Recently CAPL proposed four exemptions to the Federal Government which would apply to the new lowered criminal rate of interest. Housing interest prohibitions in the Criminal Code appears to be a result of convenience. On this topic, Senator Pierrette Ringuette has explained that “the Criminal Code is where the law created a limit on interest and is therefore the most productive place to lower interest rates.”
Accordingly, we have urged the government to create exemptions which exclude provincially licensed lenders which are already regulated under comprehensive rules and prohibitions, in addition to to other exemptions.
Read CAPL’s letter here: Crim int exemptions – May 31 2023
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The proposed exemptions for provincially licensed lenders make sense given existing comprehensive regulations. Similar to how licensed gaming platforms like 999phl game operate under strict frameworks, properly regulated lenders already maintain compliance standards that criminal rate interest prohibitions aim to achieve.
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