How to Stop Collection Calls in Canada

Taking action when you receive collection calls

Collection calls can be upsetting, but you do not have to be a victim. You can take action to deal with these collection calls under federal law or under the laws of your province or territory. The remainder of this article covers each route.

What is a cease and desist letter?

If you are entitled to stop collection calls, then you will have the right to send some form of written communication after receipt of which the collection calls must stop. In the collection industry, these written communications from consumers to stop collection calls are known as cease and desist letters.

A cease and desist letter is a written notice from you to a creditor or collection agent. It restricts how the recipient can contact you going forward, or notifies the creditor that you dispute the debt, and the matter should go to court.

The letter creates a legal obligation under federal or provincial law. If the recipient continues to call after receiving a valid letter, that is a breach of the relevant statute and can be reported to the regulator that licenses collection agencies in your province.

Cease and desist letters take different forms depending on which law applies. Some routes require registered mail. Others accept regular mail or email.

A word of caution. Do not acknowledge owing the debt in your cease and desist letter. A written acknowledgement can restart the clock on the limitation period for the debt.

Who can send a cease and desist letter?

Three eligibility categories cover most situations. You have the right to send a cease and desist letter if you fall within one or more of the following:

• You are receiving collection calls in connection with a loan, line of credit, or credit card
• You are an Ontario resident, or you are receiving collection calls from a collection agency physically located within Ontario
• You live anywhere in Canada except Manitoba, Saskatchewan, Newfoundland and Labrador, Prince Edward Island, or the Yukon

How do I stop collection calls on a loan, line of credit, or credit card?

If you are receiving collection calls about a loan, line of credit, or credit card, federal law gives you the right to send a cease and desist letter, regardless of which province you live in. The letter must be sent by registered mail.

What is amazing is that relatively few Canadians are aware of the existence of this law.

You only acquire the right to send a cease and desist letter under federal law if you are receiving collection calls about a loan, line of credit, or credit card.

Which federal law applies to your creditor?

One of two regulations apply, depending on the type of institution calling you.

For banks, authorized foreign banks, and federal credit unions, the right is set out in paragraph 6(a) of the Prescribed Debt Collection Practices Schedule in the Financial Consumer Protection Regulations, SOR/2021-181, enacted under the federal Bank Act, SC 1991, c 46.

Source: Justice Laws – Financial Consumer Protection Framework Regulations, Schedule

For trust and loan companies, retail associations, and federally regulated insurance companies, the right is set out in paragraph 9(a) of the federal Credit Business Practices Regulations, SOR/2009-257.

Source: Justice Laws – Credit Business Practices Regulations, section 7

The substance of the right is the same under both regimes.

Why is federal law different from provincial law?

The federal law is unique because it is not limited to collection agents, such as collection agencies. It gives you the right to send a cease and desist letter directly to your original creditor.

An example will help illustrate this point.

Matt Shott, an Ontario resident, is receiving collection calls about a credit card from a major Canadian chartered bank. The collector is employed by the bank's in-house collection department. According to the bank's records, no payment has been received in the past 90 days.

Mr. Shott sends a cease and desist letter, by registered mail, to the chartered bank. Once the bank receives it, the bank must stop calling Mr. Shott. The letter also prevents the bank from hiring a collection agency or collection law firm to make calls in the future.

How do I write a federal cease and desist letter?

Remember: this law requires you to send the letter by registered mail. If you send it by email or regular mail, it might be ignored.

You have three options under federal law:

• Advise the institution to communicate with you only in writing, and provide an address where you may be contacted
• Advise the institution that you dispute owing any monies and that you are prepared for the institution to take the matter to court
• Advise the institution to communicate only through your legal advisor, and provide both a phone number and an address for the legal advisor

Use the federal cease and desist letter template

How do I stop collection calls under Ontario law?

You can send a cease and desist letter if you live in Ontario, or if the collection agency calling you is physically located in Ontario. Under Ontario law, the letter can be sent by any verifiable means, including email.

Why is Ontario's law different from other provinces?

Each province and territory has its own collection law affording protections to debtors. Among all these laws, the Ontario law is unique. The Ontario Collection and Debt Settlement Services Act gives any Canadian the right to send a cease and desist letter to a collection agency physically located in Ontario, regardless of where the debtor lives.

Section 2(0.1) of the Act reads as follows:

This Act applies to a collection agency or collector that deals with a debtor if either the debtor or the applicable one of the collection agency or the collector is located in Ontario when the dealing takes place.

