ACORN Canada

ACORN Canada

August 30, 2016 15:17 ET

ACORN Canada Eager to See Payday Loan Cap Lowered to $15 on $100

TORONTO, ONTARIO--(Marketwired - Aug. 30, 2016) - ACORN Members are pleased to see the announcement by the Ontario government proposing lowering fees on Payday Loans to $15 on a $100 by 2018. ACORN members are hopeful that this will be just one step in comprehensive overhaul of the Canadian and Ontario government's movement toward financial inclusion. Other needed protections:

  • Introduction of a real time database to stop company to company roll-over loans
  • Provincial and federal regulatory harmonization of all predatory loans across the country looking at installment loans, title loans and high interest mortgages.
  • Federal regulation mandating the Big Banks give back a small portion of their record profit to creating access to small short term loans at fair rates for low income families in crisis.

"$15 fee on $100 loan paid back in 2 weeks is still 390%; but is a good step in the right direction. Payday loans drag people into debt trap where they have to take out loan after loan to pay off the previous loan. I have used payday loans to get a monthly bus pass to look for work, they are a debt trap!" (Tina Ford, Ontario ACORN Board members)

Contact John Anderson 647 204 2767 in the GTA; or Jill O'Reilly 613 808 56523 in Ottawa

ACORN Canada - the Association of Community Organizations for Reform Now, Canada - is among the nation's largest organizations of low- and moderate-income families, with over 83,000 members in more than 20 communities working together for social and economic justice.

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