Mrs. Diane Marleau (Sudbury):
Madam Speaker, according to a government press release on small business: "Loans to small businesses in Canada will become more accessible as a result of the significant changes to the Small Businesses Loans Act".
A constituent of mine applied to a local bank for a loan under the program. The interest on the loan would have been about 7 per cent. He has long been known in Sudbury as a hard worker and for his dedication and commitment to his customers. He offered his personal home as collateral. However the bank in question turned him down.
Despite the bank's failure to help him he established his business by mortgaging his house. However he is paying an interest rate of 13.25 per cent, more than double what it should be costing him. That is unfair. Despite all of that his business is doing well and is already creating a number of jobs.
I want to make the point that the banks deal in a very heavy-handed way with small businesses. How many others have the banks turned down across this country? How many others have not established their businesses? How many jobs have not been created?
Subtopic: SMALL BUSINESS LOANS