Latest Posts
Home > Debt Relief Industry > International > Canada > Canada’s Largest Province Working to Ban Advance Fee Debt Settlement

Canada’s Largest Province Working to Ban Advance Fee Debt Settlement

Hey Canada, better late than never, eh?

Tracy MacCharles, the Minister of Consumer Services, stated today, “Ontario consumers need to have confidence that they’re getting what they pay for when purchasing debt settlement services. We’re going to introduce legislation that would protect some of our most vulnerable consumers from being taken advantage of, at a time when they need the most help.”

Ontario has just announced the new debt settlement rules they plan to put in place in the most populous province.

These rules are intended to provide vulnerable consumers with protection against unfair business practices of some companies that offer debt settlement services.

As part of the province’s continuing commitment to strengthen consumer protection, the Ontario government intends to introduce legislation that, if passed, would impose new rules for debt settlement services, including:

  • Banning companies from charging upfront fees for debt settlement services
  • Limiting the total amount of fees consumers are charged
  • Requiring clear, easy-to-understand contracts
  • Establishing a 10-day cooling-off period, providing consumers more time to consider their agreements
  • Allowing the licences of non-compliant companies to be revoked

These proposed reforms would help protect the rights of consumers and are part of the new Ontario government’s commitment to building a strong economy and a fair, safe and informed marketplace.

Quick Facts

  • Ontario is joining other provinces like Alberta and Manitoba that regulated companies offering debt settlement services.
  • There are currently 22 companies and 38 credit counselling providers offering debt settlement services in Ontario.
  • The average consumer debt in Ontario is more than $25,000 per person. – Source

Canadas Largest Province Working to Ban Advance Fee Debt Settlement
Get Out of Debt Guy – Twitter, G+, Facebook

I can always use your help. If you have a tip or information you want to share, you can get it to me confidentially if you click here.

More Articles About

    Canada's Largest Province Working to Ban Advance Fee Debt Settlement by

    Share This and Spread the Word

    About Steve Rhode

    Steve Rhode
    Steve Rhode is the Get Out of Debt Guy and has been helping good people with bad debt problems since 1994. You can learn more about Steve, here.

    Get My FREE Get Out of Debt Guy Newsletter

    It is the smart thing to do.

    I promise to keep your email safe and secure.

    Close

    I want to keep you posted each weekday with just one email about the latest get out of debt news, scam alerts and information to beat back debt.

    You can unsubscribe at any time with just one click.

    After you subscribe, check your email to confirm your subscription. If the confirmation email does not appear in your inbox in a few minutes, check your spam folder for it. Sometimes it likes to annoyingly hide there.


    • It will keep you posted on the latest scams.
    • You will be alerted to the latest articles.
    • You will wind up smarter than everyone else dealing with debt.