Magical Credit Blog

What Does It Mean to Be Self-Employed? A self-employed person is someone who does not work for an external employer that pays them a fixed salary or wage. Read More

Living Wages in Canada: A Snapshot of 2022 With inflation being such a hot topic, discussions around the living wage have grown increasingly louder. Read More

If you have regularly created budgets for your monthly expenses in the past, chances are that you have needed to add some large expenses from time to time that are over and above your regular expenses such as your rent, food, transportation costs, etc. Maybe your car broke down and needed urgent repairs to get back on the road. Or maybe you are planning for your upcoming wedding. Whatever the case may be, these expenses can often compromise your best-laid plans, and prevent you from meeting your savings and investment goals. However, it doesn’t need to end that way!

If you have worked with a bank to obtain a loan for personal or business purposes, you have likely seen that the process to do so is rigorous and comprehensive. At their core, banks are for-profit enterprises which means that they have fiduciary duties to prudently manage their shareholders’ capital and only lend to people and businesses that meet certain risk criteria. Each bank has its own criteria and requirements for lending that prospective borrowers have to abide by to receive a loan or any other debt product. However, there are certain common items that every bank evaluates in order to make a lending decision.

Unexpected circumstances happen all the time in life. Things like emergency car repairs, health issues, and other non-budgeted expenses can come seemingly out of nowhere and squeeze the monthly financial budget that you worked so hard to maintain.

With the rise of online lending, the notion of ‘guaranteed loan approvals’ has become more and more common both as a marketing tactic, and unfortunately, in many cases as a scam. As a standalone concept, ‘guaranteed approvals’ sound great, particularly for borrowers who may not have the credit history or score required by conventional lenders such as banks.

However, most credible personal loan lenders (conventional or alternative) will likely not advertise guaranteed approval for the simple reason that loans come with specific risks to both the lender and the borrower. Before providing approval, a legitimate lender will ensure that they conduct the right checks and due diligence to protect their own capital, but also prevent borrowers from taking on financial burdens they may not be equipped to take on.

What is the purpose of an education loan? If you are currently working at a job and want to take the next step in your career, a common way to do so is by going back to school to acquire additional knowledge and skills. Read More