Financial Consumer Agency of Canada
www.fcac-acfc.gc.ca
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The Cost of Payday Loans
This publication explains payday loans, describes their costs, and compares these costs with other types of loans available to consumers.
Table of Contents
How and when do I pay back the loan?
How does a payday loan affect my credit report?
How much will a payday loan cost?
How does the cost of a payday loan compare with other credit products?
Things to consider before you apply for a payday loan
Things to consider if you take out a payday loan
How to calculate the cost of different short-term loan options:
- Example: Cost of a payday loan
- Example: Cost of a cash advance on a credit card
- Example: Cost of using overdraft protection on a bank account
- Example: Cost of a loan from a line of credit
