Yes. Ontario has set a maximum on the total cost of borrowing that payday lenders can charge consumers who enter into a payday contract. Payday lenders can charge no more than $21 for every $100 that a consumer borrows.
As a consumer in Ontario, if you are thinking of getting a payday loan, you have additional rights, including:
Full disclosure on your payday loan agreement
- Payday lenders must place certain information on the first page of your payday contract. This includes:
- The amount you are borrowing
- The number of days your loan agreement is for (for example, ten or 14 days)
- The amount you will pay for your loan (your "total cost of borrowing").
A two-day "cooling off" period
- You have two business days to cancel your payday loan agreement without penalty. You do not need to give a reason for canceling.