Get Approved for a Bankruptcy Loan in Ontario

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Congratulations! You’ve just been discharged from bankruptcy, and you’re on the mend from financial hardship. So take a moment and recognize your accomplishment.

But, the hard work is only starting.

Borrowing after bankruptcy seems about as likely as a 5 PM mid-week, traffic-free commute down the 401 – not going to happen. The challenge with discharged bankruptcy is that you’re left with a bad credit score, without many ways of rebuilding it. Banks won’t look past your poor credit, so any attempts of asking them for a loan or a credit card will be futile. And most personal lenders are only interested in giving loans for large sums of money – something that you just don’t have at the moment.

Luckily, there’s Magical Credit. While we can’t offer you an easy commute back home on the 401, we can offer you flexible bankruptcy loans in Ontario. You can start rebuilding your credit after bankruptcy, opening yourself up to financial opportunities in the future!

So take 5 minutes, and apply online for a bankruptcy loan in Ontario from Magical Credit!

Need a bankruptcy loan, but aren’t sure you can keep up with the loan repayment terms? Calculate your monthly loan payment schedule with our personal loan calculator!

I want to borrow:

< $2000 >
$2,000
Min
$10,000
Max

Why You Might Need a Bankruptcy Loan in Ontario

  • Financing a car: Getting a car after bankruptcy is difficult. You can’t afford to lease, and buying is out of the question. You’d like to finance, but your poor credit score doesn’t give you confidence. Magical Credit’s bankruptcy loans improve credit score after bankruptcy, and can help get you behind the wheel of a new car.
  • You want to buy a house: Buying a house after bankruptcy means taking out a mortgage after bankruptcy, which you can forget about it unless you improve credit score. Not to worry – Magical Credit can be your first step towards owning a home down the road.
  • A second chance: Borrowing after bankruptcy is exhausting. If you’re fed up with being turned down by financial institutions for loans or credit cards, Magical Credit can provide bankruptcy loans to give you the second chance you deserve.
  • Cheaper insurance: Part of the algorithms that insurance companies use to determine your premium is your credit score. Meaning if you improve credit score, you’ll get cheaper insurance. In the long run, it’s a smart financial decision to take the necessary steps of improving credit score.
  • Better employment options: Many employers will run credit checks on potential employees and are more likely to hire those with good credit, as it shows reliability. Let Magical Credit help improve your credit after bankruptcy, and secure the job of your choice.

Ontario Bankruptcy Loans FAQs

Is it a bad idea to keep taking out money after I was just discharged from bankruptcy?

You should be careful, but it’s actually a very wise financial decision. If you take out a loan and pay it back very quickly, it improves your credit score. And a good credit score improves your chances of getting better loan rates in the future, which can facilitate buying a house, financing a car, and so much more.

Just make sure that you pay off all loans from now on in a timely manner!

I was discharged from bankruptcy but I don’t know how to increase credit score. How can Magical Credit help?

Your credit score reflects your reliability in repaying loans. So our best advice on how to increase credit score would be to pay back all loans in a timely manner. That is what we offer. We give loans when other financial institutions won’t, so that you can pay it off, and show financial institutions that you’re reliable.

If I’m still in bankruptcy, can I get a loan?

No. Our bankruptcy loans aren’t for people who are currently bankrupt, but for people with discharged bankruptcy to increase credit score when nobody else will help.

Do I have a higher interest rate, being that it is a bankruptcy loan?

No. Although loan companies with varying interest rates would offer bankruptcy loans at tremendously high interest rates, we keep ours consistent at 3.9% monthly, regardless of the loan.

What kinds of income are accepted by Magical Credit?

We accept employment income, as well as all kinds of government grants and subsidies. As long as you’re making at least $600 a month, and that money is deposited directly into your bank account, Magical Credit will accept it as a form of income.

If I’ve defaulted on a payday loan before, can I be eligible for a bankruptcy loan?

Unfortunately, if you have previously defaulted on a payday loan, you will be immediately ineligible for a bankruptcy loan. The first thing we do is check credit history, and we have a zero tolerance policy for previously unpaid payday loans.

How long after bankruptcy can I buy a house?

This kind if question is really difficult to answer, because it depends on so many factors. But the only thing we can say for sure is that buying a house after bankruptcy will take discipline, and some work on rebuilding your credit score.

How much money can I borrow for a bankruptcy loan?

Our bankruptcy loans range from anywhere between $500 and $10,000.

Which pieces of ID are valid for my application?
  • Valid Canadian Driver’s License
  • Valid Canadian passport
  • Certificate of Canadian Citizenship
  • Certificate of Indian Status
  • Canadian Permanent Residency Card
  • Old age security Card
  • Photo Health Card and Birth Certificate or Social Insurance Card
  • BYID Card (LCBO) and Birth Certificate or Social Insurance Card

Need an emergency loan, but aren’t sure you can keep up with the loan repayment terms? Calculate your monthly loan payment schedule with our short-term, personal loan calculator!

Our loans are considered short-term loans and have up to a 12-24 month term with an interest rate of 3.9% per month.
Loan Example
Term
1 Year
APR
56.50%
Amount
$2,000.00
Fees
$194.00
Interest Rate (46.8%)
$936.00
Total Cost of Borrowing
$1,130.00
Total Due End of Term
$3,130.00
NOTE: You can pay off your loan at any time with no penalty.
You will only pay interest up to the date you borrow it.
Terms and Conditions: (APR 23% min - 59.7% max) Loan amortization is between 12-24 months. Loan must be paid in full by the end of term, no extensions or exceptions, no automatic renewals. Failure to pay your debt on time with impact your future credit with Magical Credit Inc. and other credit lenders. All delinquencies will be reported to the Credit Bureau.