Bank Act (S.C. 1991, c. 46)

Marginal note:Agreement — natural persons

• 627.94 (1) An institution shall, before entering into an agreement with a natural person other than for business purposes for an optional product or service, disclose to the person the following information:

  • (a) a description of the optional product or service;

  • (b) the term of the agreement;

  • (c) a list of all charges that will be imposed for the use of the product or service, or the method used for determining the charges and an example to illustrate the method;

  • (d) the conditions under which the person may cancel the agreement;

  • (e) the date from which the product or service is available for use and, if different, from which charges apply; and

  • (f) the steps required to use the product or service.

• Marginal note:Content — cancellation

  (2) Before entering into the agreement, the institution shall also disclose

  • (a) the fact that the person may cancel the agreement by notifying the institution that the agreement is to be cancelled;

  • (b) the fact that the cancellation will take effect on the last day of the billing cycle, or 30 days after the institution receives the notification, whichever is earlier; and

  • (c) the fact that it shall, without delay on receipt of the notification, refund or credit to the person any amount that it received for any part of the product or service that will be unused from the effective date of the cancellation, to be calculated in accordance with the prescribed formula.