FSRA releases final Guidance to help ensure the fair treatment of consumers

Ontario’s financial services regulator (FSRA) is taking steps to ensure borrowers and investors receive mortgage products that suit them and meet their needs and circumstances.

FSRA is releasing final Guidance to help licensed mortgage professionals better understand their regulatory duties to promote fair treatment of consumers, conduct business appropriately and increase public confidence in the sector. This initiative will protect consumers and investors by enhancing standards around product suitability, whether they are looking for mortgage financing or investing.

FSRA developed the Guidance in anticipation of consumers increasingly relying on mortgage advice due to fluctuating interest rates and reduced mortgage affordability. Moreover, a review of private mortgages arranged by mortgage professionals in the last few years found that most transactions did not clearly show how the mortgage products were deemed suitable for consumers.

FSRA has set out the following outcomes so that:

  • mortgage professionals know their clients
  • mortgage professionals know their products
  • mortgage options meet client needs
  • clients understand the recommended products
  • mortgage products are suitable
  • product recommendations are properly documented

The Guidance reflects stakeholder input and clarifies that suitability assessment applies to mortgage renewals and appraisals should be conducted by designated / certified appraisers. Updates to Forms 1 and 2 enhance clarity, consumer-friendliness, and transparency about investment risks.

As always, mortgage professionals must put clients’ interests first and ensure they are complying with their licensing obligations and requirements.

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FSRA continues to work on behalf of all stakeholders, including consumers, to ensure financial safety, fairness, and choice for everyone. Learn more at