What is a payday bonds?

We leverage a business model that capitalizes on the high-profit margins from payday loan lending to offer customers and investors a more predictable, fixed high annual interest rate. This innovative investment product is designed for stability and growth. 

A payday loan is a short-term, high-interest loan typically designed to provide immediate cash to borrowers until their next paycheck. These loans are often small, ranging from $100 to $1,500, and are intended to cover urgent or emergency expenses. 

Short-Term:

• Payday loans are usually due within two weeks to a month, coinciding with the borrower’s next paycheck.

High Interest Rates:

• These loans carry very high interest rates compared to traditional loans. The annual percentage rate (APR) can be extremely high, sometimes exceeding 390%.

Minimal Credit Checks:

• Payday lenders often do not conduct thorough credit checks, making these loans accessible to individuals with poor or no credit history.

Small Loan Amounts:

• Payday loans are typically for smaller sums of money, which are meant to cover immediate financial needs such as rent, utilities, or unexpected expenses.

Repayment in Full:

• The full loan amount, along with any fees and interest, is typically due in a lump sum by the borrower's next payday. In some cases, borrowers may provide post-dated checks or give the lender authorization to withdraw funds directly from their bank account.

Easy to Obtain:

• Payday loans are often quick and easy to get, requiring minimal paperwork, usually just proof of income, a bank account, and ID. Many lenders now offer payday loans online.

Availability: All Provinces and Territories except Quebec

Minimum Subscription: $3,000 (30 Bonds) 

Securities Offered: Fixed rate 1, 2 & 3 year unsecured Bonds which are eligible for tax deferred Plans (RRSP, RRIF, TFSA & RESP)

Series A / 1 Year 6.5% / Paid every 3 months / Paid on maturity

Series B / 2 Year 7.5% / Paid every 3 months / Paid on maturity

Series C / 3 Year 8.5% / Paid every 3 months / Paid on maturity

Series D / 3 Year 10% / Paid every 3 months / Paid on maturity (Minimum CAD $100,000 investment)

Early redemption is available for series B, series C and series D bonds that have been outstanding for 12 months. Twice a year on March 31 and September 30, up to 10% of the outstanding Bonds maybe redeemed. Redemption are subjected to an early redemption penalty.

Paydaybonds will lend the raised funds to Pay2day consume lending business to develop and operate its business.