I think they're both likely to cause people to go bankrupt. We should absolutely be trying to avoid those situations.
I think the government needs to put real energy into creating more accessible, lower cost, small dollar credit for low- and modest-income households. ACORN has outlined one approach. We've outlined some ideas in our submission to the government. There are lots of interesting models. There are a number of credit unions that offer great alternatives to payday loans that are far more affordable in Canada already.
There's a great model in Australia of free and fair loans for people with low incomes that's administered by the Good Shepherd non-profit, but with funding from the federal government in Australia and the participation of its national bank.