Whether it’s an emergency, an unaccounted expense, or a much-desired purchase, we’re all in need of funds from time to time. Usually, this would mean dipping into your savings, getting a loan, or using a credit card. While these are all good options, they each have their own drawbacks. Your savings may not be able to cover the expense. Loans are not always easy to get and may involve too much time, process, and paperwork for applications. Credit cards charge exorbitant interest fees, leaving you paying much more in return for their use. To add to all these cons, they most likely only cover the impending expense once. The next time you have to make a purchase or payment for services, you will need to scramble around for funds all over again.
Is there a better solution? You bet there is! We have just the perfect option for anyone looking for funds. When you’re in urgent need of cash, delays and difficulties can have terrible consequences. This is why we offer Quick Loans. These loans offer a ton of benefits, apart from quick disbursal, as the name suggests! How come? Because Quick Loans at Innovation are not one-time loans, but revolving lines of credit that allow you to borrow funds as you need them. The best part? You only pay interest on the amount you use. Let’s take a better look at the features and benefits of Quick Loans by examining some of the most common questions borrowers have about them.
What are Quick Loans?
As we’ve said above, quick loans are revolving lines of credit. You can apply for a Quick Loan and keep borrowing funds from it as per your needs. The application process is very easy, and approvals are super fast as well.
Here’s an example to help you see how it works. Let’s say I have a $3,000 Quick Loan. I can access that $3,000 anytime I like. Sadly, my car needs servicing. I transfer $2,000 from the Quick Loan to my chequing account to pay the bill. I now have $1,000 I can still access if I like from my Quick Loan. I’ll only pay interest on the $2,000 I’m using for my car expense. After a month’s times, I pay back the $2,000 to my Quick Loan, bringing it back up to the $3,000 accessible amount. I can access that money anytime something else comes up. I don’t have to reapply or pay any annual fee. Win-win-win!
How much money can you borrow through an Innovation Quick Loan?
You can borrow anywhere from $2,500 to $30,000 for 5-10 years. As you can see, it is a very flexible line of credit, allowing you to borrow funds over a long period of time. With Quick Loans, you don’t have to worry about finding a source of funds during an emergency or whenever you need cash. You can simply rely on a Quick Loan to back you up.
Do I need to apply for a line of credit every time I need money with a Quick Loan?
You won’t need to apply repeatedly every time you need to borrow funds from your Innovation Quick Loan. You only have to apply once and can keep borrowing as much funds as you need (within your limit) and whenever you need it. What’s more, the application takes only 10 minutes. In fact, you can apply online for a Quick Loan before you’re even done reading this article. You can also call us for help at 1.866.446.7001.
What do I need to apply for an Innovation Quick Loan?
For a fast loan application process, you will need to supply the following information:
- Driver’s license or passport
- Loan details, for example purchase information on what you need your loan for or recent loan/credit card statements if you’re consolidating debt
- Employment information (name of employer, legal/physical address, phone number, occupation, total time with employer/time in sector, employment status (full time or part time; hourly or salary)
- Income verification (a current pay stub AND recent T4 slip/final pay stub from previous year)
- 3 years of income tax and Notice of Assessment (if you’re self-employed)
- List of assets and liabilities
- Disclosure of previous bankruptcy, judgements, consumer proposals, alimony, child support
- Residence details (homeowner/renter, mortgage/rental payments, annual/monthly property tax, energy bills needed if on equalized payments)
Do I need any collateral for a Quick Loan?
The answer may take you by surprise. Considering the many benefits of a Quick Loan, you’d expect that you would need to provide some type of collateral — especially since you can keep borrowing money as you need it. However, you can actually take out an Innovation Quick Loan without any collateral.
Do I need a guarantor for a Quick Loan?
While guarantors are not mandatory, having a guarantor will make it that much easier to get a Quick Loan. A guarantor is someone who will make your payments in case you are unable to make them yourself. Keep in mind that if you choose to have a guarantor for your Quick Loan, they will also have to submit all the documents listed above. This includes government-issued identification, income verification, residence details, employment information, etc.
Who is eligible for an Innovation Quick Loan?
Anyone looking to take a quick loan from Innovation Federal Credit Union needs to be at least 18 years of age. In addition to this, they must also be a Canadian resident.
What is the rate of interest I will be charged if I take out an Innovation Quick Loan?
The Quick Loan interest rate is Prime + 1.5% to Prime + 12% depending on your credit score and other borrowing criteria. So, for example, if Prime was sitting at 3.20%, that would mean your interest rate could range from 4.70% to 15.20%. That gives us an average of 9.95%.
Compare it with a credit card whose interest rates are usually around 19.99% and you know you’re getting a good deal.
Is a Quick Loan a loan or a credit card?
Innovation Quick Loans function like a credit card in many ways. You can keep borrowing funds for all your needs as required. However, the advantage of a quick loan over a credit card is that you will be charged a much lower interest rate. Quick Loans are also much easier to get than credit cards in many cases and you’ll pay much less in fees. Also, instead of credit card points, you can get Member Rewards which earn you cash dividends for banking with us.
What fee do I have to pay to get a Quick Loan? Am I required to pay any annual fee?
You only have to pay a one-time application fee. Beyond that you do not have to pay any annual fee for your Quick Loan. When you compare Quick Loans with credit cards that may charge as much as $150 in annual fees, you can easily see that Quick Loans are a more favourable option.
Are there any early-payment penalties?
Unlike many loans and credit cards that charge you a penalty if you pay off a large chunk of your debt, Quick Loans come with no penalties. You can pay off your loan as you see fit and even choose to make additional payments to pay off your loan early. It’s as easy as transferring money in digital banking. Just make sure you’re making your minimum payments and you’re good to go. What’s more, since the interest rates for a Quick Loan are lower than other credit instruments, you will actually have to pay much lower minimum payments too.
How do I access my money once I take a Quick Loan?
- Log into digital banking
- Select Payments & Transfers > Transfers > Transfer Money
- Select Quick Link from the Transfer from dropdown list (not Quick Loan). The current balance will show $0, but the available balance will display your Quick Loan’s available amount.
- Select the account you want to transfer your loan funds to (e.g. your No-Fee Bank Account)
- Enter the amount you want to transfer (within your approved loan limit). You don’t have to select your entire loan amount, just what you need.
- Continue and confirm!
What can I use my Quick Loan for?
Like we said above, you can use your quick loan to pay for any emergencies or contingent payments. You can also use it for non-essential (but important!) expenses such as vacations and other travel related costs, recreational vehicles, home renovations, to buy a second-hand car, to use in lieu of immediate funds, etc. It’s truly up to you!
Want to apply for a Quick Loan? Easily get instant access to the cash you need today.