Most Canadians prioritize convenience when dealing with financial transactions. According to the Canadian Bankers Association, 78 percent of Canadians were using digital channels to complete most of their banking transactions as of 2022. More people are turning to online banking and money-transfer methods, so why should things be any different when borrowing money?

Many Canadians turn to different financial institutions when they need financial assistance, and the emergence of online loan applicants has streamlined the process thanks to technology. In the past, people were required to deal with lengthy paperwork and endless queues at the bank. Now, borrowers can apply for loans from the comfort of their homes, thanks to the rise of online lending platforms.

FlexMoney offers flexible online loans for Canadians, allowing you to access cash when you need it most with a simple online application. Our process is transparent, ensuring you know all the terms associated with your application.

However, as with any innovation, there are trade-offs to consider, so some people choose not to apply for a loan online and stick to conventional methods. Either way, this guide can help you navigate your options by learning about the pros and cons of applying for a loan online vs. in person.

What is an Online Loan?

As the name suggests, online loans are financial products obtained through digital platforms. These loans are facilitated entirely online, from application submission to fund disbursement and repayment. They come in various forms, including personal loans, payday loans, and installment loans.

Typically, online lenders operate through websites or mobile apps, offering borrowers convenient access to funds without the need to physically visit a bank or lending institution.

At FlexMoney, applying for a personal loan is simple. We operate fully online and use the industry’s leading software to look beyond conventional credit bureau information. This eliminates the need for face-to-face interviews during loan application assessments.

When to Apply for an Online Loan?

When considering whether to apply for a loan online or in person, comparing each option is essential. Online loans are ideal for individuals seeking quick access to funds with minimal hassle. Here are some situations where you can apply for a loan online instead of in-person.


Online loans excel in providing swift financial relief during emergencies like medical expenses or unexpected car repairs. A key difference between applying for a loan online vs. in person is that the online streamlined application process and rapid fund disbursal can suit urgent situations.

For instance, if you need to get cash now to fund an emergency, you can apply online through FlexMoney’s streamlined application process. Once approved, the funds will be deposited into your bank account within the same or next business day.


Online loans eliminate the need for physical bank visits, making them ideal for individuals with busy schedules or limited mobility. Borrowers can apply from anywhere, anytime, using computers or mobile devices.

One example of when convenience is a priority is when seeking online moving loans in Canada due to the urgency and complexity of relocation processes. Quick access to funds without extensive paperwork or in-person meetings streamlines the loan application process, allowing individuals to address immediate moving expenses promptly. This convenience ensures a smoother transition to a new location without unnecessary delays or added stress.

Flexible Eligibility Criteria

Online lenders often cater to a broader range of credit profiles, offering options for individuals with less-than-perfect credit scores to access financing when traditional avenues may reject them. Flexible eligibility criteria are crucial when seeking loans for significant expenses, such as loans for home improvement, as they accommodate diverse financial circumstances and needs.

Such criteria allow a more comprehensive range of individuals with varying credit histories or income levels to access funds for renovating or upgrading their homes. This inclusivity empowers homeowners to undertake necessary improvements regardless of their financial situation, fostering a more accessible and equitable home improvement lending landscape.

Pros & Cons of Online Loan Applications

Before you apply for a loan online, take the time to learn the pros and cons of online loan applications.


Here are some benefits of online loan applications.

Speedy Processing

When you apply for a loan online, your application will likely be processed swiftly, with funds deposited into your account within a short time frame, sometimes as quickly as within 24 hours. Our goal at FlexMoney is to provide borrowers with a streamlined application process from beginning to end, and many online borrowers strive to achieve this.


Online loans offer a lifeline to individuals with limited access to traditional banking services or those residing in remote areas where brick-and-mortar banks are scarce. When you apply for a loan online with FlexMoney, you can explore many of our short-term loan options and choose one that suits your needs. We serve Canadians from coast to coast, allowing you to get easy access to funds when you need it most.

