Payday loan questions, answered

In provinces with payday loan laws, a licensed lender can charge at most $14 for every $100 you borrow, including all fees. A $500 loan for two weeks costs $70, so you repay $570. Late or bounced payments can add more.

Because the fee is charged over a very short time. $14 on $100 for 14 days, annualized, is about 365%. A credit card at 20% a year costs well under $1 on the same $100 for two weeks.

Up to $1,500. Ontario and British Columbia also limit each loan to 50% of your net pay. Lenders can approve less than you ask for, especially on a first loan.

Often, yes. Many payday lenders look mainly at your income and bank account rather than your credit score. Some do check credit, and none can promise approval. Each lender profile on Koke shows what that lender says it checks.

Usually proof of steady income, an active Canadian bank account, government photo ID shown to the lender, and a phone number or email. You must be the age of majority in your province. Requirements vary by lender.

It can. Most payday lenders don't report on-time payments, so repaying one rarely helps your score, but an unpaid loan sent to collections will almost certainly appear on your report.

Quebec doesn't license payday lenders, and loans there are limited to 35% APR, which rules out typical payday loans. Koke doesn't list payday lenders for Quebec, but you can apply for a personal loan through our partner's French-language form.

No more than 62 days. Most loans are due on your next payday. Alberta requires at least 42 days in instalments, and Ontario requires an extended payment plan after three loans in 63 days.

The lender can charge a capped fee if your payment bounces and interest on the overdue amount, which in Ontario is at most 2.5% a month, not compounded. Your bank may add an NSF fee. Call the lender before the due date to ask about a payment plan.

Some lenders fund the same day after approval, often by Interac e-Transfer. Others take one or two business days. Times shown on Koke are what lenders state; they aren't guaranteed.

A lender can't give you a second loan to repay the first, but you could borrow from another lender. Stacking payday loans is the quickest way into a debt cycle. Talk to a free non-profit credit counsellor instead.

In most provinces with payday loan laws, yes, within a short window and without paying the fee. In Ontario it's two business days, no reason needed. You return the money you received.

Not in provinces that ban rollovers, including Ontario and Alberta. A lender can't give you a new payday loan to pay off one it already gave you.

Find the lender's licence number on its website or contract, then search for it on your provincial regulator's site. The licence must cover the province where you live. Every lender profile on Koke links to the right regulator.

Yes, if the lender holds a licence in the province where you live. An online lender licensed only in Ontario can't legally make you a payday loan in Alberta.

Your online banking password, your SIN by email or text, or any upfront fee before you receive the loan. Licensed lenders don't need your banking login, and upfront-fee requests are a common scam.

To your provincial regulator. In Alberta, call the Consumer Contact Centre at 1-877-427-4088. In Ontario, file with Consumer Protection Ontario. In BC, contact Consumer Protection BC. Each province page on Koke links to the right office.

A payday loan is up to $1,500, due within 62 days, at up to $14 per $100. An instalment loan is usually larger, repaid over months, and capped at 35% APR. On amounts you can't repay by your next payday, an instalment loan usually costs less overall.

No. Koke doesn't lend money, approve loans or make credit decisions. We compare lenders licensed in Canadian provinces and explain what borrowing costs. If you apply, the lender or our application partner handles your application and makes every decision.

Lenders can pay for labelled featured or sponsored spots, and our matching partner, LeadScout, may pay us when you apply through Koke. Payments never change our ratings, and paid placements are always labelled.