In this guide
Key takeaways
Collection agencies in Canada must be licensed. The licence is provincial, not federal. There's no single national licence that covers the whole country.
The rules that apply to you are based on the province where you live, not where the collection agency is based. An Alberta-based agency calling a debtor in Ontario needs an Ontario licence.
Most provinces only require licensing for consumer debt collection. Commercial debt collection is exempt in Ontario, British Columbia, Alberta, Quebec, Saskatchewan, and Manitoba. A few provinces, including Nova Scotia and PEI, also require licensing for commercial collection.
If a collection agency can't provide its licence number, that's a red flag.
Do collection agencies need a licence?
Yes. Every province and territory in Canada requires collection agencies to hold a licence before they can collect consumer debts.
Collection agency licensing is entirely provincial. There's no federal licence. Each province has its own legislation, its own regulator and its own registry.
In Ontario, the governing law is the Collection and Debt Settlement Services Act (CDSSA). In British Columbia, it's the Business Practices and Consumer Protection Act. In Alberta, the Consumer Protection Act and Collection and Debt Repayment Practices Regulation. Every province has its own version.
In most provinces, the agency, not the individual collector, holds the licence.
As of January 2018, Ontario no longer requires individual collectors to be registered separately. But the agency is still responsible for making sure every collector it employs follows the rules.
Source: Government of Ontario – Guide to collection agencies
Which province's rules apply to you?
Collection agency licensing follows the debtor. The province where you live determines which rules apply, not where the agency has its head office.
If a collection agency is based in Vancouver but calls you in Toronto, Ontario's CDSSA applies. The agency needs an Ontario licence to make that call.
Ontario's law goes slightly further than most. Section 2(0.1) of the CDSSA says the Act applies when either the debtor or the collection agency is located in Ontario at the time of the contact. Most other provinces only trigger licensing when the debtor is in the province.
Source: CanLII – Collection and Debt Settlement Services Act, s. 2(0.1)
For the full set of rules that apply in Ontario, see Ontario debt collection laws.
The industry standard is simple. You need a licence in every province where your debtors live. That's why national agencies hold licences in all 13 provinces and territories.
Consumer debt vs. commercial debt
Most provinces only require collection agencies to be licensed for consumer debt collection. If the debtor is a business rather than a person, many provinces don't require the agency to hold a licence.
Ontario, British Columbia, Alberta, Quebec, Saskatchewan and Manitoba all exempt commercial debt collection from their licensing rules. So do the Northwest Territories and Nunavut.
Provinces that require licensing for commercial collection
Not every province exempts commercial debt. In Nova Scotia, the Collection and Debt Management Agencies Act applies to all debt collection, not just consumer debt. The Act doesn't define "debtor," so the term covers individuals and businesses alike.
Source: CanLII – Collection and Debt Management Agencies Act (Nova Scotia)
PEI's Collection Agencies Act defines "person" to include partnerships and corporations. That means licensing applies to commercial debt collection, too.
Source: Government of PEI – Collection Agencies Act
Yukon's Consumers Protection Act covers more than the name suggests. It defines "debtor" broadly enough to include guarantors of commercial obligations, which pulls commercial debt collection under the licensing rules.
Newfoundland and Labrador's Collection Agencies Act and New Brunswick's Collection and Debt Settlement Services Act both apply to all debt collection, not just consumer debt.
Source: CanLII – Collection Agencies Act (Newfoundland and Labrador) and CanLII – Collection and Debt Settlement Services Act (New Brunswick)
| Province or territory | Governing legislation | Consumer licensing | Commercial licensing |
|---|---|---|---|
| Ontario | Collection and Debt Settlement Services Act | Yes | No |
| British Columbia | Business Practices and Consumer Protection Act | Yes | No |
| Alberta | Consumer Protection Act + Collection and Debt Repayment Practices Regulation | Yes | No |
| Quebec | Act Respecting the Collection of Certain Debts | Yes | No |
| Saskatchewan | The Collection Agents Act | Yes | No |
| Manitoba | The Consumer Protection Act | Yes | No |
| Nova Scotia | Collection and Debt Management Agencies Act | Yes | Yes |
| New Brunswick | Collection and Debt Settlement Services Act | Yes | Yes |
| Newfoundland and Labrador | Collection Agencies Act | Yes | Yes |
| Prince Edward Island | Collection Agencies Act | Yes | Yes |
| Yukon | Consumers Protection Act | Yes | Yes |
| Northwest Territories | Consumer Protection Act | Yes | No |
| Nunavut | Consumer Protection Act | Yes | No |
Correct as of March 2026. Legislation names and scope are subject to change. Verify current legislation on CanLII before relying on this table.
