How do payday loans work in Toronto?
Two layers of rules apply. Ontario sets the cost, the borrowing limit and your right to cancel. The City of Toronto then licenses each physical payday loan establishment and has capped the number of locations, so no new storefronts are being added. Online lenders serving Toronto need the provincial licence.
What will it cost?
On $400 the maximum fee is $56, so $456 is due on your payday. If that payment would leave you short on rent — a real risk at Toronto prices — the loan is likely to make the following month harder, and one of the alternatives below may fit better.
What should I check before borrowing?
- The lender’s Ontario payday lender licence, confirmed with Consumer Protection Ontario.
- That the amount offered is no more than half your net pay.
- The cancellation steps, in case you change your mind within two business days.
- Whether you qualify for an extended payment plan on a third loan within 63 days.
Quick answers
How much can I borrow on a payday loan in Toronto?
Up to $1,500, or 50% of your net pay if that is lower.
Does Toronto have its own payday loan rules?
Yes, for storefronts. The City licenses payday loan establishments and limits how many can operate. Cost and borrower rights are set by Ontario.
Can I cancel a Toronto payday loan?
Yes, within two business days, by returning the money. No fee applies.
Is Public Cash Services a Toronto lender?
No. We do not lend. We publish information and list licensed lenders.