How to Start a Canada Payday Loan Business
The volume of payday loan transactions is growing in Canada. Like the US, the Internet is playing a major role and continues to disrupt the payday loan brick-n-mortar space. There’s little doubt that consumers in outlying Canadian provinces prefer the ease Canadian payday loan internet companies offer them when in an emergency financial situation. Better to get a payday loan online than to trudge down to a store through inclement weather while saving and hassle.
Regarding financial products, what’s true for the US is true for Canada. “As Internet technology advances, borrowers will likely demand a faster and more cost-effective lending process, which is increasingly moving toward online and mobile-based platforms,” said Canaccord analyst Scott Chan.
“Mogo has already been operating for 10 years. It processes 30,000 loans a month, including personal loans of up to $35,000. It also offers shorter-term loans that are similar to payday loans, although at half the rate of most payday lenders.”
“We are finding customers increasingly want access to other products delivered with the same level of convenience and transparency,” Mr. Feller said. “This is where the market is going, especially for the millennial generation – they will want their financial solutions delivered digitally, on demand.”
Mogo is a Canadian payday loan company with big plans for future growth. Having gone public, Mogo has access to additional funding enabling Mogo to reach out to all Canadian provinces where safe-harbor legislation exists. Continued branding and national advertising will certainly enable Mogo to increase their loan portfolio. Currently servicing 30,000 loans a month, the sky is the limit.
For both borrowers, investors and payday loan lenders, Mogo’s website is worth a visit as well.
And if you are trying to start a Canadian payday loan business, consider investing in our “How to Start or Improve a Payday Loan Business.” [We cover all Canadian provinces as well as the US.