VICTORIA, Dec. 10, 2012 /CNW/ - British Columbians who were overcharged
for payday loans from The Cash Store or Instaloans are eligible for
refunds estimated to total approximately $1 million. In March, 2012,
Consumer Protection BC ordered the parent company, Cash Store Financial
Inc., to stop charging illegal fees and repay customers who were
overcharged. As a result of a Supplemental Compliance Order issued on
November 30, 2012, the refund process is now scheduled to begin on
December 11th 2012. The refund process will be overseen by an independent auditor and
Consumer Protection BC. Following from this process, it's expected that
all illegally-charged funds could begin to be refunded as soon as
"We anticipate that consumers who borrowed more than 68,000 payday loans
are eligible for refunds," said Manjit Bains, Vice President Corporate
Relations, Consumer Protection BC. "Consumers have waited long enough
for their money."
Consumer Protection BC will ensure that Cash Store Financial provides
all eligible consumers with complete and accurate refunds. Cash Store
Financial is responsible for the implementation of the refund process.
The process includes notifications with advertising, addressed mail and
other public notices to ensure that all potential refundees are made
aware of the refunds available. Anyone who obtained a payday loan from
The Cash Store or Instaloans between November 1, 2009 and March 23,
2012 may be eligible for a refund. Each refund will require a claim
form which will be available from Cash Store or Instaloan locations.
Claim forms will also be available at www.paydayloanrightsbc.ca.
Any funds that remain unclaimed, after all efforts to reach eligible
consumers are exhausted, will be held by Consumer Protection BC for a
further six years, during which time, claims for refunds may be
submitted directly to Consumer Protection BC.
Consumer Protection BC will monitor the refund process closely. Updates
about refunds and payday lending can be found at www.paydayloanrightsbc.ca. Consumers with questions about payday lending in BC may contact
Consumer Protection BC toll free at 1-888-564-9963 or firstname.lastname@example.org.
Additional information is available at www.paydayloanrightsbc.ca including:
Questions and Answers.
A visual representation of the refund process highlights, and
A copy of the Supplemental Compliance Order.
About Consumer Protection BC: Consumer Protection BC is a not-for-profit corporation that was created
to strengthen consumer protection in BC and enforce consumer protection
laws. Our vision is confident consumers and trusted businesses in a
thriving marketplace. We license and inspect specific industries,
respond to inquiries through our Inquiry Centre, investigate alleged
violations of consumer protection laws, and educate consumers and
businesses about their rights and responsibilities under the law. For
more information about our organization, please visit our corporate
website at www.consumerprotectionbc.ca. Follow Consumer Protection BC on Twitter @ConsumerProBC, like us on Facebook and read our blog for valuable consumer tips and resources.
SOURCE: Consumer Protection BC
For further information:
Consumer Protection BC Media Contact Only:
Tatiana Chabeaux-Smith, Manager of Corporate Communications
Direct: 604-296-2856 Cell: 250-686-1077