Promise History
3.03.43 - “A re-elected Liberal government will […] [r]equire financial institutions offer flexible repayment options by default if you fall on hard times or face a life event that causes financial stress. This will include a mandatory option for a 6-month deferral of mortgage payments in qualifying circumstances”
04-Jul-2023
“11. In support of working with a consumer at risk towards implementing a sustainable arrangement, FCAC expects an FRFI to provide mortgage relief that is temporary in nature, such as: 11.1 waiving prepayment penalties when […] a consumer at risk makes a lump sum payment to avoid negative amortization, or […] a consumer at risk sells their principal residence // 11.2 waiving internal fees or costs for a limited period when activating mortgage relief measures that otherwise would be charged // 11.3 for a limited period, where mortgage relief measures result in negative amortization, ensuring that no interest is charged on interest that has been capitalized. […] For the purposes of this Guideline, a limited period refers to 12 months or less”
Reference Documents
“The federal government, through the Financial Consumer Agency of Canada, is publishing a guideline to protect Canadians with mortgages who are facing exceptional circumstances. Specifically, the government is taking steps to protect Canadians and ensure that federally regulated financial institutions provide Canadians with fair and equitable access to relief measures that are appropriate for the circumstances they are facing, including by extending amortizations, adjusting payment schedules, or authorizing lump-sum payments. Existing mortgage regulations may also allow lenders to provide a temporary mortgage amortization extension—even past 25 years”
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