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FederalDid not become law (session ended)41st Parliament, 2nd Session

Bill S-210 explained in plain English

An Act to amend the Criminal Code (criminal interest rate)

Federal Parliament bill summary, status, timeline, sponsor, votes, and official sources.

At a glance

Jurisdiction
Federal Parliament
Legislature / Parliament
Parliament of Canada
Session
41st Parliament, 2nd Session
Bill number
Bill S-210
Full title
An Act to amend the Criminal Code (criminal interest rate)
Current status
Did not become law (session ended)
Latest event
At consideration in committee in the Senate
Last updated
May 29, 2014

Official Parliament of Canada snapshot for 41st Parliament, 2nd Session. MP vote breakdowns appear when the House of Commons publishes a recorded division export for that bill. Senate and House stage details include official debate/sitting links when LEGISinfo publishes them.

Chamber
Parliament of Canada
Current Stage
At consideration in committee in the Senate
Latest Activity
May 29, 2014
Plain-language explanation
In plain English (our explanation)

Our plain-language take, written for civic education.

Source: By PoliticalData.ca

AI-assisted, reviewed before publishing
Short Version

Bill S-210 amends the Criminal Code to lower the criminal interest rate threshold from 60% to the Bank of Canada's overnight rate plus 20% for personal, family, and household credit, while keeping the 60% threshold for business credit and exempting business loans of $1 million or more.

What It Means

Bill S-210 changes how Canadian criminal law defines when someone is charging an illegal "criminal rate" of interest on borrowed money. Currently, the Criminal Code says charging more than 60% interest per year is a criminal offence, no matter what the money is being used for. This bill would create two different rates: 1. For personal, family, or household borrowing: The criminal rate would be lowered to the Bank of Canada's overnight rate plus 20%. The Bank of Canada's overnight rate changes regularly, so this threshold would move up and down with it. For example, if the overnight rate is 2%, the criminal rate would be 22%. 2. For business or commercial borrowing: The criminal rate would stay at 60%. However, the bill also creates an exception: if a business borrows $1 million or more at one time, the criminal interest rate rules would not apply to that loan at all. The bill would come into force 60 days after it receives royal assent (becomes law).

What This Bill Does
  • Changes the definition of 'criminal rate' in section 347 of the Criminal Code to distinguish between personal/family/household credit and business/commercial credit
  • Lowers the criminal interest rate threshold for personal, family, and household credit from a flat 60% to the Bank of Canada's overnight rate plus 20%
  • Maintains the criminal interest rate threshold at 60% for business or commercial credit
  • Defines 'Bank of Canada's overnight rate' as the rate on the day the credit agreement is entered into or renewed
  • Clarifies that 'business or commercial purposes' means credit advanced to profit-seeking organizations or self-employed individuals, and excludes credit for personal, family, or household use
  • Exempts business or commercial credit agreements of $1 million or more from the criminal interest rate offence
  • Provides that the amendments come into force 60 days after royal assent
Who Is Affected
  • Lenders who charge interest on loans
  • Borrowers who take out personal, family, or household credit
  • Borrowers who take out business or commercial credit
  • Prosecutors and law enforcement who enforce criminal interest rate offences
  • Profit-seeking organizations that borrow money
  • Self-employed individuals and business owners who borrow for business purposes
Rights, Duties, Or Obligations
  • Lenders are prohibited from charging an effective annual interest rate exceeding the Bank of Canada's overnight rate plus 20% on personal, family, or household credit
  • Lenders are prohibited from charging an effective annual interest rate exceeding 60% on business or commercial credit, except when the business loan is $1 million or more
  • The criminal interest rate is calculated in accordance with generally accepted actuarial practices and principles
  • For loans of $1 million or more for business purposes, the criminal interest rate offence does not apply
Important Dates
  • The Act comes into force 60 days after the day on which it receives royal assent
Financial Or Tax Impacts
  • Lenders charging interest on personal, family, or household credit would be subject to a lower criminal interest rate threshold, which may reduce the maximum interest rates they can legally charge
  • Lenders charging interest on business or commercial credit would face no change to the 60% threshold, except for loans of $1 million or more which would be exempt from the criminal interest rate rules
Enforcement Or Penalties
  • The bill amends the Criminal Code but does not specify new penalties; existing penalties under section 347 of the Criminal Code would apply to violations of the new criminal interest rate thresholds
Uncertainties Or Limits
  • The bill does not specify what happens to existing loans made before the bill comes into force; it is unclear whether the new rates apply only to loans made after the effective date
  • The bill refers to 'generally accepted actuarial practices and principles' for calculating the effective annual rate but does not detail what these are
  • The bill does not specify enforcement mechanisms or who is responsible for determining compliance
  • It is unclear how the variable Bank of Canada's overnight rate will be communicated to lenders and borrowers on an ongoing basis
Laws Or Regulations Affected
Criminal Code, section 347 (Criminal Interest Rate)
amended

The definition of 'criminal rate' is replaced with a new definition that creates two tiers based on the purpose of the credit. For personal/family/household use, the rate is tied to the Bank of Canada's overnight rate plus 20%. For business/commercial use, the rate remains at 60%. A new definition of 'Bank of Canada's overnight rate' is added. A new subsection (2.1) clarifies what 'business or commercial purposes' means. A new subsection (9) exempts business loans of $1 million or more from the criminal interest rate offence.

