Affirm Financial Unsecured Credit Card & Term Loan

Affirm Financial offers an unsecured credit card that is available even during your bankruptcy or consumer proposal.

NOTE: Effective May 1, 2017 Affirm Financial has “temporarily” stopped issuing new credit cards. They continue to service existing customers, and may re-enter the market at a future date, but effective immediately they are not processing new applications.

NOTE: You must be a homeowner to apply.

If you don’t need a credit card during your bankruptcy or proposal, don’t apply, but if you do, or if you want to begin to rebuild your credit, this card is an option to consider. Here’s what you need to know:

  • There is a monthly fee, even if you don’t use the card.
  • If you pay your balance in full each month there is no interest. However, if you don’t pay your balance in full each month, the interest rate is very high.

Click here to apply and obtain more information. When you click this link you will be taken to the Affirm Financial website. If you choose to apply for the Affirm credit card, you will be asked a number of questions, including:

  • personal information (name, address, etc.)
  • Your OSB number (the number on your certificate of appointment that we gave you on the day you filed your consumer proposal or bankruptcy with Hoyes Michalos).

You will then be asked four questions to verify your identity. The system will take the answers from your credit report, and if your answers match, your identity is confirmed.

Click here to apply and obtain more information. When you click this link you will be taken to the Affirm Financial website.

Approximately 70% of Hoyes Michalos clients and discharged clients are automatically approved if:

  • this is your first bankruptcy or consumer proposal (if this is your second filing you will not be automatically approved);
  • you do not have any recent payday loan activity (if you are getting payday loans while bankrupt or in a consumer proposal, you will not be approved);
  • you have a credit score of over 500 (or over 450 if you are a homeowner)

NOTE: Approximately 30% of our bankruptcy and proposal clients have a credit score of less than 500, and therefore are not approved.

NOTE: February 2017 Update: Affirm has changed the program, and this credit card is only available if you own your own home.

Why would my credit score be less than 500?

Full details on how a credit score is calculated can be found on our credit score page. While 70% of our clients have a credit score of over 500 when they file a bankruptcy or consumer proposal, the most common reasons that our clients have a credit score of under 500 include:

  • less than 1 year at their current job;
  • less than 1 year at their current address;
  • significant payday loan activity immediately prior to the bankruptcy or consumer proposal (and since it may take a month or two for your credit report to be updated, this activity appears to be recent, even if you have not taken a payday loan after filing);
  • a history of very old debts on your credit report.

What can I do if I am one of the 30% of people who won’t be automatically approved?

In most cases it is possible to improve your credit score, even while bankrupt or in a consumer proposal, by taking the following steps (after which you can reapply to Affirm; these steps generally take about 6 months to improve your credit score):

  1. Get a free copy of your credit report (contact your trustee if you would like assistance with this process) and notify the credit bureau of any errors, and request that they correct errors on your credit report; this step alone may improve your credit score enough to qualify.
  2. Establish one other form of credit. The easiest way to do this is with a secured credit card, for example through Home Trust Visa.

After taking these steps, it is likely that after six months you will qualify for an Affirm Financial Services Mastercard.

Click here to apply and obtain more information. When you click this link you will be taken to the Affirm Financial website.