Payday loan
A payday loan is small, short-term credit governed by specific provincial rules. Repayment is tied to the agreement and can be due quickly.
Installment loan
An installment loan is repaid over multiple scheduled payments, usually over a longer period. Pricing and regulation can differ from payday loans.
Compare total dollars, not just payment size
A smaller periodic payment can still result in a higher total cost if the loan lasts longer. Compare total repayment and fees.
Match the product to the need
Short-term credit is a poor fit for an ongoing monthly deficit. If the need will last for months, look for lower-cost and longer-term options.
General information only. This article is educational and does not replace legal, credit or financial advice. Rules and product terms can change.