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Mortgage Broker News | 14 Oct 2015, 08:15 AM Agree 0
BoC chief provided some insight into what role he feels the bank may play in setting future mortgage policy
  • Michael Mitchell | 14 Oct 2015, 09:35 AM Agree 0
    Mortgages are not the problem,Banks issue lines of credit and credit cards knowing full well they will put people over the imposed TDS/GDS rules.
  • Matt | 14 Oct 2015, 09:53 AM Agree 0
    Yeah... only banks issue debt over client capacity. Not broker of course...Give your head a shake.
  • Debbie | 14 Oct 2015, 10:22 AM Agree 0
    Matt...Brokers don't issue any other debt. Only mortgages. Very few avenues offer a broker the opportunity to sell unsecured LOC or credit cards, and usually only sold to establish credit, not increase the debt service. We are not in the business of up-selling products like the banks are. I've been on both sides of the street and I know banks want you to sell a full suite of products. Most reps are only looking at what they can sell, not thinking that the products they just sold the client may well ruin the chance of qualifying for a mortgage.
  • Layth Matthews | 14 Oct 2015, 11:12 AM Agree 0
    It's a mixed economy question. Does accomodative monetary policy undermine the renewal of the economy and redistribution of wealth through the force of creative destruction? Or does it stem the extremes of destructive destruction through deflation? I mean, how can the meek inherit the earth if the reckless and greedy keep getting second chances? On the other hand, a job is a good thing, even if the rich keep getting richer for a while longer.
  • steve | 14 Oct 2015, 11:43 AM Agree 0
    0 payment for 12 months, adding debt to a car loan beyond the value of the car, 25 yr amortization on RVs where the RV will be worn out in 15, high interest credit cards, payday loans, gambling are more dangerous than mortgage debt, but, government doesn't care.
    If government wants to allow these, then they should at least demand high risk credit pay a tax premium into a bankruptcy fund to help the people they overload with debt.
    When rents are higher than mortgages, whats the real problem? Lack of housing or loose mortgage rules?
  • Dustan Woodhouse | 14 Oct 2015, 12:37 PM Agree 0
    Have a look at a credit card statement with a 5 figure balance on it, the effective amortization is measured in centuries, not decades.

    How is that acceptable.

    in any event Mr. Poloz hits that nail on the head when he says consumer debt is not his issue - it is a self made issue of the consumer.

    Consumers, Canadians, need to take some responsibility for their own personal actions.
  • Rob | 14 Oct 2015, 01:39 PM Agree 0
    @Mitchell by why do people take them? I don't!
  • Bert | 14 Oct 2015, 04:24 PM Agree 0
    to Matt at 9:53 am. Broker's don't issue debt, lenders do. That'd be banks etc... before you start advising brokers to "give their heads a shake" perhaps you may want to ask your manager a few questions on how this lending thingy works...
  • kac | 15 Oct 2015, 01:33 PM Agree 0
    knee jerk reaction by Poloz,i guess the government has no accountability as to how Canadians drown in credit card and line of credit debt only in mortgage debt which doesn't seem to be as much of an issue,i seem to have a very difficult time having a client approved for a mortgage with a 30% down payment due to debt servicing issues which finally at the 12th hour is approved and on the 13th hour the client is offered $25k in a line of credit going out the door? i find it interesting how if the client had a hard time debt servicing a 70% ltv mortgage at 2.69% how the lender manged to debt service a 3% payment on $25,000 going out the door. Oh right,the client now is dead locked into that institution every other lender now will debt service that debt except of course the lender that gave it to them in the first place.
  • Michael Mitchell | 18 Oct 2015, 02:52 PM Agree 0
    Kac I willing to bet that lender was TD Canada Trust
  • kac | 19 Oct 2015, 01:03 PM Agree 0
    @Michael-actually Scotia
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