The Canadian government has introduced proposed legislation that would allow provinces that have legal protections for pay-day loan customers to permit interest charges above the 60 per cent threshold.

The Canadian Payday Loan Association is in favor of it.  They're an industry group representing 850 of the 1,350 outlets offering these short-term loans. They said it "will ensure consumer protection and the ongoing viability of this important industry."

On the other side of the isle, the Consumers' Association of Canada isn't quite as pleased about the legislation.  They've expressed doubts.  They warn that it could create a "hodge podge" of provincial regulations that would leave consumers in a worse position.