Bill C-274 (Historical)

An Act to amend the Criminal Code (criminal interest rate)

This bill was last introduced in the 43rd Parliament, 2nd Session, which ended in August 2021.

Sponsor

Peter Julian  NDP

Introduced as a private member’s bill. (These don’t often become law.)

Status

Outside the Order of Precedence (a private member's bill that hasn't yet won the draw that determines which private member's bills can be debated), as of March 11, 2021
(This bill did not become law.)

Summary

This is from the published bill. The Library of Parliament often publishes better independent summaries.

This enactment amends the Criminal Code to lower the threshold at which an interest rate becomes a criminal rate and to include, in the calculation of the interest rate, the charges paid by a person to obtain insurance coverage.
It also repeals section 347.‍1 of that Act respecting payday loan agreements.

Elsewhere

All sorts of information on this bill is available at LEGISinfo, an excellent resource from the Library of Parliament. You can also read the full text of the bill.

April 29th, 2021 / 4:40 p.m.
See context

NDP

Peter Julian NDP New Westminster—Burnaby, BC

Okay, great.

Thank you very much to all of our witnesses. You bring very important testimony. Hopefully, over the next hour, I'll have a chance to ask you more questions on what you've raised.

I'd like to start with Mr. Cameron and ACORN.

ACORN has endorsed my bill, Bill C-274, to end predatory lending in this country. I'll give you an example, Mr. Cameron, before I ask you to give us back some other examples.

A constituent who borrowed $700 about nine years ago has paid $11,000 in interest and still owes the original $700. These are low-income Canadians who, particularly during a pandemic, are having to go to payday lenders and are being charged absolutely appalling amounts because it's legal to do so. My bill would seek to end the loopholes that allow for interest rates of 500% or 600%.

Can you tell us other examples of low-income Canadians being subject to predatory lending and losing everything because of the extraordinary interest rates that are legally charged?

Criminal CodeRoutine Proceedings

March 11th, 2021 / 10:35 a.m.
See context

NDP

Peter Julian NDP New Westminster—Burnaby, BC

moved for leave to introduce Bill C-274, An Act to amend the Criminal Code (criminal interest rate).

Madam Speaker, I thank my colleague, the member for Rosemont—La Petite-Patrie, for supporting this bill, which puts an end to predatory practices.

As we know, Canadians are struggling to get through this pandemic and often have no choice but to rely on short-term loans. Canadian families looking to get a short-term loan to put food on the table or to deal with an emergency will find they are often subject to interest rates that, on an annualized basis, hit 400% or 500%. As a result, a loan of a few hundred dollars can become a debt burden of thousands of dollars.

This bill would end predatory lending. We have done the work, so we sincerely hope the government will incorporate this legislation into the upcoming budget implementation act.

(Motions deemed adopted, bill read the first time and printed)