Whenever you apply for a financial product such as a personal loan or credit card in Canada, your credit history is checked by the lender before deciding whether to approve it or not.
As a result, you want the best possible score to maximize your chances of being approved.
To ensure your credit score is in good standing, you have to know your credit score and be aware of any issues that may appear on it.
Fortunately, it has become easier than ever to check your credit score in Canada thanks to fintech companies offering free credit score checking services online.
Borrowell is one of the fintech companies in Canada that has partnered with Equifax to provide you with free credit check and monitoring services.
Through the platform, you can obtain a free Equifax credit report that reveals your credit history.
This Borrowell review will help you get the most out of their services by providing information about how they work and how to use their services to view and improve your credit score.
So continue reading to find out!
Table of Contents
Who is Borrowell?
Borrowell is a Canadian fintech company that was established in 2014 with the goal of helping everyone achieve their financial objective and build a bright future.
They do this by providing access to credit viewing, innovative digital tools, and credit education tools.
Borrowell also wants to help Canadians improve their overall financial health and well-being.
To do this, they provide personalized recommendations on products and services that can help save money, improve credit scores and make informed financial decisions.
They also offer a free credit score monitoring service so that users can track their progress over time.
Whether you’re looking to improve your credit score, get out of debt, save money or invest for the future, Borrowell can help you reach your financial goals.
Overall, Borrowell is committed to helping Canadians achieve financial success.
Borrowell Products
Borrowell offers a variety of products that can help you stay on top of your credit health.
Let’s look at the several financial products offered by Borrowell to help you meet your financial goals and also build your future:
1. Free Credit Score
Equifax is one of the most widely used sources of information when it comes to credit scores in Canada.
Borrowell is a free service that provides you with an Equifax credit report every week, as well as updates on your overall credit health.
However, before you can check your Equifax credit score, you’ll need to sign up for Borrowell.
The process of signing up is very straightforward and it takes just a few minutes. There is also no credit card required for the sign-up.
Upon completing your sign-up process, you’ll be able to download your Equifax credit report for free, and you’ll be able to check your credit score at any time.
Borrowell also offers weekly updates that alert you to changes on your credit report so you can take action to protect your credit health.
2. Rent Advantage
Borrowell Rent Advantage is a great way for tenants to build their credit scores. For only $5 a month, tenants can report their rent payments to Equifax Canada without needing landlord approval.
This product is perfect for those who may not have the best credit score and are looking for an easy way to improve it without incurring additional debt.
Reporting your rent payments on time each month will demonstrate your responsibility and help improve your credit score.
Additionally, there are no cancellation charges so tenants can cancel at any time if they need to.
The best part is that you don’t need to have a high credit score to be eligible for this Borrowell product. There is also no hard credit check requirement.
However, you should note that the Rent Advantage product is currently available to only certain Borrowell members.
Overall, Borrowell Rent Advantage is an excellent way for tenants to easily improve their credit scores.
3. Credit Builder
Borrowell Credit Builder is a secured installment loan of $240 that can help you build credit.
With this $240 secured installment loan, you don’t receive any money upfront. Instead, your regular payments are reported to Equifax Canada.
This can help you build credit over time, which can lead to better offers on different types of loans such as credit cards and mortgages.
So how does the Credit Builder works?
You will make monthly payments of $10 for 24 months. When you make these payments, $5 is used as a subscription fee and the remaining $5 is saved for you.
For the remaining 12 months, you will also make a contribution of $10 every month. In this case, all the $10 will go to your savings.
By the end of the first 24 months, you will save up to $120 and by the end of the remaining 12 months, you will also save another $120.
When you add up the money by the end of the 36 months, your savings will amount to a total of $240 which will be paid into your bank account.
While it’s not a traditional cash loan, it can be a helpful tool if used correctly. So, if you’re looking for a way to build your credit, Borrowell Credit Builder might be a good option for you.
4. Borrowell Financial Product Recommendations
As mentioned earlier, Borrowell provides customized recommendations for financial products based on your credit report and goals.
When registering for Borrowell, you will need to answer a few questions about your financial objectives and credit history.
Based on your answers, Borrowell’s AI-powered technology will then recommend personalized products that can help you meet your goals and improve your financial situation.
The recommendations will take into account your current credit score, credit utilization, and other factors.
For example, if you’re looking to improve your credit score, Borrowell may recommend a credit card with cash back rewards.
Also, if you’re looking to save money on interest payments, Borrowell may recommend a personal loan with a lower interest rate.
Regardless of your goals, Borrowell’s recommendations can help you find the best financial products for your needs.
And because Borrowell is always updating its offerings, you can be sure that you’re getting the best possible recommendations for your unique situation.
The following are some of the financial products that Borrowell recommends:
- Credit cards
- Personal loans
- Banking products
- Mortgages
- Insurance
- Investing
Pros and Cons of Borrowell
Borrowell is a great service for the most part. However, nothing is perfect, and Borrowell is not an exception.
