(*)Will actively participate in consultations to ensure consumer
protection and reasonable fees(*)
HAMILTON, ON, Nov. 28 /CNW Telbec/ - The Canadian Payday Loan Association
(CPLA) today applauded the New Brunswick government for introducing important
payday loan legislation that will regulate the industry and balance consumer
protection with a viable industry.
The new provincial legislation follows changes to the Criminal Code in
May 2007 that now allow provinces - for the first time - the authority to
regulate the payday loan industry as long as they meet the criteria of passing
consumer protection legislation and setting maximum allowable fees.
The CPLA has been actively working with the New Brunswick government
towards effective legislation and regulation.
New Brunswick's new legislation includes many elements of the CPLA's
"Code of Best Business Practices" - introduced two years ago and monitored by
an independent Ethics and Integrity Commissioner to ensure adherence among
"The Government of New Brunswick has shown great leadership in wanting to
protect consumers and allow for a viable payday loan industry," said Stan
Keyes, the President of the CPLA. "The CPLA will participate actively in all
consultations on regulations and rate setting on behalf of our members."
New Brunswick's new law effectively harmonizes the province's approach to
regulation with recent legislation in British Columbia, Saskatchewan, Manitoba
and Nova Scotia. The governments of Alberta and Ontario are expected to move
forward with their own legislation or regulations in the coming months.
The CPLA is currently involved in Canada's first rate setting process for
establishing maximum allowable fees for payday loans in the province of
Manitoba. The CPLA's submission and supporting evidence for a reasonable rate
can be found at www.cpla-acps.ca.
The CPLA represents 23 of the most responsible payday loan companies in
the industry who are committed to a voluntary Code of Best Business Practices,
overseen by an independent Ethics and Compliance Commissioner. Upwards of
2 million Canadians have used payday loans to cover small-sum, short-term
emergencies. Loans are capped at $1,500, with the average loan being $300 for
For further information:
For further information: Hon. Stan Keyes, President of the CPLA, (905)