National approach to elevating consumer understanding of mortgage risks

Jan 27, 2014, 10:00 ET from Mortgage Broker Regulators' Council of Canada

TORONTO, Jan. 27, 2014 /CNW/ - The Mortgage Broker Regulators' Council of Canada (MBRCC) is helping consumers across the country gain a better understanding of the risks and responsibilities related to obtaining a residential mortgage. They have developed a pamphlet, as well as educational content for their website, to ensure that Canadians in all provinces have access to practical information and important considerations about mortgages.

Know Your Mortgage Risks & Responsibilities, the materials developed by the MBRCC, are part of their efforts to improve mortgage consumer education. "It is important that borrowers understand the key considerations and implications when agreeing to a mortgage," said MBRCC Chair Kirk Bacon. "Educating consumers helps them make more informed decisions. This is true regardless of the province they live in."

The information was developed for use in all MBRCC member provinces. The educational materials and the types of information borrowers received on mortgage risks and responsibilities vary from province to province. "Given the differences, we felt it was an area in need of further collaboration from the provincial mortgage broker regulators," Bacon stated.

The MBRCC developed the pamphlet as a disclosure tool for mortgage brokers to provide to their clients during their initial discussions. It is designed to ensure that borrowers are knowledgeable from the outset, as well as to help stimulate discussions with the broker. "Brokers play a critical role in educating borrowers. Their clients look to them for information and advice. We appreciate their help in getting this information to the public," added Bacon.

The pamphlet introduces readers to mortgage risks and responsibilities and points them to the MBRCC website for further information. The pamphlet is also available on their website for brokers to download and print at their convenience.

About MBRCC

The MBRCC is an inter-jurisdictional association of mortgage broker regulators that seeks to improve and promote harmonization of mortgage broker regulatory practices to serve the public interest. Its members work together and with stakeholders to identify trends and address common regulatory issues through national solutions that support consumer protection and an open and fair marketplace.

MBRCC members represent the nine provinces that currently have legislative and regulatory frameworks governing mortgage brokers or have an interest in developing one; British Columbia, Alberta, Saskatchewan, Manitoba, Ontario, Quebec, New Brunswick, Nova Scotia and Newfoundland & Labrador.

SOURCE Mortgage Broker Regulators' Council of Canada