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4 Ways the Money Lending Landscape is Changing

The money lending landscape is rapidly changing; types of loans in Canada, application processes, accessibility and protection of borrowers’ information don’t look the same as they used to. It can be difficult to keep up, so we’ve put together a recent update to keep you fully informed. Here's a look at four of the main changes and how they affect you as a borrower.

1. Loans in Canada are Becoming Faster and More Convenient

Banks still dominate the money lending market, responsible for 85 per cent of the personal loans in Canada. But that is changing as more lenders are providing borrowers with access to online loans. That means you can fill out an online loan application and get approved right from your computer, rather than drive somewhere, wait in a line, and speak to a loan officer.

The online approval process is also faster. As technology improves, so, too, does the computing power behind online loan applications. Using enhanced programs, lenders can review loans almost instantaneously, which means many borrowers can receive a response in less than a day.

In many cases, funding is also just as fast. Most lenders provide cash the same day or the next business day. The difference is when you choose a lender like 310-LOAN, the money can appear in your bank account within 30 minutes of approval.

2. More Online Loan Options

The online lending industry has also opened the door to a number of new and exciting loan options. There are online payday loans, installment loans, and title loans.

Here's an explanation of each of those types of loans:

Payday Loans: A payday loan, also known as a cash advance, is a small, short-term loan. Typically, it's based on how much you earn, and you pay back the loan (plus a fee) on your next payday. Online payday loan lenders like 310-LOAN are changing the market with online loan applications that take just a few minutes - speeding up approval and helping you get your funds faster.

Installment Loans: These are fixed term loans which could help you save thousands on interest compared to if you were to use a credit card. With a credit card, you can pay the minimum monthly payment amount for decades if you choose, but with an installment loan, you would pay it off within a matter of months. This cuts down significantly on how much interest you would pay. These types of loans usually let you borrow more than a standard payday loan. Be sure to check with lenders in your province as the interest rate depends on who you borrow through.

Title Loans: A secured loan, meaning the lender uses your car as collateral to secure funds. You must have ownership of the vehicle and can’t borrow anything more than its value. A title loan typically includes longer repayment terms and flexible monthly payment amounts. You can get a title loan for almost any type of vehicle. Once you provide all the documentation, you can usually get your funds quickly upon approval.

Those are just a few of the new products and loans that are popping up in the world of online lending.

3. Greater Accessibility to Loans in Canada

All of these new products have helped make loans accessible to a wider range of borrowers, both consumers and businesses, alike. Alternative lenders use different criteria to judge the creditworthiness of a borrower, and as a result, these lenders can approve applications that may have been rejected in the past.

To explain, let's look at a couple examples. Imagine someone needed a loan to cover an emergency such as buying a plane ticket or paying a large hydro bill. In these situations, some people turn to credit cards or bank lines of credit.

Unfortunately, those options aren't usually feasible if you don't have good credit. In the past, people who had less-than-perfect credit often couldn't get the money they needed. Online payday loans helped to change that reality, since most payday lenders don’t rely on your credit score. Instead, they base the loan on your income and other factors, opening funding to a wider variety of people.

4. Getting a Loan in Canada is a Safer Process

The lending landscape has also become safer. Online lenders have strengthened their sites against hackers, using security measures such as “Hyper Text Transfer Protocol Secure” or https. You’ll notice on lending websites such as 310loan.com that in the browser, where you type in the website URL, it says “https” instead of just “http” before the website URL. This means the website has gone the extra step to keep customer information secure.

The lending industry is also taking steps to protect consumers, particularly within the payday loan industry. Increased transparency on payday loan websites is one shift. Since fees are based on the province in which you live, a payday loan website should tell you what fees are associated with your province right on the home page.


The online lending landscape is changing in many positive ways for consumers. More options, more accessibility, and much more convenience, to name a few. At the same time, enhanced consumer protections and heightened awareness of internet safety are also making loans faster, safer, and more convenient. As the lending landscape continues to change, make sure to check back with 310-LOAN for all the updates!

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