What is Alternative Lending?
Alternative lending refers to non-traditional or non-prime lending—typically offered to borrowers who don’t meet the strict criteria of "A-lenders" (like big banks or credit unions).
These loans often come from private lenders or mortgage investment corporations.
B-lenders accept lower credit scores, self-employed income, or higher debt ratios.
In return, they charge higher interest rates and may ask for larger down payments.
It's commonly used in mortgage financing, especially for self-employed individuals or newcomers to the country.
Six Things You Should Know About Alternative Lending
🧾Flexible Eligibility
Unlike banks, alternative lenders look at more than just credit scores—like cash flow or business potential. This makes it ideal for freelancers and entrepreneurs.
⚡Fast Approval
Applications are processed quickly, often in 24–72 hours. Perfect for emergencies or last-minute growth needs.
⚠️ Know the Fine Prim
Watch for hidden fees, early repayment penalties, and unclear terms. Always read the contract thoroughly.
💸Higher Interest Rates
Expect to pay more in interest. These loans carry higher risk for the lender, which gets reflected in the cost.
📆Shorter Terms
Repayment periods are often short—ranging from 6 months to 3 years—requiring discipline and steady cash flow.
📈Great for Growth
Great for funding expansions, inventory, or opportunities that traditional banks might not support.
How we can help you & Who we serve from it?
RFA
RFA Alternative is redefining accessibility in the alternative lending space with a Business-for-Self (BFS) program built for modern entrepreneurs and self-employed individuals, offering flexible stated income solutions that require only six months of bank statements—half the standard of most competitors.
Designed for agility, the program accommodates a wide range of borrowers, including those with newer businesses or lower credit scores, providing options like contributory income (up to $14,400 from household members) and flexible treatment of variable expenses.
AVEO
From working with AVEO, Level Up Mortgages was able to access alternative lending products, such as those under CMLS’s Avail and Alternative Solutions lines, that offer flexible income verification, higher debt servicing ratios, and extended amortization options.
By staying up to date on evolving lender programs and platforms like Nesto, Level Up Mortgages ensures we can match clients with innovative and accessible mortgage products that suit their unique financial profiles.
Tembo Financial
Level Up Mortgages is a forward-thinking mortgage and private lending company that serves modern entrepreneurs, self-employed individuals, and non-traditional borrowers by offering flexible financial solutions like renovation and deposit loans through partners such as Tembo Financial, known for their fast 48-hour turnaround times.
More than just a mortgage service, Level Up is deeply committed to holistic community building—led by founder Paul—who is developing cohort-based programs that blend business growth with personal well-being, featuring co-working spaces, accountability structures, expert mentorship, and wellness-focused events.
Their mission is to remove friction for entrepreneurs and homeowners by providing not only fast, tailored funding options but also the support systems and environments—both online and in person—that empower clients to grow, connect, and thrive.
CWB
After working with Canadian Western Bank, Level Up Mortgages was able to pair clients with B-side lending solutions to secure flexible mortgage products.
Our clients often benefit from custom underwriting, higher debt servicing ratios, and innovative features such as holdco mortgages and rental property enhancements.
At Level Up Mortgages, we serve borrowers who value tailored, strategic financing, especially those who may face challenges with A-lenders, and offer expert guidance in navigating alternative lending solutions that still maintain competitive rates and full-featured products like portability and renewals.
First National Excallibur
First National stands out in the alternative lending space by offering a blend of speed, transparency, and borrower-friendly flexibility, making it an ideal choice for brokers handling B+ and select B deals.
With a 4-hour underwriting response time and 24–48 hour document review, First National delivers industry-leading efficiency, eliminating secondary condition reviews and allowing for immediate deal instruction upon client commitment.
Their pricing model is refreshingly straightforward—no hidden premiums, with competitive top-tier rates and additional discounts for lower loan-to-value (LTV) scenarios.
KEB
At Level Up Mortgages, we are a forward-thinking brokerage that specializes in helping non-traditional borrowers—such as non-residents, new immigrants, and self-employed individuals—secure flexible and competitive mortgage solutions.
After partnering with lenders like KEB, we were able to provide access to both B and A- lending products tailored to clients who may not meet standard qualification criteria. We emphasize personalized service, quick turnaround times, and innovative tools like AI and targeted sales training to streamline processes and expand broker outreach.
We strive to connect underserved borrowers with lending options that recognize real-world financial situations and offer case-by-case flexibility.
📞 Call to Action
Facing pushback due to your job or income style?
Let us help tell your story — and find the right mortgage solution for you.
📧 paul.davidescu@mortgagepal.ca