Transparency

How Our Estimates Work

LoanIQ uses a deterministic scoring engine — not a black-box AI model — to calculate your approval likelihood. Here's exactly how it works.

Our Approach: Rule-Based, Not Random

Unlike opaque AI models, LoanIQ's scoring is fully deterministic. The same inputs always produce the same outputs. We use AI for conversation (understanding what you need), but your estimates come from a transparent, weighted scoring system built from real Canadian lending criteria.

This means you can trust the consistency of your results. Change one variable, and you'll see exactly how it affects your estimate in real time.

Scoring Categories

Credit Tier Weighting (~35%)

Your credit range is the strongest signal. We map your self-reported range to a weighted score that reflects how most Canadian lenders evaluate creditworthiness.

Income & Employment (~20%)

Stable income and employment type contribute significantly. Full-time employment scores highest, followed by self-employed with 2+ years history.

Business Revenue (~25% for business loans)

For business and equipment loans, monthly revenue and time in business replace personal income as key factors.

Collateral & Homeownership (~10%)

Owning a home or offering collateral reduces lender risk and improves your score. Home equity borrowers get the strongest boost.

Loan Amount Risk (~10%)

Smaller loan amounts relative to your income carry less risk and score higher. Very large amounts require stronger profiles.

Urgency Adjustment (~5%)

Flexible timelines score slightly higher because they allow matching with a wider pool of lenders.

Three Strategy Outputs

Once scored, your profile generates three distinct strategies:

Highest Approval

Maximizes your chance of getting approved

Fastest Funding

Prioritizes speed to get funds quickly

Lowest Rate

Aims for the most competitive interest rate

Important Disclaimers

All results are estimates only and do not guarantee approval or specific rates.
No credit check is performed — your credit score is never accessed or affected.
Estimates are based on self-reported information and general lender criteria.
Actual approval, rates, and terms are determined solely by the lender you apply with.
LoanIQ operates independently of any single lender.

Sources & References

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