In 2014, the licensed Canadian payday loan industry provided nearly 4.5 million short-term loans to Canadian households, at a total value of $2.2 billion. Despite its unfavourable reputation, the licensed payday loans industry provides a necessary service for cash-strapped Canadians. Placing inappropriate regulations on the industry may reduce access to credit for the financially vulnerable. Consumer education is advised to protect the financial welfare of borrowers and deter the growth of unregulated lending channels.