Avoiding Payday Loans

Payday Loan Facts

One of the strongest financial danger signs is the repeated use of Payday Loans.

While we sympathize with the desperation that can lead people into taking out Payday Loans, we want to make it very clear how poor a credit choice Payday Loans are.

What are Payday Loans?

Sometimes called Cheque Cashing Services – Payday Loans are short-term, unsecured loans that usually require the borrower to give the lender a post-dated cheque or a pre-authorized debit to cover the loan and the fees/interest charged on the loan. Loans are usually for 1 to 14 days in length.

Under the Ontario Government’s Payday Loans Bill of Rights, the Payday Loan industry can charge up to a maxim of maximum of $21 (fees plus interest) for each $100 that a consumer borrows. Payday loans are for periods of up to 14 days, which means that the annual cost of borrowing $200 (14 days x 26) would be $1096 – equal to 546% per year!

Scary News from Statistics Canada

According to Statistics Canada* in 2005 – 353,300 families reported taking out a Payday Loan in the previous three years.

This truly frightening statistic indicates there are many Canadians who are desperate for cash at any cost and many who do not understand how poor a credit choice they are making.

Avoiding Payday Loans

Part of avoiding Payday Loans, is to get your finances under control. The most effective ways to do that is to set up a realistic budget, build up an emergency fund, and stick to it.

Check out our free series on how to set up a budget. It will help you get started on your way to financial stability.

Knowing the true costs of Payday Loans – may be one of the best incentives for getting your finances under control.

Trapped in Payday Loans?

If you are trapped in the Payday Loan cycle, can’t see a way out, and live in the GTA – it might be time to speak to one of the Licensed Debt Professionals™ at David Sklar & Associates. We offer a free initial consultation where we will review your current financial situation and explore all of your debt-removal options. Call 416-498-9200 to book your free consultation at one of our six GTA offices.

* Statistics Canada – http://www.statcan.gc.ca/pub/75-001-x/10407/9617-eng.htm

Take Your First Step Towards A Debt Free Life

If you are overwhelmed by debt and live in the Toronto area, call us at 416-498-9200 to book a FREE, confidential appointment. We will review your financial situation in detail and discuss all of your options with you. Alternatively, you can fill out the form below and our team will reach out to you. 

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Very professional and fast service! Also, personable!.. they don't treat you like a number, but like a person.From the time I first contacted them, until I was set up there has been not more than 7 days.I dealt with Jackie, she was great!
Jelena Petrovic
18:06 20 Jun 21
I had a great experience with Rhoda at the Mississauga location. Extremely knowledgeable and helpful, she made me feel confident I had made the right choice contacting David Sklar and co. Highly recommend.
Maria Curbelo
19:59 18 Jun 21
I would just like to say thank you to David Sklar & associates for helping me out in this difficult time I was in way over my head, I was introduced to Jackie Stanley, at that moment things got better the calls stop. Jackie was so professional helpful, trusting answered all my calls all my Text, and emails professionally and respectful!! I can’t believe it, and now I’m gonna build my credit rating back up and have my life back Thank You, Jackie Stanley at David Sklar& associates, for doing an outstanding Job!!!!
Mark Simmonds
21:50 16 Jun 21
I am not very good at putting words together especially when your speechless for all the help from such a friendly happy non judgemental team. From being financially stressed and depression hitting all at once I connected with Jackie Stanley💯❤❤ from David Sklar team in a whole other level,she is an absolutely joy to deal with and very informative let me know there is light at the end of the tunnel.. despite my struggle the amazing lady Jackie Stanley was able to put a smile on my face and make me laugh super happy and grateful 🙏I was able to connect with her from David Sklar &Associates team I 💯 percent recommend her (Jackie Stanley) and will continue to recommend her. To any one looking to get out of debt or have any questions belive me when I say you will not be disappointed with Jackie she's such a great person and I'm lucky to have been able to recieve the help and guidance from such a wonderful person and you will be also...look no further no where but up from here ...Thank you So so much Jackie much appreciated
Richelle Barriault
17:57 16 Jun 21
Reached out to Jackie, who was very cordial and professional. Highly recommended.
The Lit Lion
16:54 16 Jun 21
I must admit that I am so glad I called! I spoke to Rhoda Lewis who right away made me feel at ease. She's so caring and supportive I highly recommend her. Thanks to her my life is now on track! Thank you David Skylar & Associates Inc!
Grace Muller
17:55 25 May 21
Very professional and courteous. Jackie was very helpful and understanding. She was happy to answer any questions I had and we were able to process everything quickly with no hassle.
Nicholas Burnett
17:07 19 May 21
I would say my experience with David Sklar was spectacular, they made it really easy for my through the whole process and now 9 months later my bankruptcy is discharged.i would recommend David Sklar to anyone.
HN
23:00 06 May 21
I had a nagging defaulted student loan that was holding me back. There were a few smaller issues that were compounding. The lockdowns really forced me to look into building back my credit and starting fresh.Ashley at David Sklar & Associates at the Keele and Finch location was a blessing. She was thorough in her explanations and answered any concerns I had. She gave me the options and let me decide what was best. After conferring with her, I decided bankruptcy was the best option. She made the process of filing for bankruptcy easy.There's nothing to be afraid of. Stigma attached to bankruptcy but you can reset if you work hard to make it happen.I highly recommend speaking with Ashley if you have any concerns about debt solutions.
A M
14:39 04 May 21
I highly recommend David Sklar & Associates Inc. They helped me with my finances along with the help of Ashley Carter whom assisted me thoroughly throughout the process of my Consumer Proposal. She is very friendly, professional and updated me occasionally through emails. With her tremendous help, I am very thankful to have accompanied someone like her!
Pilar
21:05 28 Apr 21