Home » Blog » Why the Ontario Government Did come down Hard n’t adequate from the cash advance Industry
Pay day loans are a challenge. The attention price charged is massive. In 2016, payday loan providers in Ontario may charge at the most $21 on every $100 lent, therefore in the event that you borrow $100 for two weeks, repay with interest, then duplicate that period for per year, you get spending $546 from the $100 you borrowed.
That’s an interest that is annual of 546%, and that is a big issue however it’s not illegal, because even though Criminal Code prohibits loan interest in excess of 60%, you will find exceptions for short-term loan providers, to allow them to charge huge rates of interest.Continue reading