TORONTO, Dec. 15 /CNW/ - The Canadian Payday Loan Association today welcomed news that the Province of Ontario will be regulating the maximum rate of borrowing for payday loan customers, effective today. This regulation, which builds on related provisions which were brought into effect earlier this year, comes after several years of close work with the province and the federal government to introduce a law that allows for a viable industry while providing strong consumer protection.
"Ontario has showed great leadership in protecting consumers while still recognizing the important service the payday loan industry provides for many people seeking short-term, small-sum loans," said the Hon. Stan Keyes, President of the CPLA. "Our members look forward to operating fully within the new laws and regulations and continuing to work with government to ensure the regulations achieve the desired outcomes."
The new rules being enacted set the maximum cost of borrowing in Ontario at $21 per $100.
The CPLA represents 23 responsible payday loan companies across Canada and has been actively calling on governments across the country for five years to introduce and pass effective payday loan legislation and regulation. Four provinces to date (British Columbia, Alberta, Ontario and Nova Scotia) have completed regulation of the payday loan industry by passing a package of consumer protection regulations which includes a cap on the maximum cost of borrowing.
SOURCE Canadian Payday Loan Association (CPLA)
For further information: For further information: Hon. Stan Keyes - President of the CPLA, Office: (905) 522-2752, Mobile: (905) 645-4434, Email: firstname.lastname@example.org