Sarnia's mayor wants the city to explore implementing stricter controls on payday loan shops.
Mike Bradley said municipalities have been given the power to regulate the number of new loan businesses and where they can be built.
He said that wouldn't impact any of the existing stores, but should eventually diminish the number of them.
"It's not much different than the planning approach that we took on adult entertainment parlours back in the late 80's and early 90's," said Bradley. "You control them through zoning, you ensure that the neighbourhoods are protected, and if they go out of business then the licence is also eliminated. It works pretty well in that particular case."
Mayor Bradley said payday loan stores can be dangerous, especially for those with low incomes.
Sarnia Mayor Mike Bradley speaks with BlackburnNews.
Studies have shown that borrowing from them can lead to a vicious cycle that can result in bankruptcy.
He said cities like Ottawa and Hamilton have introduced similar zoning policies.
Sarnia council will debate the matter at its meeting Monday. If approved, staff would draw up a report, likely by the end of the year.
The Village of Point Edward is also considering potential regulations for the establishment of pay day loan facilities.
