Payday loan establishments

Businesses known as “Payday Loan” establishments offer cash advances in exchange for a post-dated cheque, a pre-authorized debit or promise of future payment. They are not regulated in the same manner as credit cards or lines of credit, and typically have much higher interest rates – capped in Ontario at 546 per cent annually.

The City of Kitchener is evaluating the appropriate mix of these establishments in the community, and we would like to know what you think.

Many customers report that they turn to these establishments when declined by other financial institutions and have no other alternative in the case of a personal or family emergency.

We want to know what you think!