CANADIAN PAYDAY LOANS FAXLESS - ONLINE INSTANT APPROVAL

Use loans responsibly

When you as a user accept an offer for a short term loan from any lender, you are taking certain responsibilities and risks that are similar to any other credit service. Make sure that you utilise these loans responsibly and make a conscious decision before applying as these loans are not to be used as a method of handling debt but to handle unexpected financial needs that may arise anytime. We always encourage the customers to come up with a loan amount conservatively and apply only for an amount that is important to deal with the current financial situation. Since short term loans going by the name are to be repaid within a few days of disbursement of loan amount, the user should also ensure that they can repay the loan amount within the given time period and still be able to handle any other financial needs from the remaining amount after debt repayment. In comparison to other forms of credit short term loans are usually associated with a high risk for lenders, hence these loans are subject to a higher charges and interest rate as well as some restrictions.

Understanding interest rates for payday loans

As stated above, short term loans are usually associated with fees, charges and interests. Most of the charges above the principal amount are comprised of interest. These interest rates have been capped in accordance with the Canadian regulations in order to protect the consumers. When we combine all the charges associated with short term loans, they form the APR or the annual percentage rate.

Restrictions of Loans

According to the Canadian regulations APR or the annual percentage rate has been capped at 60% to protect the consumers and prevent exploitation by the lenders. These regulations are precisely followed by all the lenders in our network. Since the regulations in Canada are not imposed strictly you may find several lenders providing short term loans and charging an unreasonable high rate of interest thus swindling your hard earned money. Lenders in our network are carefully chosen and hence all of them are expected to strictly follow Canadian short term regulations. By doing so, Payday rooster has simplified the process of receiving funds from the lenders in our network also the process of repayment has been made easier by ensuring that you only have to pay the justified amount.

Provincial Regulations

In Canada regulations for short term loans vary from province to province. According to the amendment brought to the criminal code of Canada in 2006, provinces were given the right to bring regulations to the short term loans market. Majority of the provinces have brought in their own separate regulations but certain provinces have not done so. You can easily access the complete regulations related to your province at the Canadian Payday Loan association website.

Implications of non-payment according to province

Alberta

Charge for Default loans is kept at 2.5% per month. In case of Non-sufficient funds an additional charge of 25$ can be made. At maximum this charge can be levied 2 times.

British Columbia

Default loans can be charged at a maximum rate of 30% per annum. In case of Non-sufficient funds an additional charge of 25$ can be made. At maximum this charge can be levied 2 times.

Saskatchewan

Default loans can be charged at a maximum rate of 30% per annum. In addition, for Non-sufficient funds, a onetime charge can be made for 25$. The charges are to be reset after the loan has been repaid.

Manitoba

No Short term loan related information is available.

Nunavut

No Short term loan related information is available.

Nova Scotia

Default loans that have surpassed the due date by one day have to be charged at 59% per annum at the maximum. An additional charge of 40$ can be charged at the maximum.

Ontario

No Short term loan related information is available.

Prince Edward Island

Default loans can be charged at a maximum charge of 59% per annum. For a loan that has surpassed the due date by at least one day, a maximum administration charge of 50$ can be charged. No limit is there for the number of times this penalty can be charged in case of non-sufficient funds, however, the total penalty for the loan cannot be greater than 50$ irrespective of the number of cases.

Quebec

No Short term loan related information is available.

Yukon

Default loans can be charged at a maximum rate of 59% per annum. A maximum administration charge of 50$ can be charged depending upon the due principal amount for any loan that has surpassed the due date by at least one day. No limit is there for the number of times this penalty can be charged in case of non-sufficient funds, however, the total penalty for the loan cannot be greater than 50$ irrespective of the number of cases.

Northwest Territories

Default loans can be charged at a maximum rate of 59% per annum. A maximum administration charge of 50$ can be charged depending upon the due principal amount for any loan that has surpassed the due date by at least one day. No limit is there for the number of times this penalty can be charged in case of non-sufficient funds, however, the total penalty for the loan cannot be greater than 50$ irrespective of the number of cases.

New Brunswick

Default loans can be charged at a maximum rate of 30% per annum. In case of non-sufficient funds a charge of 40$ can be made.

Newfoundland and Labrador

Default loans can be charged at a maximum rate of 59% per annum. A 40$ penalty is automatically added for any loan that has surpassed the due date by at least one day. No limit is there for the number of times this penalty can be charged in case of non-sufficient funds, however, the total penalty for the loan cannot be greater than 50$ irrespective of the number of cases.

Representative annual percentage rate (APR)

All the interest rates and charges mentioned on these sections are not guaranteed and representative only. Your actual APR will be dependent on a lot of factors including your lender, your province, your financial stability and the amount that is to be lent.

Representative example: British Columbia and Alberta

For instance if you borrow 300$ and repay it after 2 weeks, the total charges valid on this principal amount will be 62.94$. The fixed APR in such cases will be 599.12%which can be translated to a fixed rate of interest of 22.98%. While calculating the APR, various factors like the loan period, the interest rate, the method of repayment and various other factors are considered.

Representative example: Ontario

In case you borrow 300$ for a period of 2 weeks, the total charges would amount to 62.94$, at a fixed rate of interest of 20.98% resulting in an APR of 546.98%. This would result in an expected repayment amount of 362.94$

Representative Example: Alberta, British Columbia and Saskatchewan

In case you borrow 300$ for a period of 2 weeks, the total charges would amount to 69.00$, at a fixed rate of interest of 23% resulting in an APR of 599.64%.which means that per 100$ borrowed the interest amount will be 23$.In this case your repayment will be 369$

Representative Example: Nova Scotia

In case you borrow 300$ for a period of 2 weeks, the total charges would amount to 75.00$, at a fixed rate of interest of 25% resulting in an APR of 552%.which means that per 100$ borrowed the interest amount will be 25$.In this case your repayment will be 375$.

Representative Example: New Brunswick, Nunavut, Newfoundland, Prince Edward Island, Labrador, Northwest Territories and Yukon Territory

In case you borrow 300$ for a period of 2 weeks, the total charges would amount to 89.55$, at a fixed rate of interest of 29.85% resulting in an APR of 778%.which means that per 100$ borrowed the interest amount will be 29.85$.In this case your repayment will be 389.55$.