A payday loan is a short-term high-interest loan, typically marketed as easy cash to cover costs until the borrower’s next payday. Payday lenders have popped up all over Canada in the last decade. They often charge exorbitant interest rates for small loans and typically target poor neighbourhoods and working poor people.

• The Ontario government recently introduced legislation to curb abusive payday lending practices. Read about the Payday Loans Act, 2008, read an Ontario Government press release, "It’s about fairness: new payday lending law to regulate industry" an article in the Toronto Star, "Payday loan crackdown." As well, you can support ACORN's actions to regulate predatory payday lending.
• The Financial Consumer Agency of Canada has a publication, "The Cost of Payday Loans" (in PDF or HTML) which explains payday loans, describes their costs, and compares these costs with other types of loans available to consumers.
• "A Matter of Interest" is a 2004 Toronto Star series on payday loans.
• The Centre for Responsible Lending has information disputing the claims of the payday lending industry.

This year's Nobel Peace Price went to the founder of the microcredit bank, Muhammad Yunus. An article in The Dominion newspaper, "Microcredit and Women's Poverty" critiques microcredit for not doing anything to change the structural conditions of poverty. The article argues that microcredit fits nicely into the idea that poverty is an individual problem, therefore shifting the responsibility of poverty from governments onto the backs of poor women.

Manitoba's NDP government is attempting to enforce national laws regarding interest rates of payday loan companies. Consumer rights advocates are supportive of this government action and hope that the Canadian government will give the provinces the power to truly enforce regulation. For more information see the CBC news story, "Manitoba to crack down on payday loan companies."

Upstairs, downstairs and in between: The assets and debts of British Columbians is a new document by the Canadian Centre for Policy Alternatives.