How to get a payday loan in Ontario
Everything an Ontario resident needs to know before applying: who qualifies, what to have ready, how much you can borrow, and how the process works from start to funded.
What is a payday loan in Ontario?
A payday loan is a small, short-term loan that is repaid on your next payday. In Ontario, a single payday loan cannot exceed $1,500 and is normally repaid within 14 to 62 days. It is designed to bridge a one-off gap — a car repair, an unexpected bill, a prescription — not to fund regular expenses.
Payday lending is legal in Ontario and licensed by the Ministry of Public and Business Service Delivery and Procurement under the Payday Loans Act, 2008. That means every licensed lender in the province must follow the same rules on cost, disclosure, and repayment.
Who can apply
To be eligible for a payday loan in Ontario you must:
- Be at least 18 years old.
- Live in Ontario, with a current Ontario address.
- Have a steady source of income you can document.
- Hold an active Canadian bank account in your own name.
- Have a valid email address and phone number.
You do not need perfect credit. Payday lenders assess your income and ability to repay rather than relying on a credit score — see our guide to payday loans with bad credit.
What to have ready before you start
- Your personal details, including date of birth and Ontario address.
- Your income details: your source of income, how often you are paid, and your next pay date.
- Your banking details: the bank, account type, and account information where funds should be deposited.
Having these to hand is the only thing that slows most applications down. With them ready, the form itself takes about 5 minutes.
How to apply, step by step
- Choose your amount. Select how much you want to borrow, from $100 to $1,500. You will see the cost of borrowing and the total repayment before you continue.
- Tell us about yourself. Provide your name, contact details, and Ontario address.
- Enter your income details. Your income source, monthly income, pay frequency, and next pay date.
- Add your banking details. The account where funds will be deposited and repayment collected.
- Submit and wait for a decision. Most applicants receive a decision within 60 minutes.
- Sign your agreement and get funded. Once you sign, funds are typically deposited within the hour during business hours.
How much you can borrow
Two limits apply. The first is the legal cap: a single payday loan in Ontario cannot exceed $1,500. The second is a responsible-lending rule: you cannot borrow more than 50% of your expected net pay for the term of the loan. If you are paid $800 bi-weekly, for example, the most you could typically borrow against one pay cycle is $400.
What it costs
The maximum cost of borrowing in Ontario is $14 for every $100 borrowed. A $300 loan therefore costs $42, for a total repayment of $342. There are no application fees, no administration fees, and no penalty for repaying early. Our guide to costs and fees explains how that works in detail.
Repaying your loan
Repayment is automatic. On the due date set out in your agreement, the loan amount plus the cost of borrowing is debited from the bank account you nominated. You can also repay in full at any time at no extra cost.
If you can't repay on time
Contact us before your due date. Ontario law prohibits rollovers that add cost, and instead gives you the right to a free extended payment plan. Repaying late can increase the cost of borrowing and may affect your credit. See your rights as an Ontario borrower.
