A payday loan is a small amount of money used primarily to alleviate unforeseen financial difficulties. Unlike credit cards and bank loans, payday loans are secured by individuals on the condition that they will repay the borrowed amount through their paychecks. Simply put, it is a loan that is paid back on the next payday. This type of loan is also known as a payday cash advance.

Similar to other Canadian provinces, Quebec also has companies that give payday loans to people who are strapped for cash. The amount of money that can be borrowed using Quebec payday loans can reach up to $500, although there are a few payday loan providers that can lend up to $1,000. Many people make use of payday loans because they can be received quickly, usually on the same day they have been applied for. Although in general, the due date of this type of loan is on the payday of the borrower, some lenders allow their customers to extend the length of time for paying the borrowed amount. This of course entails a higher cost on the part of the loan holder.

Although a Quebec payday loan is a fast and convenient source of financial help, an individual has to make sure that he can repay the borrowed amount, or else he may experience certain consequences. He may receive multiple phone calls daily from the lending company. A person who fails to pay for the loan on the specified date will be hounded by aggressive collection agents that will call him up at home, at his workplace, and even on his mobile phone.