Settlements reached in payday loan class actions

LONDON, ON, Oct. 8, 2015 /CNW/ - Class action lawsuits initiated in Ontario by Harrison Pensa LLP against companies formerly known as The Cash Store and Instaloans, some of their directors and officers, some of their lenders, and a group of companies known as "DirectCash" have settled for more than $10 million dollars.

The class actions were filed on behalf of all persons in Canada who entered into "payday loan" transactions with Cash Store (defined as The Cash Store Financial Services Inc., The Cash Store Inc., and Instaloans Inc.) in Ontario on or after September 1, 2011 ("the Ontario Consumer Class Actions.")

The Ontario Consumer Class Actions claim that borrowers were charged too much money for interest and fees on payday loans, lines of credit, credit cards, debit cards, insurance policies, bank accounts, and other items.

On November 19, 2015, the court will be asked to approve the settlements, the proposed plan for distributing the settlements to borrowers, and the fees of the lawyers for borrowers.

If the court approvals are granted, borrowers will be eligible to make a claim for the unlawfully charged fees and interest. Details about the proceedings, the settlements reached, and the proposed plan for distributing the settlements can be viewed at: www.ontariocashstoresettlement.com.

Borrowers can object to the court approvals sought. If you took a loan at a location of Cash Store in Ontario on or after September 1, 2011, and wish to object to the settlements, the proposed plan for distributing the settlements, or counsel fees, send a written objection to the address below by November 9, 2015.

Do not contact the Courts with an objection. They have no capacity to process it.

If court approvals are granted, further public notices to borrowers will be published to explain how borrowers can make their claims to the settlement funds. To view a draft copy of the proposed plan for distributing the settlements, visit www.ontariocashstoresettlement.com.

All borrowers are encouraged to find and keep any documents related to a payday loan from Cash Store in Ontario on or after September 1, 2011.  Those documents will help borrowers to claim their settlement money. 

For more information, contact:

Harrison Pensa LLP, Attn: Jonathan J. Foreman
450 Talbot Street
London, ON N6A 4K3
Tel:  [phone] ext. 608
Fax: [phone]
[email protected]
www.ontariocashstoresettlement.com

Harrison Pensa LLP, based in London Ontario, is one of Canada's foremost class action law firms and has expertise in a full range of class action matters.

SOURCE Harrison Pensa LLP

Media Contact: Jonathan Foreman, [email protected]