Sudbury to see second payday loan firm open downtown

The opening of a second payday loan store in Sudbury's downtown is causing a stir.

Cashmoney will provide high-interest, short-term loans, cheque cashing and money transfer services.

It's to be located on a visible corner of Elm and Durham.

A Moneymart already exists down the street.

A local downtown booster, Andrew Knapp, ignited a storm of comments on his Facebook page after his suggestion that it wasn't an attractive addition.

The chief marketing officer for Cashmoney said he respects all opinions.

“We are very thoughtful when we open a location,” Bill Baker said.

“Not only for the impact to the community, but also for the jobs it creates. This location will initially create as many as five [to] six jobs and could reach as high as 10 in the first six months.”      

Offering choice for 'financial needs'

The pastor of the Elgin Street Mission said some people he knows use and rely on these payday loan stores because conventional banking doesn't work for them.

He says many of his clients go to an existing Moneymart with their disability and welfare cheques and pay fees to do business.

“They say because it's quicker,” Rene Soulliere said. “Some of them don't have proper identification or a bank account. If they do put their money in the bank [it’s put on hold] for a few days … [but sometimes] they need the money immediately.”

Soulliere added he doesn't see the need for a second store of the same type.

As for suggestions payday loans take advantage of the poor, Baker said the company respects all opinions and provides a choice.

“I don't think anybody would like to be in the situation that someone else is telling you what you can and can't afford and what you should or shouldn't do when it comes to your financial needs,” Baker said.

The Downtown Village Development Corporation has reported been trying to recruit something for that location for months without success.