Canada Post has launched a new lending program with TD Bank Group to give Canadians more financial options. Canada Post is now offering loans
The program, called
My Money, began as a pilot last fall and has since expanded nationwide. It was designed to give people living in rural, remote, and indigenous communities more choices.
Canada Post already offers money transfer services and prepaid rechargeable credit cards.
What types of loans can I apply for?
Applicants can borrow $1,000 to $30,000 in variable or fixed-rate loans through MyMoney with repayment terms ranging from one to seven years.
A floating rate increases or decreases as the prime rate changes, while a fixed rate remains the same for the life of the loan. Ultimately, personal loan interest rates will depend on factors such as the applicant’s creditworthiness.
Currently, floating rates range from 9.78% to 19.78%, while fixed rates range from 9.98% to 19.98%.
repayments can be made weekly, fortnightly, monthly, or semi-monthly.
Fees are never charged unless repaid and credits can be repaid at any time at no additional charge.
CTV News can be reached out to Canada Post to comment on what would happen if they were still unable or chose not to repay the loan.
Am I Eligible?
Canada Post lists many of the requirements that must be met in order to qualify for a My Money loan.
Applicant must be a Canadian citizen or permanent resident, an adult, and have a personal annual income of $1,000 or more.
Applicants must also not have filed for bankruptcy or held a delinquent account in the past 24 months and must have a valid current account in their name with a Canadian financial institution where they can deposit funds. You must have a savings or savings account. Credits may not be purchased for third parties.
Loans are also called ‘unsecured’. In other words, it does not require collateral like real estate and is instead based on the applicant’s credit.
How do I apply?
Potential applicants can apply through the Canada Post website or by phone.
Applicants will be asked to verify their identity and may need to verify their identity with the Canadian Post Office.
Additional information required for your application is your annual gross income before taxes and monthly housing expenses, including mortgage and rent payments, property taxes, and utilities.
Applying for a social security number is not required, but can help you get a credit report, according to Canada Post.
Once the loan is activated, TD will transfer the funds by direct wire transfer within 1-5 business days. Canada Post is now offering loans