On January 1st 2020, the Small Claims Limit in Ontario increased from $25,000 to $35,000.
Creditors can now sue larger outstanding debts in the Ontario Small Claims system which could mean a quicker collection result.
No matter how much you are owed though the debt collection questions remain – is it worth suing? And, will a judgment enable you to collect? These are questions a professional collection agency can often answer before a creditor spends time and money on a court process.
Current Small Claims Limits across Canada:
Civil Resolution Tribunal – Claims up to $5,000
Small Claims Court – Claims over $5,000 up to $35,000
New Brunswick $20,000
Newfoundland and Labrador $25,000
Northwest Territories – Territorial Court $35,000
Nova Scotia $25,000
Prince Edward Island – Supreme Court of Prince Edward Island Small Claims Section $16,000
Québec – Small Claims Division at the Court of Québec $15,000
Each province has different small claims rules and procedures and some are easier to navigate than others. The BC Small Claims filing process is completely online. Manitoba does not provide a default judgment without a court hearing that the creditor must attend first. There are special rules in Québec about the size of a business that is allowed to file a claim in the Small Claims Division. These are just a few differences.
Before deciding if court action is necessary, a creditor can assign the debt to a professional collection agency.
At CGI Credit Guard Inc., we accept all past due accounts on a No Collection – No Fee basis. There are no membership fees or minimum listing requirements.