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Loans Overview

We offer a wide variety of personal loans to our membership’s many needs. Whether you are looking to purchase a new vehicle, preparing for your dream vacation or needing to consolidate some high interest rate debt, we have many great options available.

Product Facts

All loans are “open” meaning that they can be paid down or paid off in full without penalty at any time.

Loan repayment terms from one to seven years in length are available.

Weekly, biweekly, semi-monthly and monthly payment options are available.

Loan interest rates fluctuate and are based on the VP Financial Prime Lending Rate.

Loans are available on a secured and unsecured basis.

Affordable payment protection is available.

All VP Financial loan approvals are valid for 90 days. In addition, all loan rate guarantees are also held for 90 days.


Questions & Answers

1. If I don’t have money available to pay for some upcoming expenses, is it better to get a Personal Loan instead of withdrawing from my RRSPs?

Withdrawing from your RRSP will typically result in those funds being added into your income tax calculation for the year. Based on comparing current Canadian income tax rates with Personal Loan interest rates, this is likely more costly to you. Our best advice would be to discuss your income tax situation with a financial planner or tax consultant and inquire about the best rate that may be available to you from your financial institution.

2. What kind of rates do you offer?

Interest rates are based on the VP Financial Prime Lending Rate. Rates offered for personal loans are based on a Borrower’s risk profile, credit history, personal net worth, business relationship with VP Financial and whether or not there is collateral held as security against the credit facility. We can provide you with a better estimate of the interest rate after a completed loan application is submitted. However, as a general reference point, interest rates for non-mortgage lending is typically priced between Prime + 5% to Prime + 9% based on the above listed factors. Please contact us for more details.

3. Is it a good time to apply for credit when you need it or when you don’t need it?

Ideally it is best to apply for credit when you are in a position of strength. What this means is that your employment history has shown consistency for the past two years, you have a positive net worth and you have managed your existing credit well. Having said that, at VP Financial we will always explore all credit options available to you no matter what situation you are in. We have assisted many members with a wide array of challenging situations and have helped them toward greater financial health.

4. What is a debt consolidation loan?

A debt consolidation loan is a loan that re-organizes all or a significant portion of your outstanding unsecured debt into one focused loan and loan payment.

5. There are many pay day loan and alternative financing companies advertising heavily in the market right now. Are they a good alternative to borrow from instead of a conventional financial institution?

We would strongly recommend that anyone seeking credit contact their local financial institution first. Many of the alternative financing options that are available today have extremely high interest rates and hidden fees. In some cases, the interest rates and fees on the loans offered exceed even those of credit cards.

6. Does VP Financial charge any loan processing fees for personal loan applications?

VP Financial does not currently charge any loan application processing fees. However, in some cases where vehicles are being pledged as security, a collateral registration fee may apply.

7. How long does it take to get a loan approval?

Once you have provided us with a completed loan application form and the required income verification documentation, we will respond to your request within 1 to 2 business days. Response times will vary depending on the volume of requests. The most efficient way to submit your request is to email the signed completed loan application form and your income verification documents to [email protected] . If you are applying for a debt consolidation loan, please also send us the most recent statements of the loans and credit cards you wish to consolidate as well.

8. I can’t make it into the branch to sign documents or chat with a Loans Officer because of my unusual schedule. What can I do?

You can send us the loan application form by printing it off, completing and signing it and scanning it to us via email at [email protected] or directly to a lender you may be working with. However, please also see our Loan Application Webpage by clicking HERE. We will correspond with you accordingly from there. Should your request be approved, and as electronic signatures are now accepted, all required documents would be sent through Docusign for you to sign via email. Please read about our Docusign service by clicking here.

9. I am hesitant to apply for more credit, but I want to improve my finances. What other options do I have?

Sometimes a financial review along with some adjustments to budgeting can address a cashflow situation. At VP Financial, we would be happy to review your budgeting and offer our best advice free of charge, no strings attached. It should also be noted that our staff do not have sales targets nor earn commissions on any products sold so you can rest assured knowing that we have your best interests in mind at all times

10. How does the VP Financial Prime lending rate work exactly?

The VP Financial Prime lending rate is a variable rate. It may increase or decrease based on market conditions. In addition, all financial institutions use the interest rates set by the Bank of Canada as a benchmark when setting their respective Prime lending rate. A summary of the Bank of Canada interest rates can be viewed HERE.

11. How do I improve my credit score?

There are a number of factors that go into the make up of your credit score. For ease of reference, we would suggest you review the following Government of Canada website below for more information.


12. What happens to my ability to borrow if I am co-signed on a mortgage or loan with a family member or a friend?

It is important to consider your own personal financial circumstances and financial goals prior to co-signing loans to help friends and family. Depending on the size of the loan co-signed, this may restrict your own personal ability to borrow in the future in a small or large degree until that co-signed loan is paid in full. All debts co-signed are included in the debt servicing calculation for your loan application.

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