Government of Canada / Gouvernement du Canada
Symbol of the Government of Canada

Search

Cooperative Credit Associations Act (S.C. 1991, c. 48)

Act current to 2023-01-25 and last amended on 2022-01-01. Previous Versions

PART IXBusiness and Powers (continued)

Borrowing Costs (continued)

Marginal note:Renewal statement

 If a retail association makes a loan in respect of which the disclosure requirements of section 385.16 apply and the loan is secured by a mortgage on real property, the association shall disclose to the borrower, at the prescribed time and place and in the prescribed form and manner, any information that is prescribed respecting the renewal of the loan.

  • 2001, c. 9, s. 313
  • 2012, c. 5, s. 112

Marginal note:Disclosure in advertising

 No person shall authorize the publication, issue or appearance of any advertisement in Canada relating to arrangements referred to in subsection 385.18(4), loans, credit cards, payment cards or charge cards, offered to natural persons by a retail association, and purporting to disclose prescribed information about the cost of borrowing or about any other matter unless the advertisement discloses prescribed information at the prescribed time and place and in the prescribed form and manner.

  • 2001, c. 9, s. 313
  • 2012, c. 5, s. 112

Marginal note:Regulations re borrowing costs

 The Governor in Council may make regulations

  • (a) respecting the time and place at which, and the form and manner in which, a retail association is to disclose to a borrower

    • (i) the cost of borrowing,

    • (ii) any rebate of the cost of borrowing, and

    • (iii) any other information relating to a loan, arrangement, credit card, payment card or charge card referred to in section 385.18;

  • (b) respecting the contents of any statement disclosing the cost of borrowing and other information required to be disclosed by a retail association to a borrower;

  • (c) respecting the manner of calculating the cost of borrowing;

  • (d) respecting the circumstances under which the cost of borrowing is to be expressed as an amount in dollars and cents;

  • (e) specifying any class of loans that are not to be subject to section 385.15, subsection 385.16(1) or 385.18(1) or (4) or section 385.19 or 385.2 or the regulations or any specified provisions of the regulations;

  • (f) respecting the time and place at which, and the form and manner in which, any rights, obligations, charges or penalties referred to in sections 385.15 to 385.2 are to be disclosed;

  • (g) prohibiting the imposition of any charge or penalty referred to in section 385.18 or providing that the charge or penalty, if imposed, will not exceed a prescribed amount;

  • (h) respecting the nature or amount of any charge or penalty referred to in paragraph 385.18(1)(b), (3)(a) or (4)(a) and the costs of the retail association that may be included or excluded in the determination of the charge or penalty;

  • (i) respecting the method of calculating the amount of rebate of the cost of borrowing, or the portion of the cost of borrowing referred to in subparagraph 385.18(1)(a)(ii);

  • (j) respecting advertisements made by a retail association regarding arrangements referred to in subsection 385.18(4), loans, credit cards, payment cards or charge cards;

  • (k) respecting the renewal of loans; and

  • (l) respecting such other matters or things as are necessary to carry out the purposes of sections 385.15 to 385.2.

  • 2001, c. 9, s. 313
  • 2012, c. 5, s. 113

Complaints

Marginal note:Procedures for dealing with complaints

  •  (1) A retail association shall

    • (a) establish procedures for dealing with complaints made by persons having requested or received products or services in Canada from the retail association;

    • (b) designate an officer or employee of the association to be responsible for implementing those procedures; and

    • (c) designate one or more officers or employees of the association to receive and deal with those complaints.

  • Marginal note:Procedures to be filed with Commissioner

    (2) A retail association shall file with the Commissioner a copy of its procedures established under paragraph (1)(a).

  • Marginal note:How procedures to be made available

    (3) A retail association shall make its procedures established under paragraph (1)(a) available

    • (a) in the form of a brochure, at its branches where products or services are offered in Canada;

    • (b) on its websites through which products or services are offered in Canada; and

    • (c) in written format to be sent to any person who requests them.

  • Marginal note:Information on contacting Agency

    (4) A retail association shall also make prescribed information on how to contact the Agency available whenever it makes its procedures established under paragraph (1)(a) available under subsection (3).

