The loan industry in Canada is broken down into different segments. They include:
National and International Lending Institutions (Banks)
The banks are national and international lending institutions. In addition, there are smaller lending institutions such as credit unions and savings & loans entities that can be either provincial or regional. They are all very heavily regulated by the Banking Act and/or other legislation that makes them very non-entrepreneurial in their business dealings. These institutions have their hands tied in their ability to make lending decisions when it come to less poor credit ratings. They must follow rules given to them by their respective governing bodies and make lending decisions based on a set of clear-cut policies.
These banks, credit unions and savings & loans institutions are run by a board of directors. They follow strict lending criteria and there is little room for flexibility in their lending practices. These institutions still grant many loans, but only to those with good credit records. Their threshold of loan minimums is constantly rising, whereby a consumer looking for a small loan of $5,000 is directed to use their credit card. Banks no longer have the will to administer small loans.
Local Lending Companies
Then there are the local lending companies that are sometimes a stand alone operation, have a few locations or are part of a franchised system. Depending on the level of ownership, this class of loan company ranges from entrepreneurial to very restrictive in lending policies.
Payday Loan Companies
Finally, there are the payday loan companies that operate under the Payday Loans Act. The typical payday loan customer is looking for a lending institute’s ability in granting them fast access to loans and finance. The payday lenders too have strict rules to follow and they have little room to wander from their self-imposed business model. Payday loans are very addictive and can often lead to a consumer entering bankruptcy. If not careful a borrower can get trapped in the endless cycle of payday loans, where they just cannot generate enough money to pay off the loan completely, but rather keep rolling the payday loan into a new loan. The government has made rollovers illegal, but the payday lenders have found a method to circumvent this regulation which is a road block to their profits.
The Best Choice for Many Customers
The lending companies that take an entrepreneurial attitude to assist customers with their needs are the local lenders. In these companies the owner is usually active in the day to day operations of the business and many times can be swayed by a borrower’s needs and will work with them to find a solution and get them the money they need, and get it to them quickly.
Fast Action Finance is The Local Lender for You
Fast Action Finance is a local lender that will lend up to $7,5000 (and more under certain circumstances) using a paid off 9 (nine) year old or newer vehicle. This is called a Title Loan. For these Title Loans they do not hold the car, have it transferred into their name or have the customer sign the ownership over to them. When borrowing from Fast Action Finance the customer keeps the vehicle in their possession and drives it as usual. There are loans available where the vehicle is held, such as when the amount needed to be borrowed is a higher amount, where the vehicle does not have insurance or when the vehicle is not being currently used. For other types of collateral, such as trucks, motorcycles, classic cars, snowmobiles, watercraft, machinery, etc. these items are stored at Fast Action’s secure location to collateralize the loan. These are known by several names: Collateral Loans, Secured Loans, Hard Collateral Loans, Storage Loans, or Emergency Loans.