Cash Store Financial Services Inc CSFS

Collecting on illegal loans in Ontario

[patchi]

Can The Cash Store collect on their line of credit loans in Ontario after the Superior Court of Justice  sided with the consumer protection agency in Ontario that what they were offering was essentially a payday loan. At that time, The Cash Store did not have a payday lending licence.

How much longer will the doors remain open in Ontario?

[apikon]

Yes. There is nothing stopping Ontario locations from taking payments from customers. What they can't do is "collect", ie: demand payment, until the line of credit is due, which is 12 months after it was taken. That said, most or all loans/lines in Ontario were brokered and all payments on brokered loans are being deposited by court order into seperate accounts for each lender and