  • 2001, c. 9, s. 313
  • 2007, c. 6, s. 166

Marginal note:Obligation to be member

 In any province, if there is no law of the province that makes a retail association subject to the jurisdiction of an organization that deals with complaints made by persons having requested or received products or services in the province from a retail association, the retail association shall be a member of an organization that is not controlled by it and that deals with those complaints that have not been resolved to the satisfaction of the persons under procedures established by retail associations under paragraph 385.22(1)(a).

  • 2001, c. 9, s. 313

Marginal note:Information on contacting Agency

  •  (1) A retail association shall, in accordance with the regulations, at the prescribed time and place and in the prescribed form and manner, provide a person requesting or receiving a product or service from it with prescribed information on how to contact the Agency if the person has a complaint about a deposit account, an arrangement referred to in subsection 385.18(4), a payment, credit or charge card, the disclosure of or manner of calculating the cost of borrowing in respect of a loan or about any other obligation of the retail association under a consumer provision.

  • Marginal note:Report

    (2) The Commissioner shall prepare a report, to be included in the report referred to in section 34 of the Financial Consumer Agency of Canada Act, respecting

    • (a) procedures for dealing with complaints established by retail associations pursuant to paragraph 385.22(1)(a); and

    • (b) the number and nature of complaints that have been brought to the attention of the Agency by persons who have requested or received a product or service from a retail association.

  • 2001, c. 9, s. 313
  • 2012, c. 5, s. 114

Miscellaneous

Marginal note:Charges for prescribed products or services

 A retail association shall not, directly or indirectly, charge or receive any sum for the provision of any prescribed products or services unless the charge is made by express agreement between it and a customer or by order of a court.

  • 2007, c. 6, s. 167

Marginal note:Prepayment protected

  •  (1) A retail association shall not make a loan to a natural person that is repayable in Canada, the terms of which prohibit prepayment of the money advanced or any instalment thereon before its due date.

  • Marginal note:Minimum balance

    (2) Except by express agreement between the retail association and the borrower, the making in Canada of a loan or advance by a retail association to a borrower shall not be subject to a condition that the borrower maintain a minimum credit balance with the association.

  • Marginal note:Non-application of subsection (1)

    (3) Subsection (1) does not apply in respect of a loan that is

    • (a) secured by a mortgage on real property; or

    • (b) made for business purposes and the principal amount of which is more than $100,000 or such other amount as may be prescribed.

  • Marginal note:Government cheques

    (4) A retail association shall not make a charge

    • (a) for cashing a cheque or other instrument drawn on the Receiver General or on the Receiver General’s account in the Bank of Canada, in an association or in any other deposit-taking Canadian financial institution incorporated by or under an Act of Parliament;

    • (b) for cashing any other instrument issued as authority for the payment of money out of the Consolidated Revenue Fund; or

    • (c) in respect of any cheque or other instrument that is

      • (i) drawn in favour of the Receiver General, the Government of Canada or any department thereof or any public officer acting in the capacity of a public officer, and

      • (ii) tendered for deposit to the credit of the Receiver General.

  • Marginal note:Deposits of Government of Canada

    (5) Nothing in subsection (4) precludes any arrangement between the Government of Canada and a retail association concerning

    • (a) compensation for services performed by the association for the Government of Canada; or

    • (b) interest to be paid on any or all deposits of the Government of Canada with the association.

  • 2001, c. 9, s. 313

Marginal note:Regulations respecting the holding of funds

 The Governor in Council may make regulations respecting the maximum period during which a retail association may hold funds in respect of specified classes of cheques or other instruments that are deposited into an account at a branch or prescribed point of service in Canada before permitting the customer in whose name the account is kept to access the funds.

  • 2007, c. 6, s. 168

Marginal note:Regulations — activities

 The Governor in Council may make regulations respecting any matters involving a retail association’s dealings, or its employees’ or representatives’ dealings, with customers or the public, including

  • (a) what a retail association may or may not do in carrying out any of the activities in which it is permitted to engage, or in providing any of the services that it may provide, under paragraph 375.1(1)(a) and subparagraphs 376(1)(i)(i) to (iii) and any ancillary, related or incidental activities or services; and

  • (b) the time and place at which and the form and manner in which any of those activities are to be carried out or any of those services are to be provided.

