for a Canada Post MyMoney Loan quickly and easily. Apply now button 6.

Determining whether your application will be approved, your loan amount and the interest rate you will pay involves many factors. But things like having a history of not paying bills on time, being close to the credit limits on the products you already have, holding a high ratio of credit to income, or simply not having enough of a credit history, can all negatively impact your likelihood of approval. This can result in you being declined, or in some cases approved for a smaller loan than what you applied for.

As you establish your credit history, you increase the likelihood of being eligible for larger loans with lower rates.

This loan is an unsecured term loan. Unsecured in this case means that you don’t have to back it with any collateral as security, such as property. Instead, it’s based on your creditworthiness.