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Common questions
Who can provide a mortgage?
You can get a mortgage loan from any business organization, person, or group. When getting a loan, you will work with a mortgage broker or agent, an individual licensed under the Mortgage Brokerages, Lenders and Administrators Act, 2006, who acts as an intermediary between you and the lender.
Can you help me get my money back?
FSRA has no jurisdiction or authority to recover any funds on your behalf. If you’re suspicious about a fee, penalty or another charge you paid, seek out independent legal counsel or contact the Law Society of Ontario (LSO) for legal advice.
What is the difference between a level 1 and a level 2 mortgage agent?
A Level 1 mortgage agent can help you get a mortgage from a traditional lender, for example, a bank or a credit union.
Some consumers may not be approved for a mortgage by a bank or credit union and need to turn to different lenders, such as alternative or private lenders. If this is your situation, you must work with a level 2 mortgage agent or a mortgage broker. A Level 2 mortgage agent or a mortgage broker can help you get a mortgage from all mortgage lenders, including alternative and private lenders.
What are my rights after I sign a mortgage contract?
A mortgage agreement is a legally binding contract. Once signed, you are responsible to fulfil your obligations. The best way to protect yourself is to read the document before signing and ask questions. Before signing, a licensed mortgage -broker/agent must disclose any material risks of the mortgage agreement in writing and in plain language. Be sure to read all documentation and ask questions before signing. Read more.
What is a syndicated mortgage?
A syndicated mortgage is when two or more people invest in a single mortgage against one property. Developers use these mortgage loans to get funding for large-scale real estate development projects. Syndicated mortgage investments can be extremely risky for investors, given that the project is often considered high-risk by traditional lenders, such as banks. Read more.
Understanding the Mortgage Process
Working with a Mortgage Professional
Getting a mortgage is an important decision. Licenced professionals can help you understand your options so you can make a more informed choice. Learn more
Shopping for a mortgage
Shopping around for a mortgage takes time but it’s worth it given the amount of money involved. The more mortgages you compare, the more likely it is to get one that best suits your needs. Learn more
Mortgage application process
The mortgage application will require you to provide basic information, such as your name and address, along with confidential information. The information is used to assess your borrowing capacity. Make sure you read the application carefully before signing it, and never sign an incomplete form. Learn more
Signing a mortgage contract
A mortgage is just like any other legally binding contract. You and the lender are expected to fulfil the requirements and obligations. Since these documents can be complicated, it’s recommended to read all the information and ask questions before signing. Learn more
Private Mortgages
Consumers who are unable to quality for a traditional mortgage from banks and credit unions may need to turn to private mortgages for financing. If this is your case, remember that private mortgages are supposed to be a short-term solution. It can be easier getting a private mortgage, but you may face higher interest rates and fees along with additional conditions or restrictions. What could happen if you don’t leave a private mortgage
Mortgage fraud hurts everyone
Mortgage fraud is a serious offence. It occurs when anyone involved in the transaction knowingly misrepresents information or provides false documents or details when securing a mortgage. These actions can lead to criminal charges where deceit and risks of financial losses are exposed. If you find yourself to be a victim of mortgage fraud, please contact your local police department or the Canadian Crime Stoppers Association. To inform FSRA of the fraud file a complaint.
Investing in Mortgages
Are you interested in learning more about or investing in alternative mortgage investments, such as private mortgages or syndicated mortgages?
Learn more about private mortgages
What FSRA Can Do
- License mortgage brokerages, administrators, brokers and agents
- Make sure all mortgage brokerages, administrators, brokers and agents in Ontario comply with provincial laws
- Review complaints with consumer’s consent and take regulatory action against unlicensed individuals or businesses and those licensed that have demonstrated misconduct in the sector when there is sufficient supporting evidence provided.
What FSRA Can’t Do
- Provide any other form of legal or financial advice or interpretation of the legislation
- Help with contractual disputes, provide compensation, or assist in recovering or collecting funds
- Force mortgage brokerages, administrators, brokers and agents to follow the demands of the consumer
Enforcement and monitoring
We take our responsibilities to protect you from misconduct or non-compliance very seriously. View our most recent enforcement and monitoring information for this sector.
Engagement and consultation
We work with a Consumer Advisory Panel that provides a consumer perspective on proposed FSRA policy changes. View our engagement and consultation information.
Useful resources
Legal Advice - Law Society of Ontario (LSO)
Federally Regulated Institutions (ex. Big 5 banks) - Office of the Superintendent of Financial Institutions (OSFI), Financial Consumer Agency of Canada (FCAC)
Issues with Pay Day Loans, Money Mart, etc. - Ministry of Government and Consumer Services (MGCS) - Pay Day Loans Act
Consumer Protection Act (CPA) - Ministry of Government and Consumer Services (MGCS) - Consumer Protection Act
Securities (Shares, stocks, bonds, mutual funds etc.) - Investment Industry Regulatory Organization of Canada (IIROC), Mutual Fund Dealers Association of Canada (MFDA), Ontario Securities Commission (OSC)
Criminal offences such as fraud1 - Local Police Department
Real Estate Agents/Real Estate Transactions - The Real Estate Council of Ontario (RECO)
Appraisals/appraiser - AI Canada + CNAREA
Canada Mortgage and House Corporation (CMHC) - CMHC
Mortgage Professionals Canada (MPC) - MPC (website for mortgage professionals) ; Homebuyers (website for mortgage consumers)
Mortgage Broker Regulators’ Council of Canada (MBRCC) - MBRCC
1 The police have jurisdiction of the Criminal Code; they should be contacted first and foremost. Callers are still encouraged to report the issue to FSRA so we can review through matter for non-compliance with FSRA legislation if the matter is relevant.