The city will wait until after the next municipal election to decide if it should license payday loan companies, which traditionally charge enormous fees to those who can’t get bank loans or credit cards.
Bylaw chief Roger Chapman wrote an analysis on what the city could do to regulate the businesses, responding to a council direction from April 2016. The analysis was recently sent to council’s community and protective services committee.
The city counted 59 payday loan business locations in Ottawa at the beginning of June. Provincial data reviewed by the city show there are 796 payday loan shops across Ontario and they collectively issue more than $1 billion in loans annually.
Payday loan shops are often the last resort to access emergency funds after people get rejected by banks and credit card providers.
Clusters of the businesses are focused in Centretown and Vanier and on Merivale Road and on Bank Street near Heron Road. There are locations across the city.
More at: http://www.ottawasun.com/2017/06/09/city-delays-decision-on-payday-loan-companies-until-next-year