Source: CanLII – Collection and Debt Settlement Services Act, RSO 1990, c C.14, s. 2(0.1)

What are your options under Ontario law?

The governing rules are set out in subsection 22(1) of General Regulation, RRO 1990, Reg. 74, enacted under the Collection and Debt Settlement Services Act.

You have two options under Ontario law:

• Advise the collection agency that the debt is in dispute and suggest the matter be taken to court
• Inform the collection agency to communicate only with your lawyer or licensed paralegal, and provide the lawyer or paralegal's address and telephone number

Use the Ontario cease and desist letter template

Which other provinces allow cease and desist letters?

Seven provinces and territories grant residents an explicit right to send a cease and desist letter under provincial or territorial collection law: Alberta, British Columbia, New Brunswick, Nova Scotia, Quebec, the Northwest Territories, and Nunavut.

Each route has its own statute, delivery method, and required language. The table below summarises the rules and links to a free letter template for each jurisdiction.

How do I stop collection calls in Alberta?

If you live in Alberta, you can send a cease and desist letter by email or any verifiable means of written communication under the Alberta Collection and Debt Repayment Practices Regulation, Alta. Reg. 194/1999, enacted under the Consumer Protection Act, RSA 2000, c C-26.3.

Source: CanLII – Collection and Debt Repayment Practices Regulation, Alta Reg 194/1999

You have two options under Alberta law:

• Advise the collection agency in writing that the debt is in dispute and that you wish the creditor to take the matter to court
• Advise the collection agency in writing to communicate with your representative, providing a current address and telephone number for the representative, after which the representative makes arrangements to discuss the debt

Use the Alberta cease and desist letter template

How do I stop collection calls in British Columbia?

If you live in British Columbia, you can send a cease and desist letter to a collection agency by regular mail under the Business Practices and Consumer Protection Act, SBC 2004, c 2.

Source: CanLII – Business Practices and Consumer Protection Act, SBC 2004, c 2, s. 116

You have three options under British Columbia law:

• Notify the collector to communicate only in writing, after which the collector may only communicate with you in writing
• Notify the collector that the debt is in dispute and that you would like the creditor to take the matter to court, after which the collector may not communicate with you
• Notify the collector to communicate only with your lawyer, and provide an address for the lawyer

Use the British Columbia cease and desist letter template

How do I stop collection calls in New Brunswick?

If you live in New Brunswick, you can send a cease and desist letter to a collection agency under General Regulation, NB Reg 84-256, enacted under the New Brunswick Collection and Debt Settlement Services Act, RSNB 2011, c 126.

Source: CanLII – Collection and Debt Settlement Services Act, RSNB 2011, c 126

You have three options under New Brunswick law:

• Advise the collection agency or collector in writing to communicate only with you in writing, and provide your address
• Advise the agency or collector in writing to communicate only with your legal advisor, and provide the legal advisor's address
• Advise the agency or collector, by registered mail, that the debt is in dispute and that you would like the creditor to take the matter to court

Use the New Brunswick cease and desist letter template

How do I stop collection calls in Nova Scotia?

If you live in Nova Scotia, you can send a cease and desist letter to a collection agency by registered mail under the Collection and Debt Management Services Act, RSNS 1989, c 77.

Source: CanLII – Collection and Debt Management Services Act, RSNS 1989, c 77

Under paragraph 20(1)(e)(iii) of the Act, you can stop collection calls by advising the collection agency, by registered mail, that the debt is in dispute and requesting that the creditor take the matter to court.

Use the Nova Scotia cease and desist letter template

How do I stop collection calls in Quebec?

If you live in Quebec, you can send a cease and desist letter to a collection agency by regular mail under An Act respecting the collection of certain debts, CQLR c R-2.2.

Source: CanLII – An Act respecting the collection of certain debts, CQLR c R-2.2

Under section 3 of the Act, you can stop collection calls by contesting the debt in writing and notifying the creditor that the creditor may proceed with legal action.

Use the Quebec cease and desist letter template

How do I stop collection calls in the Northwest Territories?

If you live in the Northwest Territories, you can send a cease and desist letter to a collection agency by regular mail under the Debt Collection Practice Regulations, NWT Reg 049-2003, enacted under the Consumer Protection Act, RSNWT 1988, c C-17.

Source: Government of the Northwest Territories – Consumer Affairs Legislation

Under paragraph 12(1)(a) of the regulations, you can stop collection calls by notifying the collection agency in writing to communicate with you in writing only, providing your address.

