Frequently Asked Questions

Our interest rates are 5.75% to 9.9%, among the lowest in the GTA for people with bad credit.   Here is an example of interest plus affordable fees on a $1000 loan:  If you are paying 5.75% interest, the total annual cost of interest and fees on a $1000 loan are $227.39.  Total monthly costs are $18.94.  If you are paying 9.9% interest, the total annual costs and fees are $233.69 and total monthly costs are $19.47

In emergencies, we hold your payments free of charge up to 2 weeks if you call 2-3 business days before the payment. This prevents costly NSF charges.

Prudent Financial Services is an equity lender.  We ask you have 50% equity in your home or have a paid off vehicle 6 years or newer or an older luxury vehicle such as a Mercedes or BMW.

• Proof of address
• Photo ID
• Void cheque
• Two references, preferably family with names, phone numbers and addresses
• A bank statement.
• If you are using your car to borrow money, please bring your car, ownership, insurance and license.

Yes, Prudent has many clients who are self-employed but you must have the collateral of equity in a home or a paid-off car 6 years or newer.

No. Prudent is a loan company not a credit management or counselling company.  The bureau reports on your total credit activities not just Prudent. A loan with Prudent does report your positive pay back history which can be used as part of a credit rebuilding program.  Click here for our disclaimer.

Yes.  Prudent reports all your loan payments to the credit bureau so when you pay on time, you get a good rating.  Also, Prudent believes in helping our customers become smarter financial managers.  We collect the best tips from reputable sources to make you more aware of the pitfalls to avoid. Click here for the ABC’s of Credit. 

To learn more about our Personal or Car Loans and how to qualify, click here.

Depends on your job, income, debt, and if you have the collateral of a home and/or a paid-off car 6 years or newer. If you do, Prudent has the experience to negotiate a favourable repayment plan with the collection agency, save you money, and then offer an affordable Prudent loan to pay off your debt.

Depends on the size of the debt and if you have the collateral of a home and/or a paid off car 6 years or newer. If you do have collateral and money owed is over $5000, call Jill, 416-223-9300 or 1-888-852-7647 ext. 224. If you don’t have collateral, your debt must be resolved first before we can offer a loan. For an overview of options: Click here for the ABC’s of Credit.

Prudent loans provide  low cost bad credit loans in the GTA with fixed monthly payments usually over one year or more.  Pay day loans are the  highest-cost short-term loans which must be repaid usually within 2-4 weeks.

With pay day loans, if you can’t make the payment, you must pay off the first interest and then re-borrow again on the original amount plus new interest. A cycle of spiralling interest charges often follows.

Prudent loans are all reported to the credit bureau — essential to start rebuilding a positive credit history.  Pay day loans are not reported – except when you default on payments.   Click here for: Say NO to Pay Day Loans.

Start a monthly budget!  Budgeting will keep you out of debt, allow you to save and give you discretionary income for some fun!  Use our budget form.  Click here.

Never borrow more than you can afford to pay monthly so you can pay on time.

Use your Prudent loan to take out a prepaid credit card for a small amount .   Use and pay off so you get another credit product with a good payment history.  But first ask about fees.  Some prepaid cards have hefty charges for signing up, withdrawal fees, etc.

Do not apply for credit more than 3-4  times within a year. These inquiries show on your credit report and can lower your credit score.

Do not take out short term payday loans if you cannot pay off the loan within two weeks or a month — the interest will be huge and you will sink back into debt!  Click

Do not make only minimum payments on your credit. For example, if you pay only the minimum payment of $10 on a balance of $926, it could take 8 years, 2 months to pay off.  Think of theinterest you’ll  be paying!

Do look for the Time to Pay section on every credit card statement you receive.  You won’t ever pay a minimum balance again!

Definitely, Prudent has helped many thousands of people with bad credit histories across Ontario to get back on their feet. And we continue to do so every day.

If by bad history, you mean a bankruptcy, proposal and paid off debt, call Prudent . We can help you if you meet our job and income qualifications.

If by bad history, you mean you are currently in a lot of debt but have equity in your home or a paid off car six years or newer, call Jill, 416-223-9300 or1-800-852-7647 ext. 224 to find out how we can help you.

The bottom line is: Prudent wants to help you with a loan. We consider all the different variables such as job, income, debt, assets and family responsibilities. We feel good when we help people turn their lives around for the better. We regret when we cannot.

Yes. We have a friendly multicultural staff  from 18 different countries.