If a little extra cash would make things easier right now, don’t assume that you could never qualify for a loan. There are lenders who are happy to consider applications from people who have less than ideal credit but do meet their basic qualifications. You’ll find that Magical Credit provides cash loans in Toronto through a network of lenders who offer solutions for most people.
One question that comes up frequently has to do with the amount and type of income that applicants bring to the table. Did you know that there are lenders who will consider multiple types of income? If the amount you receive each month meets the minimum required, you have an excellent chance of being approved. Here are some examples of income types that are likely to be considered eligible.
Income From a Job
If you are currently employed and receive a salary or hourly wage, you can bet that lenders will be willing to talk with you. Of all income sources, this is the one that every lender will accept. Provided you generate enough income from your job to meet the minimum set by the lender, it’s worth submitting an application. While there may be other factors that must be addressed, you can bet that issues surrounding your source of income will not be among them.
Your Monthly Private Pension Benefits
If you paid into a private pension and have now retired, the monthly disbursements from that plan may be sufficient to qualify for a loan. Many lenders do consider this type of income to be consistent and reliable. This is especially true if your pension benefits are deposited directly into your account each month.
As with other sources, the amount of the monthly pension payment will make a difference. As long as it’s enough to meet the lender’s qualifications, feel free to prepare and submit an application.
Ontario Child Benefits
Provincial benefits are often considered acceptable sources of income. The Ontario Child Benefit is a prime example. Administered by the CRA, this benefit may be sufficient to cover the amount of the initial loan as well as interest and any other applicable fees. If that’s the case, the lender will be happy to consider the amount you currently receive as part of your overall income.
Employment Insurance Qualifies Too
This temporary source of income is designed to help people who are not in a position to work for a variety of reasons. The issue may have to do with a temporary layoff, a mass layoff, the need to be away from work while caring for a loved one who is critically ill, or are out due to pregnancy.
If you are currently receiving EI benefits and need some cash to take care of a pressing need, there are lenders who will be happy consider your application. Depending on how much you receive, it may be enough along to meet the minimum income requirement and improve the odds of receiving a loan offer.
Old Age Security Payments
If you’re retired and your OSA is the primary source of income, rest assured there are lenders who are happy to consider it when evaluating your total monthly cash flow. Perhaps you work part-time and the funds from your job are not enough to qualify. By also including your OSA in the calculation, you could have enough money coming in to comply with the lender’s basic requirements. If so, it’s worth the effort to submit an application and see if you’re approved.
When preparing to submit an application to any lender even for a coronavirus loan, learn all you can about the requirements up front. Doing so will make it easier to understand the criteria that the lender considers important and how well you meet those qualifications. With a little advance preparation, the odds or being approved are higher and the money will be on the way in no time.
