Mortgage industry headed for national licensing: broker

A seasoned broker foresees and, indeed, welcomes the mortgage industry’s move towards a national licensing regime, pointing to the development of a regulatory council.

“Is a national license coming? My guess is ‘yes,’ but I’m sure it will take some time,” said Len Lane, broker/owner of Verico Brokers for Life.” With the introduction of the Mortgage Brokers Regulators Council of Canada, I think we will be heading towards a national license.”

Lane can legally practice in Alberta, British Columbia, Manitoba, Ontario and Saskatchewan. Like many brokers who are licensed in multiple jurisdictions across the country, he finds the disparities in industry regulations among the provinces  inconvenient.

“It has been confusing, to say the least, dealing with the five provinces that we are licensed since all have different guidelines for setting up your brokerage and different designations for brokers in their jurisdiction,” he said.

Standardized broker practices, education and designations have been a constant issue within the industry and the newly formed MBRCC has put them on the top of its agenda. Many mortgage professionals have also called for a nationwide licensing process to arguing such a program would end stop bank road rep appropriating the mortgage broker title.

Lane told MortgageBrokerNews.ca that current regulations are very confusing for both brokers and consumers.

For instance, he said, in B.C. he is considered a broker and a sub-broker and the renewal date for licenses is different each year.

In Alberta, Lane is a licensed brokerage and his license fee is included with the brokerage fee. In Saskatchewan, he is registered as a broker and associate but is charged for the brokerage, the broker and the associate licenses.

In Manitoba, Lane is considered a restricted brokerage since he does not lend. He and his employees in Manitoba are licensed as salespersons.