  • 2009, c. 2, s. 278
  • 2012, c. 5, s. 115

Marginal note:Regulations re customer information

 The Governor in Council may make regulations

  • (a) requiring a retail association to establish procedures regarding the collection, retention, use and disclosure of any information about its customers or any class of customers;

  • (b) requiring a retail association to establish procedures for dealing with complaints made by a customer about the collection, retention, use or disclosure of information about the customer;

  • (c) respecting the disclosure by a retail association of information relating to the procedures referred to in paragraphs (a) and (b);

  • (d) requiring a retail association to designate the officers and employees of the association who are responsible for

    • (i) implementing the procedures referred to in paragraph (b), and

    • (ii) receiving and dealing with complaints made by a customer of the association about the collection, retention, use or disclosure of information about the customer;

  • (e) requiring a retail association to report information relating to

    • (i) complaints made by customers of the association about the collection, retention, use or disclosure of information, and

    • (ii) the actions taken by the association to deal with the complaints; and

  • (f) defining “information”, “collection” and “retention” for the purposes of paragraphs (a) to (e) and the regulations made under those paragraphs.

  • 2001, c. 9, s. 313

Marginal note:Notice of branch closure

  •  (1) Subject to regulations made under subsection (5), a member association with a branch in Canada at which it, through a natural person, opens retail deposit accounts and disburses cash to customers, shall give notice in accordance with those regulations before closing that branch or having it cease to carry on either of those activities.

  • Marginal note:Pre-closure meeting

    (2) After notice is given but before the branch is closed or ceases to carry on the activities, the Commissioner shall, in prescribed situations, require the member association to convene and hold a meeting between representatives of the member association, representatives of the Agency and interested parties in the vicinity of the branch in order to exchange views about the closing or cessation of activities, including, but not limited to, alternative service delivery by the member association and measures to help the branch’s customers adjust to the closing or cessation of activities.

  • Marginal note:Meeting details

    (3) The Commissioner may establish rules for convening a meeting referred to in subsection (2) and for its conduct.

  • Marginal note:Not statutory instruments

    (4) The Statutory Instruments Act does not apply to rules established under subsection (3).

  • Marginal note:Regulations

    (5) The Governor in Council may make regulations prescribing

    • (a) the time and place at which and the form and manner in which notice shall be given under subsection (1), the persons to whom it shall be given and the information to be included, the time, place, form and manner being permitted to vary according to circumstances specified in the regulations;

    • (b) circumstances in which a member association is not required to give notice under subsection (1), circumstances in which the Commissioner may exempt a member association from the requirement to give notice under that subsection, and circumstances in which the Commissioner may vary the time and place at which and the form and manner in which notice is required to be given under any regulation made under paragraph (a); and

    • (c) circumstances in which a meeting may be convened under subsection (2).

  • 2001, c. 9, s. 313
  • 2007, c. 6, s. 169
  • 2012, c. 5, s. 116

Marginal note:Regulations re disclosure

 The Governor in Council may, subject to any other provisions of this Act relating to the disclosure of information, make regulations respecting the disclosure of information by retail associations or any prescribed class of retail associations, including regulations respecting

  • (a) the information that must be disclosed, including information relating to

    • (i) any product or service or prescribed class of products or services offered by them,

    • (ii) any of their policies, procedures or practices relating to the offer by them of any product or service or prescribed class of products or services,

    • (iii) anything they are required to do or to refrain from doing under a consumer provision, and

    • (iv) any other matter that may affect their dealings, or their employees’ or representatives’ dealings, with customers or the public;

  • (b) the time and place at which, the form and manner in which and the persons to whom information is to be disclosed; and

  • (c) the content and form of any advertisement, by retail associations or any prescribed class of retail associations, relating to any matter referred to in paragraph (a).

  • 2001, c. 9, s. 313
  • 2007, c. 6, s. 170
  • 2012, c. 5, s. 117
 
Date modified: