What does a cash advance in Scarborough mean?
A cash advance in Scarborough means one of two things: a payday loan, which is money advanced against your next paycheque by a lender licensed under Ontario's Payday Loans Act, or a credit card cash advance, which is cash drawn on a card's credit limit. The search term usually means the first, and that is the product this page prices.
The payday version is $100 to $1500, sized to no more than 50% of your net pay for the period, and repaid in one debit on the day your pay lands. There is no interest clock; the cost is a flat $14 per $100 set by federal regulation and applied by every licensed lender in Ontario. The lender may call it a cash advance, a payday advance or a payday loan; the law and the fee are the same.
The application is online, income is read through IBV, and the money arrives by Interac e-transfer. The step by step on our main Scarborough guide covers that process; this page covers what is specific to borrowing against a cheque.
Cash advance Scarborough cost table at $14 per $100
A cash advance in Scarborough costs $14 for every $100 advanced, so $300 costs $42 and $1710 comes out of the account on payday for a $1500 advance. The fee does not change with the term: a 7 day advance for a weekly worker and a 14 day advance for a biweekly worker both cost $14 per $100.
| Advance | Fee at $14 per $100 | Debited on payday |
|---|---|---|
| $100 | $14 | $114 |
| $300 | $42 | $342 |
| $500 | $70 | $570 |
| $1000 | $140 | $1140 |
| $1500 | $210 | $1710 |
On a 14 day term the fee works out to about 365% APR. On a 7 day term the annualized rate is double that, which is the quiet cost of weekly pay: the same $42 buys half as much time. That is why a weekly paid warehouse worker does best keeping the advance small and rare, and why a repeat gap belongs on a monthly product instead.
Check your cash advance optionsHow the due date lines up with your pay cycle
The due date on a cash advance is your next pay date, so the term is set by your pay cycle: about 7 days on weekly pay, up to 14 on biweekly, up to 16 on semi-monthly, and up to 62 days at most under Ontario law for anyone paid monthly. The lender reads the cycle from the deposits IBV shows and schedules the debit to land the same day the pay does.
| Pay cycle | Typical term | Who in Scarborough is usually on it |
|---|---|---|
| Weekly | 7 days | Agency placements at the warehouses and food plants off the 401 and Steeles |
| Biweekly | Up to 14 days | Hospital and long term care shifts, TTC and city work, most large retailers |
| Semi-monthly | Up to 16 days | Campus jobs at Centennial and U of T Scarborough, office and clinic work |
| Monthly | Up to 62 days | Some salaried and contract positions |
Shift work adds a wrinkle. A rotating schedule at one of the Scarborough Health Network hospitals keeps the pay date fixed even when the hours swing, so the debit date is safe. An agency placement that switches client sites can move the pay date, and a debit that lands a day before the deposit is an NSF fee from your bank on top of the lender's. If the date moves, call the lender before the due date, not after.
Sizing the advance: 50% of net pay
Ontario limits a cash advance to 50% of the net pay for the period it is borrowed against, so the ceiling is set by your cheque, not by the $1500 legal maximum, and a first advance from a new lender usually lands between $100 and $500 regardless of the ceiling.
| Net pay per period | 50% ceiling | Typical first advance |
|---|---|---|
| $750 weekly | $375 | $100 to $300 |
| $1600 biweekly | $800 | $200 to $500 |
| $2000 semi-monthly | $1000 | $300 to $500 |
| $3000 biweekly | $1500 | $500 to $800 |
The ceiling is a limit, not a target. Half the cheque going out on payday leaves the other half for rent, the Presto pass and groceries until the next one, which is why a $300 advance repaid cleanly is a better first loan than an $800 advance that forces a second. The qualification section on our main guide lists what else the lender checks.
A credit card cash advance is a different product
A credit card cash advance is cash drawn on your card at an ATM or a bank counter, and it costs interest from the day of the advance at a rate higher than the card charges on purchases, plus a fixed fee per advance; there is no interest free grace period. It is governed by your card agreement, not by the Payday Loans Act.
For someone who has a card with room on it, the card advance is often cheaper than $14 per $100 for a short gap, but only if the balance is cleared on payday. Carried for months, the card advance keeps charging interest while the payday advance was a one time fee. Check the cash advance rate and fee on your card statement before choosing; both are printed there.
The cash advance Scarborough searchers usually want is the payday one, because they do not have a card with room, or because the card is the debt they are trying not to grow. Both are legitimate; neither is free.
The free alternative: a pay advance from your employer
An advance on earned wages from your employer costs nothing and is the first thing to ask for, because most payroll departments can release pay already earned ahead of the cycle, and some larger Scarborough employers have a formal early pay policy. It is worth an awkward conversation to save $70.
Where it works: a full time position at a hospital, a plant or a large retailer with its own payroll, where you have been for more than a few months. Where it does not: agency placements, where the agency is the employer and rarely advances, and very small businesses that run payroll on the owner's own cash flow. Ask your supervisor or HR, in writing, for an advance on hours already worked.
If the answer is no, the next question is whether the gap is a one time thing. A cash advance in Scarborough fits a one time gap. A gap that returns every month is a budget problem, and the installment loans guide for Scarborough shows how folding repeat advances into one monthly payment costs less than a fee every cycle.
Your cancellation right and the rollover ban
Every cash advance from a licensed Ontario lender comes with a two business day cancellation right at no cost and a ban on rollovers, both set by the Payday Loans Act, 2008. Return the principal within two business days of signing and you owe nothing, including the fee.
The rollover ban means the lender cannot renew the advance for a new $14 per $100 when payday comes and the money is not there. It cannot open a second advance while the first is outstanding either. On a third advance within 63 days the lender must offer an extended payment plan that spreads the balance over several pay periods at no extra fee. Complaints go to Consumer Protection Ontario.
Payday Loans Scarborough is a free loan connection service, not a lender. Your application is matched with licensed Canadian lenders that fund by Interac e-transfer, all credit considered; the bad credit loans guide explains what a low score does and does not change, and the e-transfer timing guide covers when the money lands.
Check your cash advance optionsCash Advance Scarborough FAQ
Is a cash advance the same as a payday loan in Ontario?
Yes, when it is borrowed against your next paycheque from a lender. Ontario licenses it as a payday loan, caps the fee at $14 per $100 and the amount at $1500, and gives you the two business day cancellation right. The name on the sign does not change the law.
Can I get a cash advance if I am paid weekly?
Yes. The advance is due on the next weekly pay date and is sized to half of that week's net pay, so the amount is smaller than for biweekly workers. Keep it small; the fee is the same for 7 days as for 14.
Can I repay a cash advance early?
Ask the lender; most accept early repayment. The fee is set per $100 rather than per day, so paying early rarely reduces it, but it does clear the account before the next cycle and stops the debit landing on a short cheque.
What if my pay date moves after a shift change?
Call the lender before the original due date and give the new pay date. Most will move the debit once at no charge. A debit that lands before the deposit costs an NSF fee at your bank and often one at the lender.
Can I get the advance in cash rather than by e-transfer?
Yes, at a licensed storefront on Kingston Road, Lawrence Avenue East or Eglinton Avenue East, with a pay stub, a bank statement and photo ID. The cost is the same $14 per $100 as online.
Do I need a credit card to get a cash advance?
No. The payday version needs a job, an active chequing account and ID, not a card. Only the credit card cash advance needs a card, and that one is priced by your card issuer, not by the Payday Loans Act.