Use the Northwest Territories cease and desist letter template

How do I stop collection calls in Nunavut?

If you live in Nunavut, you can send a cease and desist letter to a collection agency by regular mail under the Consumer Protection Regulations, RRNWT (Nu) 1990 c C-16, enacted under the Consumer Protection Act, CSNu, c C-160.

Under paragraph 8.16(1)(i) and (ii) of the regulations, you can stop collection calls by notifying the collection agency in writing to communicate with you in writing only, providing your address.

Use the Nunavut cease and desist letter template

What if my province doesn't grant a cease and desist right?

Most Canadians live in a province or territory where the law grants the right to send a cease and desist letter. Unfortunately, the licensing laws in Manitoba, Saskatchewan, Newfoundland and Labrador, Prince Edward Island, and the Yukon do not grant this right. If you live in any of these provinces or territories, you can still send a cease and desist letter through one of the other routes.

If your debt is on a loan, line of credit, or credit card, you can send a cease and desist letter, by registered mail, under the federal Bank Act and Financial Consumer Protection Framework Regulations (for banks) or the Credit Business Practices Regulations, SOR/2009-257 (for trust and loan companies, retail associations, and federally regulated insurance companies).

If a collection agency calling you is physically located in Ontario, you can send a cease and desist letter under section 2(0.1) of the Ontario Collection and Debt Settlement Services Act and subsection 22(1) of Regulation 74 enacted under the Act.

Frequently asked questions

Will I have to send more than one cease and desist letter?

If you are sending a cease and desist letter under a provincial or territorial licensing law, that cease and desist letter is only applicable to the recipient collection agency. In the collection industry, it is routine for creditors to recall an unpaid account after several months and reassign it to a new collection agency.

If you successfully sent a cease and desist letter to ABC Collection Agency, and you are now receiving collection calls from XYZ Collection Agency, it will be necessary for you to send a new cease and desist letter to XYZ Collection Agency.

Does a cease and desist letter cancel my debt?

No. A cease and desist letter stops the calls. It has no effect on the underlying debt. You still owe the money, and the creditor can still try to collect by mail, by lawsuit, or by selling the debt to another collection agency.

Can the creditor still sue me after I send a cease and desist letter?

Yes. The letter restricts phone contact, not legal action. The creditor remains free to sue you in court for the amount owing.

Do I have to send the letter by registered mail?

It depends on the route. The federal route requires registered mail. Nova Scotia also requires registered mail. The provincial routes in British Columbia, New Brunswick, Quebec, the Northwest Territories, and Nunavut accept regular mail. The Ontario and Alberta routes accept email or any verifiable method of delivery.

How fast must the collection agency comply?

The collection agency must stop calling you upon receipt of a valid cease and desist letter. There is no statutory grace period under federal law or any provincial law. Allow a few business days for the letter to reach the agency and for processing, then keep a record of any further calls as evidence of breach.

What happens if I accidentally admit owing the debt?

A written admission can restart the limitation period. The limitation period is two years across most of Canada (Alberta, British Columbia, Manitoba, New Brunswick, Nova Scotia, Ontario, and Saskatchewan). Three years in Quebec. Six years in Newfoundland and Labrador, the Northwest Territories, Nunavut, Prince Edward Island, and the Yukon. Acknowledging the debt resets that clock to day one. For more detail, see our statute of limitations on debt in Canada guide. 

Can a collection agency still send me letters after I send the notice?

Under most routes, yes. The standard cease and desist letter restricts the agency to written communication only. The Ontario, Alberta, Nova Scotia, and Quebec routes allow you to go further by disputing the debt and forcing the creditor toward court instead of further collection efforts.

Will a cease and desist letter affect my credit score?

No. The letter is not reported to credit bureaus and has no direct effect on your credit score. The debt itself, including any collection record, continues to appear on your credit report for six years from the date of first delinquency.

What if the collection agency ignores the letter?

You can file a complaint with the provincial regulator that licenses collection agencies in your province. For federally regulated debts, complain to the Financial Consumer Agency of Canada. Continued contact after a valid cease and desist letter is also grounds for a civil claim.

Can I send a cease and desist letter for someone else?

You can send one on behalf of a person you legally represent, such as a child you have guardianship over or someone for whom you have power of attorney. You cannot send one for a friend or relative who has not given you legal authority.

If a collection agency keeps contacting you after a valid cease and desist letter, file a complaint with the consumer protection office in your province.