In this Fairstone review, we’ll walk you through the fine points of one of Canada’s established lenders. Fairstone is a leading provider of responsible lending solutions for near-prime borrowers, with nearly 100 years of experience under their belt.
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Last Updated: Sep 16, 2023
Personal loans from $500-$50,000 - Get started now
Fairstone offers unsecured personal loans and secured personal loans for debt consolidation, unexpected expenses, home improvements and more. A lender like Fairstone can come in handy when your credit score doesn’t meet the requirements of traditional banks.
It’s beneficial to know what Fairstone offers and at what cost if you’re looking for a personal loan. This knowledge will help you make the right decision for your needs and avoid an unfavourable financial situation.
Let’s dive right into this Fairstone review.
Fairstone is a long-standing lender that’s had roots in Canada for nearly 100 years. With 250 Fairstone branch locations across Canada and a simple loan application process, borrowers can finalize their loan in person or online and have the flexibility to choose a remote loan closing.
Their lending services are ideal for those who don’t have excellent credit and, as a result, find it challenging to qualify for a loan.
You can borrow $500-$25,000 with an unsecured personal loan. You’ll benefit from affordable payments, quick funding, and the flexibility to pay off your loan early. There are no prepayment charges on an unsecured personal loan from Fairstone.
Looking to borrow more than $25,000? Homeowners can choose a secured personal loan and access more money – up to $50,000 – and lower interest rates compared to unsecured personal loans.
If you’re interested in one of Fairstone’s loans, you can get a free quote on their website. In minutes, you’ll find out how much money you could qualify for and what your payments might be. Getting a loan quote won’t impact your credit score and there’s no obligation to take out the loan.
In our experience, Fairstone staff ensure you end up with a loan that fits your needs. They operate a personalized service that guides you through the entire application process.
The following section of our Fairstone review will cover the pros and cons of using their services.
|Pros of Fairstone||Cons of Fairstone|
|+ Wide range of borrowing solutions|
+ Online loan application
+ Quick funding
+ Most fair to good credit approved
+ Widespread branch locations
|– High interest rates|
– Secured loans required homeownership
Here’s what we think is great about Fairstone.
With unsecured and secured personal loan options, they’re ready to support your unique borrowing needs. Whether you’re looking to consolidate debt, manage unexpected expenses or rebuild your credit, Fairstone can customize a loan solution that suits your needs and budget.
Additionally, they offer mortgages, retail financing through merchant partners across Canada, and auto financing via dealerships through their subsidiary EdenPark.
Fairstone funds unsecured loans in as little as 24 hours.
You can apply for a loan online and receive your funds without visiting one of their branches.
You don’t need to have excellent credit to get a loan from Fairstone. As a minimum, they require applicants to have a fair to good credit score.
Fairstone has over 250 branches located across Canada. There’s likely a branch near you.
Fairstone can improve on the following aspects.
Compared to traditional banks and credit unions, Fairstone’s personal loans carry high interest rates, which can fall anywhere between 19.99% and 39.99%.*
To apply for a secured loan, you must use the equity in your home as collateral.
In this part of the Fairstone review, we’ll examine the various products offered by this financial service provider.
Fairstone offers unsecured personal loans for debt consolidation, unforeseen expenses or emergencies and more.
The amount you can borrow ranges from $500 to $25,000. The loan term can be from 6 to 60 months.
The benefits of this type of loan are that there is no penalty for paying it off early. In addition, you can get your money in as little as one business day (or less).
Bear in mind, you will receive a higher interest rate compared to the interest rate offered on a secured personal loan. This is because there is no collateral attached to your loan.
The interest rate associated with an unsecured personal loan ranges from 26.99% to 39.99%*.
Fairstone offers secured personal loans for homeowners interested in consolidating debt, managing home repairs and more.
You can borrow $5,000 to $50,000 with loan terms between 36 and 120 months. The interest rate on secured personal loans range from 19.99% to 24.49%.**
The benefits of this type of loans are that homeowners can access larger loan amounts, lower interest rates and payments and longer loan terms.
The drawbacks? You’ll need to use the equity in your house as collateral. It takes up to three days to receive your funds, so if you need to borrow money quickly, an unsecured personal loan is a better option. Additionally, Fairstone will charge a fee for early repayment of a secured personal loan.
With a second mortgage from Fairstone, you can maintain your existing mortgage and take out a second mortgage to access up to $125,000 by leveraging your home equity. The maximum amortization period is 20 years, and you can choose a term between 1 and 5 years. Interest rates start from 17.90%.
With first mortgage refinancing, you take out a new first mortgage to pay off your existing mortgage. Your new mortgage can be for a larger amount than your previous mortgage, giving you access to additional funds. Fairstone offers mortgage refinancing up to $400,000. The amortization period can be up to 25 years, and you can choose a term between 1 to 5 years. Interest rates start from 14.99%.
Fairstone offers retail financing for consumer purchases at retailers like Best Buy, in-store and online. Their purchase financing is available through thousands of other merchant partners across Canada in various industries, including building supplies and hardware, dental, and veterinary.
Fairstone also offers automobile financing via dealerships through their subsidiary EdenPark.
