The Independent Mortgage Brokers Association of Ontario (IMBA) joined the list of organizations to present its recommendations to those charged with reviewing the Mortgage Brokerages Lenders and Administrators Act of Ontario (MBLAA) – citing a review of education requirements among several other salient issues.
“A complete review of educational requirements and delivery systems must be undertaken in conjunction with the revised Act (and) this system must be developed with input from primary stakeholders, as well as reviewing what the various stakeholders may already have in place to assist in the development and delivery of both licensing and continuing education,” IMBA said in an official letter. “Furthermore, a system of compulsory annual continuing education to maintain one’s licence should be implemented.”
The letter -- addressed to Charles Sousa, Ontario Minister of Finance; Steven Del Duca, Parliamentary Assistant to the Minister or Finance; and Philip Howell, CEO and Superintendent, Financial Services Commission of Ontario – was sent on behalf of Ontario’s mortgage brokers.
"Mortgage brokers in Ontario formed IMBA to represent and assist its members who are Mortgage brokers and agents," Raj Babber told MortgageBrokerNews.ca on behalf of IMBA. "We represent our members on legislative matters with the Ministry of Finance and on regulatory matters with FSCO."
Another issue -- which was also brought up by others who have shared recommendations for the MBLAA review -- are the exemptions given to bank employees; a subject IMBA mentions in its letter as well.
“At present banks, treasury branches, credit unions, loan corporations, trust corporations or insurance corporations are permitted to act as mortgage brokers and compete with licensed brokers while being exempt from the act,” it said. “The present exemption not only places licensed industry members at a competitive disadvantage but also places the public at risk because of the unregulated brokerage activity.”
Del Duca, who has been appointed by Susa to oversee the five year review of MBLAA, has already heard from such organizations as CAAMP and REMIC.