The government is finally lowering the maximum interest rate on loans — to 35% — and the alternative loan industry isn’t happy

  • 📰 TorontoStar
  • ⏱ Reading Time:
  • 34 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 17%
  • Publisher: 55%

Nigeria News News

Nigeria Nigeria Latest News,Nigeria Nigeria Headlines

In a move hailed as a victory by opponents of so-called predatory lending, Ottawa has pledged to cut the legally permitted cap on interest rates for loans.

that it intends to cut the maximum allowable annual percentage rate on loans to 35 per cent, down from the current 47 per cent. It also plans to launch consultations on whether the rate, which is in the Criminal Code, should be lowered even further.

“We were pushing for 30 per cent and they did 35 per cent,” she said, adding, “ it will save a lot of low- and moderate-income people a lot of money.” The Canadian Lenders Association, which represents alternative lenders but not the payday loan industry, said in a statement that it is disappointed by the budget announcement, which it claims could cut 4.8 million Canadians off from access to credit.

The government also promised a separate consultation on the payday loan exemption from the federal interest rate cap. In the meantime, it said it plans to put a cap on payday loan charges, limiting the amount of interest to no more than $14 per $100 borrowed.

We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 60. in NG
 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.

So your trying to tell us that 35% profit means less services?

Thank goodness. No business should be predicated on usuary rates. Cut them off and let the government provide short term relief.

cafreeland takes Canadians for fools.

Good. If someone’s risk level requires a 47% interest rate, those people should not be given debt money. They’ll have to cut expenses, get better jobs, or look for government handouts.

Mashallah

The trudopes strike again!

That's pretty close to what some credit cards charge.

Canada had usury laws.

Nigeria Nigeria Latest News, Nigeria Nigeria Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Read the full text of the 2023 federal budget from Finance Minister Chrystia FreelandOver the next five years, the government will increase spending by nearly $60 billion FederalBudget2023 Thus taxes, by definition, go up the same, plus accumulated debt interest. With higher costs from Green Hysteria, all union jobs bloated, government destined to impoverish the 88% of us who do not work for a union. Insanity. Thanks GTA for voting for these clowns. Perspective: Feds spend $500 billion/year, Ontario is 40% of Canada = $200 billion Ontario spends $200 billion/year Municipalities spend $20 billion/year Total Ontario taxes $420 billion The total size of Ontario’s economy is $775 billion Ontarios gets taxed (not including… Minister Freekland should be arrested. She’s like a communist criminal felon. Trudeau and Freekland should be arrested for their crimes. Money laundering, fraud, treason, murder, they’ve done it all. Pfizer, Moderna deaths. Killing children. Disgrace
Source: nationalpost - 🏆 10. / 80 Read more »