Consultation on Cracking Down on Predatory Lending Faster by Further Lowering the Criminal Rate of Interest and Increasing Access to Low-Cost Credit

Current status: Closed

As announced in Budget 2023, the government is working to lower the criminal rate of interest to protect Canadian consumers from predatory lenders. The Department of Finance launched a consultation to inform the government’s further actions to crack down on predatory lending faster.

This engagement process gave all interested members of the public the opportunity to provide input on this topic. The consultation ran from October 5, 2023 to January 7, 2024. Thank you to everyone who participated.

Key questions for consideration

This consultation sought feedback on:

• further lowering the criminal rate of interest;
• additional revisions to the payday lending exemption;
• access to low-cost, small-value credit in Canada; and,
• protecting Canadians from unfair marketing schemes and high credit fees.

What’s next?

Input received through this consultation will be considered alongside the analysis departmental officials are conducting as part of the ongoing work on consumer protection. While this formal consultation has now concluded, Canadians are welcome to share their ideas and comments with the Department of Finance at any time.

Related links

• Government advances measures to protect Canadian consumers and grow the clean economy
• Budget 2023—A Made-in-Canada Plan: Strong Middle Class, Affordable Economy, Healthy Future