Consumer Protection BC has imposed a $34,000 administrative penalty on Surrey-based Toledo Credit Inc. for harassing and using false or misleading information to collect debts from six consumers.
The Story
Consumer Protection BC has imposed $34,000 in administrative penalties on Surrey-based debt collector Toledo Credit Inc., after finding the company harassed and misled six consumers while attempting to collect their debts.
In its decision, Consumer Protection BC said Toledo Credit sent emails and text messages that included threats about consequences the regulator found were not substantiated, such as “Your file will be presented to RCMP, CRA and provincial crime units. Payment is the ONLY abort code. Financial annihilation imminent” and “immediate civil litigation and criminal referral due to confirmed pattern of chronic payment deception.” The regulator also said the company used terms including “FINANCIAL EXILE” and “REPUTATIONAL DESTRUCTION” to pressure a borrower into paying.
Consumer Protection BC also found the company threatened consumers with serious consequences, including police involvement, blacklisting from financial services, asset seizure and wage garnishment, and that it falsely claimed these actions had been initiated or were about to occur. The decision maker concluded that Toledo Credit’s communications were calculated to create fear of criminal, financial, professional and reputational consequences that went beyond ordinary debt collection practices.
Consumer Protection BC said Toledo Credit does not require a collection agency licence because it collects debts it is owed directly, but the company is still required to comply with B.C. debt collection laws. The regulator ordered Toledo Credit to pay the $34,000 administrative penalty, reimburse Consumer Protection BC $3,000 for inspection costs, and change its collection practices.
“Collectors can ask people to repay a debt, but they can’t harass them or use false or misleading information to pressure them into paying,” said Louise Hartland, director of public relations for Consumer Protection BC. “This decision sends a clear message anyone in B.C. collecting a debt: collection communications must be accurate, lawful and responsible. Businesses need to consider the content, tone, frequency and overall effect of their messages.”
Consumer Protection BC said people who believe a debt collector is harassing them should keep copies of texts, emails, voicemails and account records. The regulator also said borrowers can ask a debt collector to contact them only in writing and can use its online tools to dispute a debt or stop collection calls.
Consumer Protection BC said Toledo Credit has until Oct. 26, 2026 to request reconsideration of the decision.
← More stories