FSRA received two submissions from stakeholders in the Ontario mortgage brokering sector, each of which provided feedback on FSRA’s proposed Statement of Priorities for fiscal 2023-2024 during the consultation period (October 13 to November 11, 2022).
FSRA thanks all commenters. FSRA carefully considered all comments before finalizing and publishing the 2023-2026 Annual Business Plan.
Contributors:
The following stakeholders took the time to share their perspectives with FSRA:
Organization
Commenter
1. Mortgage Professionals Canada
Lauren van den Berg
2.
Darcy Therien
3. FSRA Consumer Advisory Panel (CAP)
FSRA Consumer Advisory Panel (CAP)
Commenters
Summarized Comment’ Feedback
FSRA Response
Mortgage Professionals Canada (MPC)
Stakeholder appreciated the shared priorities to ensure a sustainable business culture that protects and respects consumers.
Stakeholder noted that FSRA should mandate that the length of all licensing courses (both in-person and online) be equivalent across providers to raise the education standards required of mortgage professionals - minimum of five full days in class, or 32 hours online.
In order to ensure stakeholders are meeting their advertising requirements, stakeholder recommends an industry consultation to ensure the establishment of clear and consistent advertising and branding standards, including logos, team names, and licence numbers.
FSRA thanks stakeholder for their feedback and support of the 2023-24 mortgage brokering priorities.
In December 2021, FSRA issued guidance to adopt the Mortgage Broker Regulators’ Council of Canada (MBRCC) standards for accreditation of licensing courses to ensure all courses meet a consistent base-level of quality. FSRA reviews licensing courses for accreditation based on these MBRCC standards.
FSRA will work with the MBRCC to review/update the competencies required for agents and brokers.
FSRA is researching practices for the use of team names and will review its current position in this regard. Should FSRA plan to change its position, FSRA will consult with the sector.
Commenters
Summarized Comment’ Feedback
FSRA Response
Darcy Therien
Stakeholder noted an enormous amount of conflict arises when FSRA tells the agent of concern who the complainant is.
Stakeholder notes FSRA needs either a better process to protect complainants, without a number of red tape or a "duty to report" requirement for industry professionals (brokers and lenders).
FSRA will reach out to the sector to review the complaint handling process. Please see the link for options for submitting complaints to FSRA:
Stakeholder noted FSRA should “call out” the need for mandatory disclosure by all financial services providers about who regulates them and where consumers can turn if something goes wrong. This disclosure should be mandatory on policy statements/account statements/contracts.
By law, mortgage brokerages must clearly and prominently disclose their authorized name and licence number in all of their public relations materials.
Similarly, mortgage brokers and agents must disclose their licensee name, and the name and licence number of their brokerage. Disclosure of the brokerage’s licence number indicates to consumers that the entity or individual is licensed.
FSRA will consider whether it can require inclusion of FSRA’s name as part of the licence number disclosure to inform consumers of who regulates the licensee.
