The federal
government has recognized the importance of this issue with the
introduction of legislation that will further protect consumers
who use payday loan services across Canada.
Gordon J. Reykdal,
Chairman and
CEO, Rentcash
"The federal government has recognized the importance of this
issue with
the introduction of legislation that will further protect
consumers who use
payday loan services across Canada," said Mr. Gordon J. Reykdal,
Chairman and
CEO of Rentcash Inc. "We will work with the provincial
governments to
establish legislation that balances consumer protection with the
viability of
the payday loan industry."
Canada's largest payday loan company, Dolar Financial, issued a
similar statement last week (see
story).
Under the new federal legislation, Bill C-26, An Act to Amend
the
Criminal Code (criminal interest rate), Section 347 of the
Federal Criminal
Code will not apply in provinces that legislate consumer
protection measures
for the payday loan industry.
Advance America, The US' largest payday loan provider, recently
launched an ad campaign the company hopes will clear up common
misconceptions about the industry and the typical payday loan
customer (see story).
