FREQUENTLY ASKED QUESTIONS
What does LendingArch do?
LendingArch is an online lending platform that rewards financially responsible Canadians with hyper-personalized, affordable loan options. Devised for a genesis of new thinking consumers, LendingArch is humanizing the financial eco-system and creating innovative financial health programmes driven by non-traditional data.
We are not a peer to peer lender and only accept lending funds via our funding partner NOLA Fin
What provinces does LendingArch currently loan in?
Currently, we are available to provide loans to residents of BC, Alberta, Ontario, and all three territories.
We strive to lend to all Canadians and hope to expand to the remaining provinces soon.
How does LendingArch determine my interest rate?
Traditional bank underwriting utilizes approximately 300 data points to analyze an applicant’s past behaviors to determine loan eligibility and interest. In comparison, our platform will utilize big data, taking into account thousands of attributes and accurately determine an interest rate for you in real time.
We develop a 360-degree perspective of your financial persona, including your present self, past behaviors, as well as future potential to create a profile. Data gathered will include behavioral analytics, financial literacy questions, as well as history of education and employment, all of which is verified in seconds. Each data set will host different weightings in determining your interest.
Is my interest rate negotiable?
Interest rates, although not negotiable, will change with different personalized loan offers we are able to present you. If you are unhappy with your current offer, we can potentially offer you a different term to suit your financial needs.
How much can I borrow?
Our loan options currently begin at $1,000 all the way up to a maximum of $40,000.
How long does it take to receive my personalized quote?
On average, you can have your personalized quote delivered to you in less than five minutes. Pre-approval comes even quicker, with the majority of applicants completing this portion of the application in under a minute.
What are the minimum requirements to receive a quote?
At LendingArch, we preach to the fact that you are an individual, not just a credit score. This is why we do not set an actual base credit score that is required for applying.
That being said, there are some criteria you will need to meet: -
- You must be the ‘age of majority’ within your province. This is a fancy way of saying you have to be old enough by your provinces law. If you can vote, you meet this requirement!
- You must also be a citizen or resident of Canada.
Our requirements weigh across different factors and are undergoing constant change as we add additional criteria to make money more accessible to financially responsible Canadians. If you were not accepted with your first application, re-evaluate your situation and come back to us later. Our evaluation definitely could change, especially as we learn and add additional services to LendingArch.
Is my personal information secure?
Of course! Your personal information is secured by point to point SSL encryption according to business standards. From a platform level we encrypt your password and your personal details, and to add to this we encrypt your SSN so it's only readable for the sub services we use when doing the credit scoring, etc.
What is 'APR'?
‘APR’, or Annual Percentage Rate, is the actual hard percentage you will be paying per year for your personalized loan offer. The sole reason this is slightly different is the small origination fee for providing your loan and the quality service you receive as a LendingArch borrower.
Will checking my rate or applying hurt my credit rating?
Applying and receiving pre-approval status will never hurt your credit rating; we do what is called a ‘soft’ credit check at this point.
Once you complete the next stage of your application, your profile of past studies, employment and more, you will receive your personalized loan offer. At this point, we are required to perform a ‘hard’ credit check to verify your information.
Though this will appear on your credit history, it will cause little to no impact.
What are the minimum credit requirements to receive a loan?
Our requirements weigh across different factors and are undergoing constant change as we add additional criteria to make money more accessible to financially responsible Canadians. Aspects we consider in your loan evaluation include hosting a reasonable repayment history, as well as avoiding serious delinquencies, collections, bankruptcy or consumer proposals in recent years.
If you were not accepted with your first application, re-evaluate your situation and come back to us later. Our evaluation definitely could change, especially as we learn and add additional services to LendingArch.
Does LendingArch offer fixed interest rate or variable interest rate loan?
All of our loan offers are currently based on a fixed interest rate, that’s not to say we won’t explore different product offerings in the future!
What are the fees?
Borrowers are charged a very small origination fee (1-5%) upon agreeing to your loan terms, these are openly communicated in the application process. Nothing is ever hidden here.
For your benefit, we also provide you with the exact amount that you applied for and allow you to pay the small fee throughout the life of your loan. A lot of other people might give you less than you asked for and take their cut right off the get go!
How does an origination fee work?
Once you are approved for a loan, we will add the origination fee onto the total value of the principal you had applied for.
You are approved for a $10,000 loan debt consolidation loan with a 2% origination fee. The total loan amount you repay would be $10,200, and you would receive $10,000 in your bank account after we deduct the $200 fee.
How can I repay my loan?
Payments will be automatically withdrawn from your account at the pre-set payment dates. Not to worry, we will always send you a reminder to ensure we don’t catch you off guard.
How are interest payments calculated?
Interest is calculated on the outstanding principal, or value of your loan still remaining to be paid. At the end of every period, a loan payment is made, interest being paid first, and then the additional contributes to reducing your principal.
Can I pay off my loan early? Is there a penalty?
Of course! We promote financial advancement and our goal is ensure you are using debt responsibly. Making additional payments to your loan or the entire outstanding amount demonstrates financial responsibility. We would never penalize you for this, and in addition, would contribute to your profile for future borrowing!
How does LendingArch offer such low rates?
We develop a 360-degree perspective of your financial persona, including your present self, past behaviors, as well as future potential to create a profile. The data gathered allows us to hyper-personalize your loan offer and tailor the interest rate directly to you.
If I lose my job, or for any other reason I can’t make a payment, what do I do?
Contact LendingArch as soon as possible! We always want to be closely connected with our borrowers and be a part of their lives. We will always try to determine a way to help and better your situation.
How and when will I receive my loan?
Your loan will be deposited directly to the verified bank account you submitted in your application, generally, one business day following the acceptance of your loan agreement.
This can vary slightly, sometimes you may receive funding only hours after signing your agreement depending on time of day and your banking institution.
What documentation do I have to provide in order to get my loan?
Well, that depends! The standard pieces of information we require can be found below:
- Either your latest 2 pay stubs, or, a copy of your most recent Notice of Assessment
- 1 piece of government issued photo ID
- 1 additional piece of ID
- A bank statement(s) for the most recent 90 days
For some situations, we may require a bit more depending on how you earn your income and status of the application, but we will let you know when you reach the verifying stage.
Do I have to be employed to receive a quote?
No you do not! We understand circumstances arise where an individual is unemployed and still an excellent loan candidate. We will determine your rate with a heavier weighting on other criteria!
What steps does LendingArch take to prevent fraud?
We take all necessary steps to reduce and eliminate fraud. There are multiple verification checks that occur throughout the application with a number of agencies. This occurs at all levels from identity, to work life, to banking information.