Competitive Rates

As online lenders multiply, borrowers can evaluate rates and conditions offered by various providers, potentially obtaining more favourable loan terms and an increased chance of being approved after applying.


Before you apply for a loan online, it can also be helpful to familiarize yourself with the disadvantages of choosing online loans.

Higher Interest Rates

Some online lenders may impose higher interest rates and fees than traditional banks, increasing long-term borrowing costs.

Limited Personal Interaction

The absence of face-to-face interaction with a loan officer may result in a lack of personalized guidance or assistance, particularly for borrowers with complex financial needs.

Security Risks

When you apply for a loan online, you may be susceptible to data breaches and cybersecurity threats, raising concerns about the safety of sensitive personal and financial information shared during the application process.

FlexMoney goes the extra mile to combat these security risks and protect your information using different tools, such as bank-level encryption. You can learn more about our privacy policy on our website.

What is an In-Person Loan?

In-person loans, also known as traditional or brick-and-mortar loans, involve financing from a physical bank branch or lending institution. Unlike online loans, in-person loans require borrowers to visit a physical location to complete the application process, provide documentation, and discuss loan terms with a loan officer.

When to Apply for an In-Person Loan?

In-person loans are well-suited for borrowers who value face-to-face interactions and personalized guidance when navigating the borrowing process.

Complex Financial Needs

In-person loans are well-suited for borrowers seeking comprehensive guidance and support, particularly for complex financial transactions such as mortgages or business loans. When learning how to get a loan in Canada to fund complex financial needs, some people prefer to apply for a loan in person.

Personalized Service

Individuals who value face-to-face interactions and prefer discussing their financial goals with a knowledgeable loan officer may find in-person loans more appealing.

Established Institutions

Borrowers seeking the reassurance of dealing with established financial institutions with longstanding reputations and regulatory oversight may opt for in-person loans.

Pros & Cons of In-Person Loan Applications

It’s important to familiarize yourself with the pros and cons of in-person applications as well as to understand the differences between applying for a loan online and in person.


Here are some positive aspects of applying for a loan in person.

Personalized Guidance

In-person loan applications allow borrowers to discuss their financial needs directly with a loan officer and receive personalized guidance and support tailored to their circumstances.

Clarity of Terms

Face-to-face interactions enable borrowers to seek clarification on loan terms, repayment schedules, and associated fees, fostering a deeper understanding of the financial commitment.

Regulatory Oversight

Traditional lenders are subject to regulatory oversight, providing borrowers additional protection and recourse in disputes or grievances.


Consider the following factors before opting for an in-person loan application.

Time-Consuming Process

In-person loan applications typically require multiple visits to a bank branch, which can be time-consuming and inconvenient, especially for individuals with busy schedules. For instance, if you want to take out a small loan, you might want to skip the lengthy process typically associated with in-person applications and apply for a loan online.

Strict Eligibility Criteria

Traditional lenders may impose stricter eligibility criteria, including higher credit score requirements and more extensive documentation, making it challenging for some borrowers to qualify. For example, if you’re looking for low-income personal loans, you can opt for FlexMoney’s flexible borrowing options. As long as you meet our minimum eligibility criteria, you can easily apply for our loan and receive funds within the same or the next business day.

Limited Accessibility

In-person loans may be less accessible to individuals residing in rural or underserved areas with limited access to physical bank branches.

Applying for a Loan Online vs. In-Person

A common concern when comparing loan options is whether it is better to apply for a loan in person or online. The decision hinges on various factors, including the urgency of funds, the complexity of financial needs, and personal preferences. While online loans offer convenience and speed, in-person loans provide personalized service and the assurance of dealing with established institutions.

By carefully evaluating these factors and understanding the implications of each option, borrowers can make informed decisions aligned with their unique circumstances and financial objectives.

In conclusion, navigating the terrain of online versus in-person loans requires a thorough understanding of their features, advantages, and drawbacks. By weighing the pros and cons of each option against individual needs and preferences, borrowers can select the borrowing avenue that best suits their requirements, ultimately empowering them to make sound financial decisions and achieve their goals.