Changes Improve Mortgage Information

New regulations approved by cabinet fulfil another government commitment to help protect the interests of consumers.

Changes to the Mortgage Brokers and Lenders Act regulations will soon require mortgage and trust companies to provide amortization tables as part of the information that must be given to a borrower when renewing or taking out a mortgage.

Business and Consumer Services Minister Neil LeBlanc said even though many lending institutions already provide this information to customers, the change will help ensure all customers get the same information.

"It is appropriate and timely that with the numerous options available to consumers, we ensure everyone has access to essential information as it relates to their own financial arrangements."

An amortization table gives a borrower a schedule of the payments due over the life of the mortgage transaction, the amount that is applied to the principal and interest, and the balance remaining after each payment.

The regulations will come into effect in 90 days.