Top 5 Personal Loans in Canada for 2025
Before diving into the top lenders, it’s important to understand what a personal loan entails. A personal loan is an unsecured loan, meaning it doesn’t require collateral like a house or car. This makes it a flexible option for borrowers who need funds for multiple purposes, including:
- Debt consolidation
- Home renovations
- Medical bills
- Vacations
- Other personal expenses
Unlike credit cards, personal loans usually come with fixed interest rates and a set repayment schedule. This means you’ll know exactly how much you owe each month and when your loan will be fully paid off, which can help with budgeting and financial planning.
5. Borrowell Personal Loan
Borrowell ranks fifth on our list but is a strong contender, especially for those who prefer a fully online experience. Borrowell offers personal loans with interest rates starting as low as 5.6%, making it a competitive choice for borrowers.
Key Features:
- 100% online application process, allowing you to apply from the comfort of your home
- Free credit reports and credit monitoring included, which can help improve your credit score over time
- Flexible loan amounts and terms
Who is Borrowell best for? If you’re tech-savvy and want a seamless digital lending experience while also keeping tabs on your credit health, Borrowell is a great choice.
Pros:
- Completely online, easy application
- Free credit score and monitoring
- Competitive interest rates
Cons:
- May not be ideal for those who prefer in-person banking
4. RBC Personal Loan
The Royal Bank of Canada (RBC) is one of Canada’s largest and most trusted banks, and their personal loan offerings reflect that reliability. RBC personal loans come with competitive rates and flexible repayment terms, without any application fees.
Key Features:
- Competitive interest rates tailored to your credit profile
- Flexible repayment terms to suit different financial situations
- No application fees
- Fast approval process, especially for existing RBC customers
Who is RBC best for? If you already bank with RBC or prefer dealing with established financial institutions, RBC’s personal loan is a solid option. Their personalized service and quick processing can make borrowing hassle-free.
Pros:
- Trusted, well-established bank
- No application fees
- Flexible terms and competitive rates
Cons:
- May require good credit for the best rates
- Less digital flexibility compared to online-only lenders
3. TD Personal Loan
Third on our list is TD Bank’s personal loan, which offers low fixed interest rates starting at about 5.99%. TD provides flexible terms ranging from one to five years, giving you the ability to choose a repayment schedule that fits your budget.
Key Features:
- Low fixed interest rates
- Flexible loan terms from 1 to 5 years
- Personal loan calculator on the TD website to estimate monthly payments before applying
Who is TD best for? If you value transparency and want to plan your payments ahead of time, TD’s personal loan calculator is a useful tool. It’s also suitable for those who want a straightforward loan from a major bank.
Pros:
- Fixed interest rates for predictable payments
- Helpful online tools for planning
- Reputable banking institution
Cons:
- Loan terms capped at 5 years, which might be short for some borrowers
- Interest rates slightly higher than some online lenders
2. Mogo Personal Loan
Mogo has quickly become a popular choice in Canada’s lending space, thanks to its transparent approach and user-friendly mobile app. Their personal loans start with rates as low as 5.9%.
Key Features:
- Competitive interest rates starting at 5.9%
- Commitment to transparency with clear terms and conditions
- Free access to your credit score
- Highly rated mobile app for loan management on the go
Who is Mogo best for? If you want to manage your loan and finances directly from your phone and appreciate transparency in lending, Mogo is an excellent choice. Their mobile-first approach appeals to younger borrowers and those comfortable with digital finance management.
Pros:
- Transparent lending with no hidden fees
- Mobile app for easy loan management
- Free credit score access
Cons:
- Limited physical branch presence (primarily digital)
1. Scotiabank Personal Loan
Fairstone Online Loan
If you’re looking for fast access to funds without stepping foot in a branch, Fairstone’s Online Loan is a top contender. Known for offering personalized loans with quick online approvals, Fairstone makes borrowing simple and accessible — even for those with less-than-perfect credit.
Key Features:
- Loan amounts from $500 to $20,000
- Instant prequalification with no impact on credit score
- Fixed payments and terms up to 60 months
- No collateral required (unsecured loan)
- Quick deposit — funds in as little as 24–48 hours
Who is Fairstone Online best for? If you need a fast loan and don’t want to visit a branch, Fairstone’s online-only personal loan is ideal. It’s especially useful for borrowers looking for accessible financing, even with moderate or limited credit history.
Pros:
- Fast, fully online application process
- No impact on credit score for prequalification
- Accepts a range of credit profiles
- Clear terms with no hidden fees
- Flexible repayment options
Cons:
- Interest rates can be higher than banks for lower credit scores
- Maximum loan amount is lower than traditional lenders
Fairstone Online Loan is perfect if you value speed, transparency, and flexibility — especially when you need funds quickly and want a straightforward borrowing experience from a trusted Canadian lender.