Alberta regulates consumer credit primarily through the Consumer Protection Act — formerly known as the Fair Trading Act until it was renamed in 2017 — with specific provisions for payday lending that set licensing requirements and cost-of-borrowing limits.
The Consumer Protection Act
Alberta's Consumer Protection Act (renamed from the Fair Trading Act in 2017) governs a wide range of consumer transactions, including credit and loan agreements, requiring clear disclosure and prohibiting unfair practices.
Payday Loan Regulations
Under the Act's payday loan provisions, lenders must be licensed and disclose the full cost of borrowing before an agreement is signed, with specific cost caps for payday loans specifically.
Federal Criminal Rate of Interest
Personal installment loans in Alberta are governed separately by the federal Criminal Code's interest rate cap of 35% APR, effective since January 2025.
Consumer Protections
Alberta borrowers are entitled to full written disclosure of loan terms and costs before signing, and have a formal complaint process through the province's consumer protection office if a lender doesn't comply.