Responsible lending

A payday loan can help in an emergency and hurt if it becomes a habit. These are the commitments we make, the rights you have, and the questions worth asking before you borrow.

Reviewed by the Options Credit compliance teamUpdated

Our responsible lending commitments

  • We only work with lenders licensed in your province.
  • We show the maximum cost of borrowing on every page and in our calculator.
  • We never charge you a fee to apply or to receive a loan.
  • We won't encourage you to borrow more than you asked for.
  • We don't promote rollovers or new loans to pay off old ones.
  • We point you to free, independent help when a payday loan isn't the right fit.

Ask yourself before you borrow

  1. Is this a one-time emergency, or a regular bill I'll face again next month?
  2. Will my next paycheque cover the full repayment and my essential bills?
  3. Do I already have a payday loan outstanding?
  4. Have I checked cheaper options, like my bank, credit union or employer?
  5. Do I understand the total cost in dollars and the due date?

If you answered "no" or "not sure" to any of these, take a moment with our financial education guides first.

Your rights as a payday loan borrower

  • Cost cap: no more than $14 per $100 borrowed, including all fees.
  • Clear disclosure: a written agreement showing the amount, total cost, APR and due date.
  • Cancellation: a short period after signing to cancel without paying the cost of borrowing, for example two business days in Ontario, Alberta and BC.
  • Early repayment: the right to repay early without a penalty.
  • Limited fees: a dishonoured payment fee of no more than $20.
  • No forced extras: lenders can't require insurance or charge upfront fees.
  • Extended payment plans in provinces that require them, such as Ontario after three loans in 63 days.

If you're struggling to repay

You're not alone, and there are free options:

  • Talk to your lender first. Ask about an extended payment plan before your due date.
  • Non-profit credit counselling. Agencies that are members of Credit Counselling Canada offer free budget reviews and can set up debt management plans.
  • Licensed insolvency trustees can explain consumer proposals and other legal options if your debt has become unmanageable. First consultations are free.
  • Your provincial regulator can help if you believe a lender broke the rules. See the provinces page.

Get a decision on your payday loan today

Five minutes to apply, no credit score impact, and no obligation to accept the offer.

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