Let’s look at some of the pros and cons of Borrowell so you can decide whether or not it’s right for you:
Pros
- Free credit score view, report and monitoring
- Free educational tools and tips
- Borrowell’s website is simple to navigate and easy to use
- Personalized financial product recommendations
- The company uses the same level of security as banks
- Using Borrowell to check your credit score won’t affect it negatively
Cons
- Loan terms are limited
- Borrowell partners with loan providers that charge high-interest rates on loans
- Using Borrowell means you only have access to Equifax’s credit score.
Who Borrowell is Best for?
As discussed above, Borrowell gives Canadians the opportunity to view and monitor their credit score with one of the major credit bureaus in Canada.
Also, Borrowell provides information on what factors affect your credit score and how to improve it if you have a poor one.
This makes Borrowell’s service ideal for Canadians looking to monitor and build their credit score.
Since Borrowell also offers product recommendations, it could be helpful to people who want to shop for personalized financial products, such as credit cards, investment products and mortgages.
Additionally, Borrowell is best for Canadians who have no credit history. Using Borrowell will help build up your credit history without paying any fees.
Is it Safe to Use Borrowell?
Borrowell is a legitimate Canadian fintech company that helps people view and improve their credit scores.
The company uses bank-level 256-bit encryption security, so you can be sure your personal information is safe.
Also, Borrowell does not impact your credit score when you check your score through the company. This makes using Borrowell completely safe.
While Borrowell does not hurt your credit score, it’s always a good idea to check your credit report regularly to make sure there are no inaccuracies.
You can also get a free copy of your credit report from TransUnion, the other major credit bureau in Canada. By law, you’re entitled to one free report from each bureau every year.
Borrowell Alternatives
Borrowell is a great service that makes it easy for you to check and improve your credit score.
Although Borrowell is a great option, there are other alternatives you might want to consider.
Below I’ve listed some alternative services that might fit your needs better than Borrowell does:
Borrowell vs Mogo
Borrowell and Mogo are two Canadian fintech companies that offer similar services.
Both companies allow users to view their Equifax credit score for free, and both offer access to financial products such as personal loans, credit cards, and mortgages.
Although both Borrowell and Mogo are fintech companies that offer a free Equifax credit score view, there are several key differences between the two.
For one, Borrowell offers a wider range of products, including personal loans, lines of credit, and even investment products.
In contrast, Mogo focuses primarily on providing access to mortgages, a Visa Prepaid card and high-interest loans.
Overall, while both companies have their advantages, Borrowell is the better choice for those who want a comprehensive product list.
Learn more: Mogo Review
Borrowell vs Credit Karma
Credit Karma is another popular option for those looking for a free credit score in Canada.
Both Borrowell and Credit Karma offer a wide range of financial products to help you reach your financial objectives.
However, where Credit Karma differs from Borrowell is its use of TransUnion to offer free credit scores.
This is a major difference from Borrowell, which offers a free credit score from a different credit bureau Equifax.
In terms of financial product recommendations, Borrowell does have a wider range of products.
While both companies provide a valuable service, the decision of which to use ultimately comes down to personal preference.
Learn more:
Conclusion on Borrowell Review
A good credit score is very important for your financial health as it indicates how reliable you are as a borrower.
As a result, checking and improving your credit score regularly is essential to maintaining a good score.
Borrowell offers a great way to check your credit score for free and also provides tips on how to improve it.
This Borrowell review has explained everything you need to know about the company and has also provided you with some alternatives.
I hope that it was useful in understanding how Borrowell works and why it’s so beneficial.
If it has, please share it with others who may also be interested in checking and improving their credit score.
FAQs on Borrowell Review
Is Borrowell credit legit?
Founded in Toronto, Ontario, Borrowell is a legit fintech company that has partnered with Equifax to provide you with a free credit score view and monitoring service.
What is Borrowell credit score?
Borrowell provides you with a credit score from Equifax. According to Equifax’s proprietary credit scoring model, Borrowell calculates your credit score using the Equifax Risk Score 2.0 (ERS 2.0).
Is Borrowell a Canadian company?
Yes. Borrowell is a Canadian fintech company which was established in 2014. The company’s mission is to ensure economic prosperity for all Canadians.
How does Borrowell make money?
Since Borrowell offers free credit scores and monitoring services, it is common for you to wonder how the company makes money.
Borrowell makes money from the various financial products recommendations it offers. Whenever you use a product recommended by Borrowell, the company earns a referral bonus.
Which one is more accurate credit karma or Borrowell?
Although Borrowell only offers an Equifax credit score while Credit Karma offers credit score from the two major bureaus in Canada, the two companies offer accurate credit scores.
As a result, neither Credit Karma nor Borrowell can let you down when it comes to credit checks, credit monitoring and credit reports.
