With the recent FINTRAC regulations and the increased media attention on mortgage fraud, we wanted to take a moment to reassure you about the ongoing initiatives and efforts at MPC to combat fraud and protect your business.
Regulators
We continue to engage with federal and provincial regulators as well as the Mortgage Broker Regulators' Council of Canada, with the credibility and professionalism of the industry and its members remain a top priority. At our recent meetings, discussions centered around combatting fraud and the need for stronger enforcement against bad actors in the industry. MPC is committed to amplifying these messages and working closely with regulators to enhance education and awareness around mortgage fraud. We strive to ensure the right balance to avoid overregulation while meaningfully addressing these issues.
Education
Our collaboration with regulators and government also extends to professional development. We have addressed relevant issues through initiatives such as the release of new courses Fraud Detection and Prevention, Anti-Money Laundering & Anti-Terrorist Financing. All these programs are developed in close partnership with regulators and industry experts, and every effort is made to make education easily accessible to our members (click Course Catalogue | Mortgage Professionals Canada (mortgageproscan.ca) and select “Fraud Avoidance”.
Government
Our federal advocacy efforts involve continuous discussions with the Minister of National Revenue, senior officials at the Canada Revenue Agency (CRA), and representatives from the Finance and Housing departments. These discussions include strategies to reduce mortgage fraud and mitigate its impacts on the sector, including ways to combat fraud, such as expanding income verification methods and access to data. In Budget 2024, the federal government committed to partnering with MPC and the mortgage industry to explore income verification processes through the CRA. As of now, those discussions are well engaged. Initiatives to combat mortgage fraud has been something that we have long-championed across the housing ecosystem and we will keep the pressure on the government to help protect you and your clients.
Our provincial advocacy efforts continue to focus on establishing regulations that protect consumers and the industry while eliminating bad actors through stricter penalties and prohibition periods. Striking the right balance to avoid overregulation and unnecessary red tape, is crucial. MPC is consistently consulted on regulatory changes and works diligently with provincial regulators to balance these considerations. Through consultations, MPC aims to reduce red tape and uphold the integrity of the mortgage industry. Our recommendations included implementing more safeguards for whistleblowers to protect them from repercussions and ensuring that bad actors are punished and prevented from continuing to operate within the industry.
Upcoming and Ongoing:
We will also be launching an exclusive webinar with FINTRAC on their new regulations.
In addition, we are excited to announce our Fraud Summit this fall, scheduled for November. This event will provide an opportunity for the mortgage industry to come together to learn and share insights. More details will follow soon.
The “Why Use a Mortgage Broker” campaign continues to elevate our members and shine a positive light on our industry, highlighting that our industry assists a significant portion of the market share.
We also thank you, our valued members, for your continued support and dedication to maintaining the highest standards of integrity in the mortgage profession.
