Licensed Insolvency Trustees
Licensed Insolvency Trustees
Private lenders
At Mallette, we do not offer loans. Our role is to help people in debt break the cycle of credit and regain lasting stability. Rather than resorting to private loans, which are often costly and risky, we offer supervised and legal solutions such as consumer proposals or, in some cases, personal bankruptcy. Our team of licensed insolvency trustees will work with you transparently and empathetically to find the best option for your financial situation.
Understanding what a private lender is
The main difference between a private lender and a traditional lender is that private lenders do not have the same strict credit criteria. They are often more flexible in their requirements and can offer loans where banks would refuse, but at higher interest rates.
It's essential to do your research and make sure that the lender you choose is trustworthy.
Private lenders can offer a variety of loans, including personal loans, debt consolidation loans and mortgages. They can be a second chance at credit for those with a difficult financial history. If you've been turned down by banks because of bad credit, a private lender may be able to help.
When considering a loan from a private lender, it's important to understand the terms and conditions of the loan, including the interest rate. In Canada and Quebec, it is illegal to charge fees and interest in excess of 60% per annum. So it's important to do business with a private lender who complies with the laws in force.
A meeting with an advisor from Mallette Redressement financier can help you evaluate your options and find the best solution to your financial problems. We are here to support you throughout the process and provide you with the information you need to make informed decisions.
Frequently asked questions
What defines a private lender?
A private lender is a person or company that offers loans outside the traditional banking system.
At what interest rate is a loan illegal in Canada or Quebec?
A loan is considered illegal in Canada when the effective interest rate charged (including all late fees and penalties) exceeds an annual rate of 60%.
Why don't some loans require a good credit history?
Private lenders are often more flexible in their credit requirements, allowing them to offer loans to those with bad credit or who have been turned down by the banks. However, to cover the risk, they charge higher interest rates.
Meet with an advisor to sort out your debt problems
Are you concerned about your financial situation? Our advisors have several solutions to help you regain peace of mind.
Our qualified team will listen to you and answer all your questions. Call us today!