CPLA Welcomes New Payday Loan Regulations in Saskatchewan

HAMILTON, ON, June 9 /CNW/ - The Canadian Payday Loan Association (CPLA) today welcomed news that the Province of Saskatchewan has passed a set of payday loan regulations that include the maximum cost of borrowing of $23 per $100 set by the province in December 2009. The province's regulations come after several years of close work with the province and the federal government to introduce a law that allows for a viable industry while providing strong consumer protection.

The CPLA said today that the package of regulations announced by the Saskatchewan government strikes the right balance in ensuring both consumer protection and a viable industry. Many of the measures are already part of the CPLA's "Code of Best Business Practices" - introduced four years ago and adhered to by CPLA members.

"Saskatchewan has showed great leadership in protecting consumers while still recognizing the important service the payday loan industry provides for many people seeking short-term, small-sum loans," said the Hon. Stan Keyes, President of the CPLA. "Our members look forward to operating fully within the new laws and regulations and continuing to work with government to ensure the regulations achieve the desired outcomes."

The CPLA represents 24 responsible payday loan companies across Canada and has been actively loan legislation and regulation. Six provinces to date (British Columbia, Alberta, Saskatchewan, Manitoba, Ontario and Nova Scotia) have completed regulation of the payday loan industry by passing a package of consumer protection regulations which includes a cap on the maximum cost of borrowing.

For further information: Hon. Stan Keyes - President of the CPLA, Office: [phone], Mobile: [phone], Email: [email protected]