Mar 6, 2026
Meredith, a student from Ontario, was browsing a mall when a skincare salesperson offered her free samples and put a red-light therapy device on her face to test out, something she did not invite them to do. After the sales pitch, Meredith purchased the light therapy device for around $1,400 (1), she told CTV News. But once she got home, she realized she had actually signed a loan for $10,000, with an interest rate of 25% — the $1,400 she paid was only a down payment.
The total cost for the device was around $14,000.
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“I told them I can’t pay $14,000,” She told CTV News. “I felt scared because I don’t have that money. I’m just a student,” she said.
Meredith thought that she could cancel her contract based on her understanding of the legal cooling-off period — a short window that exists for consumers to cancel contracts within a few days of agreeing to their terms — but she wasn’t able to. When she went back to the mall to discuss the contract, the store was cleared out and all the lights were off.
CTV reached out to The Soap Tree, the business that offered Meredith the contract, but there was no response. The news outlet also contracted goeasy, the parent company of LendCare, which holds Meredith’s loan.
“When a customer returns a retail purchase they financed through LendCare, the merchant must first process and approve the return before the associated LendCare loan can be cancelled,” a spokesperson for the company communicated to CTV.
“However, following a detailed review of the specific facts in this case — including the merchant’s closure and the information provided to us — we have cancelled this customer’s loan and refunded the associated fees so that the customer has no further obligation.”
Meredith was officially off the hook for the $14,000 loan.
How do cooling-off periods really work?
Meredith was under the impression that the rules surrounding the cooling off period would protect her. So what happened?
Under Ontario’s Consumer Protections Act and other consumer legislation (2), Ontario buyers have a period of time after they have signed a contract during which they can change their minds. Some contracts, but not all, qualify under the Act. For example, door-to-door sales contracts, advance payments for a fitness club or gym, newly built condo contracts, payday loans and time share agreements are all types of contracts that have a cooling-off period.
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You don’t need a good reason to cancel a contract in those cases. as long as it qualifies under the provisions of the cooling-off period. “I want to cancel” is all the explanation you need.
In Meredith’s case, her purchase, which was done in person at the store, did not qualify under the rules of the CPA.
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How you can avoid signing an unfavourable contract
The best way to avoid the pitfalls of signing a contract you will ultimately regret is to identify the risks and concerns before you ever sign. Here are some expert tips from the Financial Consumer Agency of Canada (3) to consider:
- Know the company behind the document. Before making a purchase, check the company’s Better Business Bureau profile and other online reviews. Make sure you are able to corroborate the claims of the company and the product before committing to the contract.
- Negotiate terms. Just because a contract exists doesn’t mean it can’t be changed. If you read over the fine print and aren’t happy with all the terms, try and negotiate with the business to see if they are willing to amend the contract. If they want your business, they may try to compromise.
- Pay attention to the fine print. Every part of a contract is worth paying attention to, especially the finer details. If any part of the contract is confusing, ask for clarification so you know exactly what you’re agreeing to.
Bottom line
So many of us have been there, feeling pressured by a great sounding deal and a sales person with a pen pushing for us to sign our lives away to take advantage of it. But as Meredith’s experience shows, knowing exactly what you are signing up for can mean the difference between a one-time purchase and a down payment on a five-figure loan.
You never know what’s hiding in the fine print until you take the time to look.
Article sources
We rely only on vetted sources and credible third-party reporting. For details, see our editorial ethics and guidelines.
CTV News (1); Government of Ontario (2); Financial Consumer Agency of Canada (3)
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Brett Surbey is a corporate paralegal with KMSC Law LLP and freelance writer who has written for Yahoo Finance Canada, Success Magazine, Publishers Weekly, U.S. News & World Report, Forbes Advisor and multiple academic journals. He and his family live in northern Alberta, Canada.