How to verify a collection agency's licence
Each province keeps a public registry or contact point where you can verify a collection agency's licence. If an agency contacts you, check with your province's regulator before confirming anything.
| Province or territory | Regulator | How to verify |
|---|---|---|
| Ontario | Ministry of Public and Business Service Delivery | ontario.ca |
| British Columbia | Consumer Protection BC | consumerprotectionbc.ca |
| Alberta | Service Alberta | alberta.ca |
| Saskatchewan | FCAA | https://fcaa.gov.sk.ca |
| Quebec | Office de la protection du consommateur | opc.gouv.qc.ca |
| Nova Scotia | Service Nova Scotia | novascotia.ca |
| Prince Edward Island | Financial and Consumer Services Division | princeedwardisland.ca |
| New Brunswick | FCNB | consumer.licensing@fcnb.ca |
| Manitoba | Consumer Protection Office | consumers@gov.mb.ca |
| Newfoundland and Labrador | Digital Government and Service NL | gov.nl.ca |
| Yukon | Professional Licensing and Regulatory Affairs | https://ykplra.in1touch.org |
| Northwest Territories | MACA Consumer Affairs | consumer_affairs@gov.nt.ca |
| Nunavut | Community and Government Services | consumerprotection@gov.nu.ca |
Source: Government of Canada – Federal, provincial and territorial Consumer Affairs offices
Quebec requires collection agencies to hold a permit from the Office de la protection du consommateur (OPC). As of March 2026, agencies must also have a physical office in Quebec and include the words "collection agency" or "collection agent" in their business name.
Source: Educaloi – Debt collection agencies
When a collection agency contacts you, ask for the agency's name, licence number and the name of the creditor they're collecting for. If they can't answer those questions, don't confirm anything about yourself or the debt.
What happens if an unlicensed agency contacts you
A collection agency that operates without a licence is breaking provincial law. Penalties vary by province but can include fines, licence revocation and even prison time.
If you suspect an unlicensed agency is contacting you, file a complaint with the consumer protection office in your province.
You don't need a lawyer for this. Provincial regulators investigate complaints for free.
Source: FCAC – Debt collection: know your rights
For a breakdown of what a licensed agency is and isn't allowed to do, see what a collection agency can do.
Frequently asked questions
Do collection agencies need a licence in every province?
Collection agencies need a licence in every province where they contact debtors. There's no single national licence. An agency that collects debts across Canada needs to hold separate licences in all 13 provinces and territories.
Does the licence depend on where the agency is or where I live?
The licence depends on where you live. A collection agency based in one province but calling debtors in another province needs a licence in the debtor's province. The rules that apply to you are based on your province of residence.
Are commercial debt collectors required to be licensed?
In most major provinces, no. Ontario, British Columbia, Alberta, Quebec, Saskatchewan and Manitoba exempt commercial debt collection from licensing.
Nova Scotia, New Brunswick, Newfoundland and Labrador, PEI, and the Yukon also require licensing for commercial collection.
How do I verify a collection agency's licence?
Check the public registry in your province. Ontario, Alberta, British Columbia, Quebec, Nova Scotia, Prince Edward Island, Saskatchewan and Yukon all have searchable online registries. The rest have email addresses listed in the table above.
What should I do if an unlicensed agency contacts me?
Don't confirm any personal information or acknowledge the debt. Ask for the agency's name and licence number. If they can't provide one, file a complaint with your provincial consumer protection office.
If you're not sure which agency contacted you, start by finding out which collection agency you owe.
Can a collection agency based in the US collect debt in Canada?
A US-based agency that contacts debtors in Canada needs to comply with Canadian provincial licensing laws. The agency either needs to hold a provincial licence itself or work through a Canadian agency that does.
Quebec goes further, requiring agencies to maintain a physical office in the province.
Does a creditor collecting its own debt need a licence?
No. In Ontario and most other provinces, a creditor collecting its own debt is exempt from collection agency licensing requirements. However, creditors must still follow federal rules if they're a bank or other federally regulated financial institution.
Check the licence before you pay
If a collection agency contacts you about a debt, verify the agency's licence with your provincial consumer protection office before confirming anything.
You can look up agencies and their licence numbers in the directory at collectionagencies.ca.