Financeit has completed a $201 million asset-backed securitization transaction backed by home improvement loans, marking what the Toronto fintech says is a first for the Canadian market.
The company announced the closing of its first term ABS transaction through Financeit Securitization Limited Partnership, its wholly owned securitization vehicle. The Series 2026-1 notes were placed with institutional investors in Canada and the United States.
While home improvement ABS transactions are already established in the U.S., Financeit says this is the first term ABS transaction of its kind in Canada.
For Financeit, the deal represents more than a new financing milestone. It gives the company another source of capital as it continues to scale its point-of-sale financing platform across home improvement and other consumer lending verticals.
Financeit co-founder and CEO Casper Wong said the transaction reflects the “maturation, scale, and performance” of the company’s platform. The company says it has grown at a 33 percent compounded annual growth rate over the past four years, driven by its home improvement business and expansion into multiple verticals.
Financeit expects 2026 to be another record year, with annual loan originations approaching $2 billion.
The notes were rated by Morningstar DBRS, ranging from AAA(sf) to BBB(low)(sf). Goldman Sachs & Co. LLC acted as structuring and joint lead placement agent, while CIBC Capital Markets also acted as joint lead placement agent. BMO Capital Markets was co-manager on the transaction.
David Yeilding, Financeit’s CFO, said the transaction was well received by large Canadian and U.S. institutional investors. He added that issuing notes in the term ABS market is becoming an important part of Financeit’s capital strategy.
Together with its existing lending facilities, Financeit says the transaction gives the company approximately $2.5 billion in annual loan funding capacity.
Founded in 2011, Financeit provides point-of-sale financing for the home improvement, recreational vehicle, and retail sectors. Its platform allows merchants, dealer networks, big box retailers, OEMs, and enterprise businesses to offer customers payment plans for major purchases.
The company says it works with more than 10,000 dealers across Canada and has funded more than $10 billion in loans since inception, serving nearly one million Canadians.
Financeit’s financing products are designed around plain-language loan terms, no prepayment penalties, and customer protection measures that release funds only once customers are satisfied. For merchants, the platform is positioned as a way to increase close rates and transaction sizes while giving consumers more flexible options for larger purchases.
The ABS transaction also points to a broader maturation of Canadian fintech lending. As fintech lenders grow, access to institutional capital markets can become a key part of funding growth beyond traditional warehouse lines and lending facilities.
For Financeit, the deal creates additional capacity to fund loans while reinforcing its position in one of the country’s largest point-of-sale financing categories: home improvement.
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