f) Prohibition of unilaterally increasing credit limits: the increase in the credit limit without express consumer demand is prohibited, while such a unilateral increase prohibits claiming the amounts taken from the account beyond the previous credit limit.9 Griffin said he used the avalanche method to repay his debts – he pays the minimum on his credit cards with the lowest interest rates and puts the rest of his available money on his credit cards. He said he planned to use his savings to pay for his cards and get a line of credit. Please click on the link below to verify the card owner`s current agreement for your account and any applicable change notices. (a) Credit interest rate: changes and additions to borrowing costs that should not be taken into account when calculating the interest rate on credit3. Griffin has a card on which his payments range from $37 per month to $182 per month. In total, he said, he will spend an additional $240 on credit card payments. She gave an example based on someone who owes $1,000 on 19.9% of the interest rate credit card. If they pay a minimum payment of 2% and do not make new purchases, it will take them 26 years and 4 months to pay them back, and they will pay $3,000 in interest. The bill also includes loyalty programs that will give consumers “exchange units” when entering into agreements.12 An exchange unit is an advantage granted to the consumer with an exchange value. b) The lender may argue grounds for defence against the lender: the consumer`s grounds for defending the seller or service provider may be set against the lender in connection with a loan made in connection with that sale or service4.
which may be exempt from the money owed under the credit contract. Lenders should expect to face challenges based on legal quality assurance or the rules governing leases. In addition to the specific information to be determined by the consumer by regulation, the bill controls advertising on the distributor`s entry price, the cost of payments payable and the total value of goods or services purchased or leased, as well as the benefits of the credit.14 The scope and scope of these new provisions to be included in the CPA are defined and supplemented by regulations. , as well as the repeal of CPA11 calendars 1 to 11, suggests that new binding content will be imposed on distributors to be included in the credit contract. The bill also introduces the concept of a “high-priced credit contract” 10, the nature of which is not fully defined, but which involves heavy requirements and could lead to presumptions of abuse in favour of the consumer. At Scotiabank, we strive to help you better understand the conditions of your revolving credit products and any updates or changes we make there. (d) Mandatory content for credit card applications and agreements: Mandatory disclosure of different information in the application or contract of use of a credit card, including applicable rates, additional time and credit limit.7 Although the scope appears to be limited, the bill is likely to affect many Quebec merchants. , including those who offer direct or indirect consumer credit and those who participate in loyalty programs.