A payday loan is a type of short-term borrowing. A payday loan is a loan for a relatively small sum of money at a very high interest rate. The maximum amount you can borrow is $1500. The maximum amount you can be charged is $15 for every $100 you borrow. A payday loan typically has to be paid back on your next payday.
If you are considering a payday loan, here are some things you should know:
Top 10 Things to Know About Payday Loans in New Brunswick
- The most you can be charged is $15 per $100 you borrow, including all charges and fees - no matter what. Learn more about how much payday loans cost
- You may cancel the payday loan within 48 hours, without paying any charges. Learn more about cancelling a payday loan
- Insurance is optional. It's okay to tell the payday lender that you don't want insurance.
- Payday loans are an expensive form of credit. Before getting a payday loan, you should consider other ways to borrow money (e.g., from family or friends, a bank or credit union or your credit card). Learn more about alternatives to payday loans
- Payday lenders must have posters showing the rates they charge.
- The loan agreement must list all of the charges, terms and conditions of the loan. Learn more about payday loan agreements
- Payday lenders can't issue you more than one loan at the same time.
- Payday lenders canít rollover your loan, which means that they canít extend or renew a loan at an additional cost to you or give you a new loan to pay out an old loan.
- Payday lenders can't give you a loan for more than 30% of your net pay cheque. Learn more about getting a payday loan
- NEVER give a payday lender direct access to your bank account. Do not give your bank card PIN # or your online password. Learn more about Protecting your Credit