The federal government has demonstrated important leadership in protecting consumers who use the payday loan product.
Syd Franchuk, President, National Money Mart Company

National Money Mart Company, a subsidiary of Dollar Financial, Canada's largest payday loan provider, said today it welcomed the Government of Canada's new legislation granting individual provinces authority to regulate the payday loan industry.

The new federal legislation - Bill C-26 An Act to Amend the Criminal Code (Criminal Interest Rate) - will exempt provinces from the current restrictive section 347 of the Federal Criminal Code if they legislate a clear consumer protection regime for payday lending.

The provinces of British Columbia, Alberta, Saskatchewan, Manitoba, New Brunswick and Nova Scotia have all called on the federal government for authority to regulate the payday loan industry.

Earlier today, the The Canadian Payday Loan Association (CPLA) said it also welcomed the legislation (see story).

"The federal government has demonstrated important leadership in protecting consumers who use the payday loan product," said Syd Franchuk, President of National Money Mart Company.

Dollar Financial Corp's store network is the largest of its kind in Canada and the United Kingdom and the second-largest payday loan provider in the United States. The company operates 1,250 stores, including 752 company-operated financial services stores and 145 We The People legal document preparation locations in 34 states, the District of Columbia, Canada and the UK.