Late last week the Supreme Court of B.C upheld Consumer Protection B.C.’s compliance orders against Cash Store Financial Inc. requiring the company to comply with the law and refund over $1 million to consumers.
People who took out an estimated 68,000 payday loans between Nov. 1, 2009 and March 23, 2012 from The Cash Store and Instaloans, both operated by Cash Store Financial Inc., may be eligible to receive refunds for illegal fees charged for cash cards.
The refund process was to begin in late 2012 but Cash Store Financial Inc. applied for a judicial review of Consumer Protection B.C.’s orders.
“This ruling from the Supreme Court of B.C. is very significant for both consumers and the payday lending industry,” said Manjit Bains, vice president corporate relations, Consumer Protection B.C. “Consumers have waited long enough and it’s time for Cash Store to refund their money.”
Pending the judicial review process, the court had ordered Cash Store to secure the refund amount of more than $1 million in the event the orders were upheld.
Consumer Protection B.C. is now expecting Cash Store to begin the refund process as outlined in the supplemental order, effective immediately. The Cash Store operates an outlet in Trail and in Castlegar.
A copy of the court’s judgment will be available on the Supreme Court of British Columbia website. Cash Store Financial Inc. has the right to file an appeal with the B.C. Court of Appeal within 30 days of the decision.