Industry Canada

Industry Canada

May 03, 2007 15:20 ET

Industry Canada: Payday Lending Bill Becomes Law

OTTAWA, ONTARIO--(CCNMatthews - May 3, 2007) - The Honourable Maxime Bernier, Minister of Industry, together with the Honourable Rob Nicholson, P.C., Q.C., MP for Niagara Falls, Minister of Justice and Attorney General of Canada, today welcomed the royal assent and coming into force of Bill C-26. This new law will result in greater consumer protection for Canadians who use the services of the payday lending industry.

"I am committed to consumer protection," said Minister Bernier. "These changes will give the provinces and territories the opportunity to protect payday lending customers appropriately."

Bill C-26 amends the Criminal Code of Canada and provides the provinces and territories with flexibility in regulating the payday lending industry.

"More and more Canadians are making use of the services of payday lenders," said Minister Nicholson. "With the passage of Bill C-26, our government has taken the necessary steps to ensure that this industry can be regulated."

Under Bill C-26, payday lenders who operate in provinces or territories with measures in place to protect borrowers who enter into payday loan agreements will be exempt from section 347 of the Criminal Code of Canada. This exemption enables the provinces and territories to set limits on the cost of borrowing and regulate the business practices of payday lenders within their jurisdictions.

A backgrounder on payday lending legislative amendments can be found on the Industry Canada website :!OpenDocument.

For an online version of the legislation, visit

Contact Information

  • Office of the Honourable Maxime Bernier
    Minister of Industry
    Isabelle Fontaine
    Industry Canada
    Media Relations
    Office of the Minister of Justice
    Genevieve Breton
    Director of Communications
    Department of Justice Canada
    Media Relations Office