What is Borrowell Canada?
Borrowell is a Toronto-based financial product broker founded in 2014. One of its biggest calls to fame is that it was the first institution to provide Canadians with free access to their credit scores and uses Equifax to get them.
Today, it’s one of the largest fintech companies in Canada. And by its own admission, it has served over two million members.
As its name suggests, Borrowell deals heavily with loans. Both personal unsecured loans and credit cards, as well as mortgages.
Borrowell does not provide the loans itself. It relies on a vast network of partners to provide all of its services. Some of its partners include CIBC, BMO, EQ Bank, Scotiabank, National Bank of Canada, Capital One, and others.
Since introducing its free credit score check service in 2016, millions of Canadians have used the platform to check their credit score.
Borrowell is easy to use, and offers an app available on both Android and iOS.
Quick rundown: Borrowell pros and cons
For those in a hurry, here’s a list of the pros and cons of using Borrowell Canada.
Pros of using Borrowell Canada
- You can get your credit score for free.
- Borrowell comes with other financial tips and product recommendations.
- Borrowell is safe and secure, and its products are vetted to be useful.
Cons of using Borrowell Canada
- Your personal information will be used in an attempt to have you sign up for more products.
- If you’re looking specifically to get a TransUnion credit score, Borrowell only offers ones for Equifax.
- Credit building tool costs you more than other options.
Is the Borrowell credit score check free?
Yes, Borrowell’s credit score check is free. This makes it a useful tool if you’re wondering if you meet the minimum credit score for a credit card approval or mortgage.
That being said, Borrowell has to make money somehow. Instead of charging for their product, Borrowell makes you the product in the sense that they’ll try to market products or otherwise sell things to you using the information you provide them.
How is Borrowell’s credit report free?
When you try to get a credit score check from Borrowell, you’re required to create an account, and provide lots of personal information. This information is then used by Borrowell (alongside your credit score) to try to sell you third party financial products and services from its partners.
All of these terms are spelled out right on Borrowell’s own terms of services, as the screenshot below shows.
True, this kind of “free service” isn’t really that unusual (social networks are far more intrusive and shady when it comes to how they use your information). However, if keeping your personal information as private as possible, it’s a fact we believe you should be aware of and carefully consider.
Other competitors, such as Credit Karma Canada, do not have heavy-handed tracking, but instead rely more on their affiliate program to generate revenue. In the end, it’s up to you which service is better.
Product offerings by Borrowell Canada
Free credit score access is the big lure to Borrowell Canada. But thanks to the magic of affiliate marketing, they’ll show you various credit products they think might be good for you.
Here is what Borrowell offers.
1. Personal loan recommendations
For Borrowell Canada, it’s all in the name. You can get personal loans ranging from $500 to $50,000, as well as loans that cover up to 55% of your home.
You have both secured and unsecured loan options, with interest rates ranging from a touch over 4% to some APRs hitting above 26%.
So whether you want to replace your old clunker of a car or want a way to consolidate your debt, Borrowell can recommend a loan that suits your needs.
2. Credit card recommendations
Taking your credit score into account, Borrowell will suggest a lineup of credit cards you can consider.
But we think our personalized credit card quiz results will get you better results. And you can also check out our best credit cards page to see the best credit cards in Canada.
3. Mortgage rates and mortgage recommendations
Again, Borrowell doesn’t offer mortgages themselves (sensing a pattern here?). Borrowell uses your credit profile and the services of a mortgage coach to help you find the best mortgage rates for you.
4. Insurance recommendations
Borrowell uses your credit and financial profile to help you find the right insurance product. Some of its current partners include big names like:
- Surex,
- LowestRates,
- Sonnet,
- National Bank,
- Square One,
- Apollo, and
- PolicyMe.
5. Financial educational blog
Borrowell publishes a huge variety of articles on financial topics from credit education, loans, housing, budgeting tips, news, etc.
6. Credit building tools
Borrowell has tools that you can use to build your credit score: Rent Advantage and Credit Builder.
Rent Advantage reports your payments to Equifax, which helps build your credit score (while missed payments will have a negative impact on your credit, of course). Note that there’s a monthly fee that you’ll have to pay to use this service.
Credit Builder is a system you can use to pay Borrowell a fixed sum of money every month for 36 months. You’ll get most (but not all) of it back at the end of the term, and your credit score will increase so long as you make the payments on time.
It’s sort of similar to KOHO credit building, but will cost you more.
Is Borrowell safe?
Yes, Borrowell is generally known to be safe. With so many customers, it’s a top priority that they have the right levels of encryption on their site, as well as a good sense in vetting the financial products they have. The chances of phishing or scams on their site is nearly nonexistent.
That being said, if you decide to make an account, just know that your personal information will be tracked using cookies, and if you’re not comfortable with that, then it’s best to avoid using Borrowell Canada. But to be honest, if you use any form of social media, the surveillance (and their greedy desire to make money) is much higher.
Would you join Borrowell Canada?
Borrowell Canada can be a great tool if you need to check your credit. But as with all free services out there, make sure the costs (your personal info) are worth it, and you know what you’re getting yourself into.
FAQ
What other products does Borrowell offer other than credit score reports?
Borrowell credit score reports are just the tip of the iceberg. The company also offers recommendations for other financial products. These include loans, credit cards, mortgages, insurance, and financial literacy.
Is Borrowell’s free credit report free?
Yes, you can get your credit score through Borrowell for free. In the sense that it costs $0 to use. However, you are required to create a profile, and provide many personal details. Borrowell will then use this information to send you recommendations for financial products from its partners.
Is Borrowell a Canadian company?
Borrowell is a proudly Canadian company, founded by Andrew Graham and Eva Wong.
Will a Borrowell credit report affect your credit rating?
Checking your report through Borrowell will not affect your credit rating. Borrowell Canada only does soft checks on your credit file – soft credit checks do not appear on your file and have no impact on your score.
Is Borrowell legit?
Yes, Borrowell is legit. Millions of Canadians trust its services to get their credit report for free.
Does Borrowell Canada use Equifax?
Yes, Borrowell uses Equifax for its credit reports as opposed to TransUnion.
