Many Canadians who are unable to qualify for the credit they need unfortunately resort to a quick cash loan. Quick cash loans can be a dangerous cycle that is exceptionally hard to get out of. In Canada, quick cash loans can have interest as high as nearly 600%! What that means is that if you borrowed $1,000 of quick cash loans and kept them outstanding for an entire year, you would owe $6,000 in interest!
Quick cash loans also can be risky because they may not help you build credit. You can borrow money on a quick cash loan and pay it back perfectly but that information may not be reported to the credit bureaus to help improve your credit. However, if you fall behind on your quick cash loan and it goes to collections, then this likely will be reported to the credit bureaus and may damage your credit. This makes it difficult to start getting approved for mainstream financial products.
Spring Financial is here to help you fight the quick cash cycle. With The Foundation, you get to build a positive payment history on your credit file while putting money away for a rainy day.