Payday lending consumers are to receive refunds says Consumer Protection BC

VICTORIA, May 29, 2012 /CNW/ - Consumer Protection BC is reminding payday lending consumers that they may be eligible for refunds from Cash Store Financial Inc., more commonly known as The Cash Store or Instaloans. Consumers are encouraged to complete Consumer Protection BC's online refund tracking form.

"To help all eligible consumers receive refunds, we created an online refund tracking form which is located at www.paydayloanrightsbc.ca," says Manjit Bains, VP of Corporate Relations with Consumer Protection BC. "We are asking payday lending consumers to come to us if they believe they are entitled to a refund."

Consumer Protection BC is also confirming that Cash Store Financial Inc. has paid the administrative penalty in full as well as costs incurred by Consumer Protection BC.  This requirement was outlined in the March 23, 2012 Compliance Order and notice of administrative penalty.  At that time, Cash Store was also notified of the requirement to reimburse consumers within 90 days and provide proof of reimbursement to Consumer Protection BC within 120 days. A backgrounder provides a timeline summary and additional details about payday lending in BC.

Consumer Protection BC also wants to take this opportunity to remind consumers of their rights when it comes to taking a payday loan. They include:

1. Consumers cannot be charged more than 23% of the amount borrowed.
2. Consumers should not be charged for the cost of acquiring a cash card in the context of a payday loan.
3. Insurance is optional. This is not a requirement of taking out a payday loan.

Updates about payday lending can be found at www.paydayloanrightsbc.ca. Consumers with questions about payday lending in BC may contact Consumer Protection BC toll free at 1-888-564-9963 or [email protected].  Follow this conversation on Twitter #debtinfoBC.

About Consumer Protection BC: Consumer Protection BC is a not-for-profit corporation created to strengthen consumer protection in BC and enforce consumer protection laws. The organization's vision is confident consumers and trusted businesses in a thriving marketplace. Consumer Protection BC licenses and inspects specific industries, responds to inquiries, investigates alleged violations of consumer protection laws, and educates consumers and businesses about their rights and responsibilities under the law. For more information: www.consumerprotectionbc.ca. Twitter @ConsumerProBC.

Media Contact Only:
Tatiana Chabeaux-Smith, Manager of Corporate Communications
Direct: 604-296-2856
Email: [email protected]