Dealing with any financial institution can be stressful. It’s essential to know that you can trust the provider you’re using. And that is why we’ve included this section in our Fairstone review.
Fairstone’s legacy dates back to almost 100 years. As part of Fairstone Bank, a Schedule I Canadian Bank, Fairstone is both federally and provincially regulated, ensuring a robust regulatory framework and responsible lending practices.
With a team of over 900 Lending Specialists in a network of 250 branches across Canada, they focus on understanding each customer’s unique situation and tailoring loan options to fit their needs and budget.
Another important aspect we wanted to cover in this Fairstone review is Fairstone’s customer support.
There are a few ways to contact Fairstone. You can reach a customer service representative online via live chat or by phone. Or visit one of their branches for an in-person conversation. According to customer reviews, Fairstone has some of the most helpful staff.
Before I committed to any of their products, I read some of the blog posts on their website. They offer practical information and guidance that can be useful if you are unsure about their products.
When writing this Fairstone review, they have an ongoing promotion where customers can earn up to $500 per calendar year if they refer someone to take out an unsecured personal loan. For each referral who takes out an unsecured loan, the referee will get $100. This promotion isn’t available in Quebec.
You can find more information about the customer referral program and other promotions at Fairstone.ca.
You can apply for funding by either submitting your application online or in person at one of Fairstone’s branches.
Whether you choose to visit one of their branches or get your loan online, you’ll work with a Lending Specialist to find a loan that fits your needs. Personally, I opted for an online application via the Fairstone website.
To apply for a loan with Fairstone, you must:
The first step begins with getting a personalized loan quote. Complete a simple questionnaire that involves these four steps:
Your loan quote will be processed for a few minutes, then you will arrive at a confirmation page (if approved). Keep in mind the loan amount you’re approved for is conditional and you’ll still need to submit a formal application.
I enjoyed the fact that it took me less than 10 minutes to complete, and that there’s no obligation to take out the loan.
However, Fairstone didn’t provide the interest rate explicitly. Therefore, I used an online interest rate calculator to find the APR, but the loan details will be explained to you before completing the application process.
A Fairstone Lending Specialist will call you to discuss unsecured and secured borrowing options and answer any questions you may have. You will also review the information on your loan quote, loan terms and your repayment options.
You will finalize your loan application, which you can do so online or by visiting a Fairstone branch. You will need to provide specific documents including personal identification records, proof of income and housing information.
Once approved, you could receive your money on the same day you apply.
In this Fairstone review, we’ve covered several of the lender’s features and benefits. But, there are other non-bank lenders you could consider if you cannot take out a loan with Fairstone.
Mogo provides online personal loans to anyone, whether you have excellent or poor credit. They lend up to $35,000, and the loan term can range from 6 to 60 months. Interest rates start from 9.90%.
LendingMate loans funds to residents of British Columbia, Ontario and Quebec. It’s possible to borrow an amount anywhere from $2,000 to $10,000 as long as you have a co-signer.
The term can be anywhere between 12 and 60 months. The APR is fixed; therefore, for those living in British Columbia and Ontario, you will get a rate of 43% and in Quebec, 34.90%
Fairstone has some significant benefits, such as its fair-to-good credit score requirements and online application process. Whatever your financial goals are, accessing a financial solution with Fairstone is simple and convenient.
But their APRs can be a downside.
It’s important for borrowers to learn how to responsibly manage their loans. Otherwise, missed payments could result in even more interest charges and higher debt.
In this case, and if it’s possible, look into alternatives. Consider asking someone you can rely on for a loan. You could sell existing assets or use a credit card to cover an expense as well.
To conclude this Fairstone review, I will give them my stamp of approval.
Before signing any documents, make sure you read the fine print and understand what you’re setting yourself up for.
Our Fairstone review covers the personal loans and other financial solutions they offer. Read about the pros and cons of their service, interest rates, and more. Thanks for reading our Fairstone review.
*Interest rates are subject to change. Actual Annual Percentage Rate (APR) varies based on the province of residence and individual factors like credit details and loan amount. The interest rate on unsecured personal loans is 31.99% in BC, 31.99% in MB, and 34.99% in QC.
**On approved credit. Terms and conditions apply. Interest rates vary by province/territory and from customer to customer based on factors like credit score and borrowing history. See Fairstone’s website for details.
In Ontario, Fairstone Financial Inc. is licensed as mortgage brokerage 10821.
In Nova Scotia, Fairstone Financial Inc. is licensed as mortgage lender #2021-3000028.
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The interest rate on an unsecured personal loan starts at 26.99%.* The interest rate on a secured personal loan starts at 19.99%.**
Fairstone will only start with a "soft" credit check for a loan quote. If you proceed with a loan application, Fairstone will complete a "hard" credit check.
Yes, all you need to do is complete a loan quote online, with no impact on your credit rating and choose how much you want to borrow (between $500 and $50,000).
You can follow Fairstone's 3 simple steps: 1. Begin with an online quote so you can have an overview of how much money you could borrow and what your payment might look like. 2. If you decide to go through with the loan, you can speak to a Lending Specialist over the phone to finalize the details. 3. Collect all the documents required and finalize your loan application online or in branch – receive your money in as little as 24 hours.