407 ETR’s Discretionary Interest Suspension Practice
In 2016, 407 ETR introduced a discretionary interest suspension practice for delinquent account balances of qualifying customers. Specifically, on qualifying accounts, interest is no longer being charged on unpaid amounts invoiced more than five years ago.
Interest, however, continues to be charged on unpaid amounts invoiced less than five years ago at the effective annual interest rate of 26.82%.
- 407 ETR determines the eligibility criteria for interest suspension and may change the eligibility criteria at any time in its sole discretion.
- Interest suspension is only available for personal-plated accounts (video or transponder) but not business-plated accounts.
- At any time, 407 ETR reserves the right to stop interest suspension and resume charging interest going forward on all amounts owing.
Amounts which are eligible for interest suspension will not incur further interest charges, but will remain outstanding until paid in full and are subject to licence plate denial and all collection remedies available to 407 ETR.
Any amounts not qualifying for interest suspension will continue to be charged interest. Any new usage or charges will also be subject to interest.
407 ETR payment allocation rules apply to all accounts, including accounts which benefit from interest suspension. Specifically, any payments will be applied against the oldest amounts owing until the balance is paid in full.