Source: Bill S-210, section 1, subsections (1) through (4)

Generated using AI from official bill text. Not legal advice. It is written by PoliticalData.ca for civic education, automatically checked and spot-reviewed before publishing.

Official text

Parliamentary Process

Step 1
First reading
Nov 20, 2013
Completed

This record tracks the procedural progress of Bill S-210, starting with its first reading in the Senate in November 2013, and its subsequent referral to committee.

Introduction and first reading, Nov 20, 2013
End of stage activity, Nov 20, 2013
Chamber sittings
Introduction and first reading - Nov 20, 2013

During a Senate sitting on November 20, 2013, Bill S-210, an Act to amend the Criminal Code (criminal interest rate), was introduced and received first reading.

Step 2
Second reading
May 29, 2014
Completed

Bill S-210 completed its second reading in the Senate on May 29, 2014, and was referred to committee.

Second reading, May 29, 2014
Referral to committee, May 29, 2014
End of stage activity, May 29, 2014
Chamber sittings
Debate at second reading - Nov 26, 2013

During a Senate sitting on November 26, 2013, the second reading debate for Bill S-210, an Act to amend the Criminal Code (criminal interest rate), was adjourned to a future date, and numerous other parliamentary matters were addressed.

The Senate debated various topics and bills on November 26, 2013, including a proposed amendment to the Criminal Code regarding the criminal interest rate (Bill S-210).

Debate at second reading - Feb 13, 2014

During a Senate sitting on February 13, 2014, various procedural matters were addressed, including tabling of reports and debates on unrelated topics, with no discussion recorded for Bill S-210 at its second reading stage.

Debate at second reading - May 1, 2014

During a Senate sitting on May 1, 2014, various legislative matters and societal issues were discussed, including tributes, the introduction and debate of several bills, and debates on foreign affairs and economic policy, with Bill S-210 concerning the criminal interest rate being among the topics addressed.

On May 1, 2014, the Senate debated various bills and issues, including privacy, corporate governance, health, and heritage, with proceedings beginning and ending with procedural matters and acknowledgments.

Debate at second reading - May 27, 2014

On May 27, 2014, the Senate convened to discuss several bills and issues, including grain transportation, election laws, and criminal interest rates, with the debate on Bill S-210 being adjourned.

Second reading - May 29, 2014

During this Senate sitting on May 29, 2014, debates occurred on various bills, including the criminal interest rate (Bill S-210), mischief relating to war memorials (Bill C-217), and electoral reform (Bill C-23), alongside discussions on international events and national issues.

Step 3
Consideration in committee
May 13, 2015
Not completed

Bill S-210, concerning amendments to the Criminal Code regarding criminal interest rates, was in the Senate's committee consideration stage as of May 13, 2015.

Step 4
Report stage
Not reached yet
Not reached

We don't have a plain-language summary for Report stage yet. The official source linked below is the full record.

Step 5
Third reading
Not reached yet
Not reached

We don't have a plain-language summary for Third reading yet. The official source linked below is the full record.

Step 1
First reading
Not reached yet
Not reached

We don't have a plain-language summary for First reading yet. The official source linked below is the full record.

Step 2
Second reading
Not reached yet
Not reached

We don't have a plain-language summary for Second reading yet. The official source linked below is the full record.

Step 3
Consideration in committee
Not reached yet
Not reached

We don't have a plain-language summary for Consideration in committee yet. The official source linked below is the full record.

Step 4
Report stage
Not reached yet
Not reached

We don't have a plain-language summary for Report stage yet. The official source linked below is the full record.

Step 5
Third reading
Not reached yet
Not reached

We don't have a plain-language summary for Third reading yet. The official source linked below is the full record.

Debate and sitting links point to official parliamentary sources when LEGISinfo publishes them. Any plain-language discussion summaries should be generated from those official texts and reviewed before public display.

Vote Summary

No published recorded division

This bill is still active. We only show vote counts after the legislature publishes a recorded division.

Sponsor
Pierrette Ringuette
Senator | Independent Senators Group (ISG) | New Brunswick
Jurisdiction
Federal Parliament

No published representative vote breakdown

This bill is still moving through the process. When a recorded division is published, representative positions can be listed here.

Official sources

Status, sponsor, votes, and timeline on this page are drawn from these official legislative sources and public records. Each summary above is attributed to its own source.

How this data is sourced