Sask. payday loans will cost less in February

It'll be a little cheaper for consumers to take out a payday loan in Saskatchewan when February rolls around.

The provincial government announced on Friday that the maximum cost of borrowing and the non-sufficient funds fee will be reduced Feb. 15.

Currently, the maximum cost of borrowing is 23 per cent, meaning for every $100 you borrow, you could pay $23 on top of that when paying it back.

The maximum cost will be reduced to 17 per cent.

The NSF fee will also be lowered to $25 from $50, and may still be charged only once per loan.

In a news release, the provincial government said the new fee structure brings Saskatchewan's policies more in line with provinces like British Columbia and Manitoba.

Payday loans are short-term loans of up to two months or 62 days.