“Given the economics and the limited timing of this offering, we chose to have it offered in branch only,” Wade Stayzer, vice president of sales and service at Meridian, told MortgageBrokerNews.ca in an email. “Meridian values our broker partnerships and we continue to offer great mortgage options to this channel including our niche mortgage products like business-for-self and construction mortgages.”
The question was raised by a MortgageBrokerNews.ca reader after was announced the CU was offering a super-low rate in-branch only.
“Does this spell the end of their broker channel offerings? Are they going the way of three of the big banks?” John Van Driel, an agent with Mortgage Shopper, wrote in the comments section of MortgageBrokerNews.ca. “If not, you would think this would be offered through brokers at a discounted finder’s fee.”
Meridian announced a one-year fixed-rate mortgage with a rate of 1.69% Tuesday, noting a strategy that is currently going against the trend of rising fixed interest rates.
"As a Member-owned financial institution, we are able to take advantage of the current bond and lending environment and pass those savings onto our Members," Bill Whyte, chief member services officer for Meridian, said in a release.
MortgageBrokerNews.ca was told by a Meridian rep that it was not being offered through the broker channel, which sparked questions from the credit union’s broker partners.
However, this isn’t the first time the Ontario-based lender has offered a mortgage product exclusively in-branch.
Meridian launched a limited time 18-month fixed-rate mortgage at 1.49 per cent last April. It was claimed to be the lowest posted mortgage rate in Canadian history at the time.
Meridian Credit Union has replied to a broker concern that it is planning on pulling out of the channel.