Amendments to the Mortgage Brokers Act


Mortgage brokers offer the option of a mortgage through a financial institution such as a bank or trust company, a mortgage finance company or through a private lender.

The Mortgage Brokers Act was proclaimed in 1976 and has not received a substantial review since that time. It is currently very outdated and does not reflect the growth in the industry, the change in expectations of consumers or legislative and regulatory advances implemented in other jurisdictions. All other provinces have modernized their respective legislation in recent years. It is time for the province’s mortgage broker legislation to be updated and reflect consistency with laws throughout Canada, with particular attention to alignment with other Atlantic Provinces.

Purchasing a house or condominium is one of the biggest financial investments most people may make. According to statistics gathered from Chartered Banks and released by the Bank of Canada in August 2019, 69 percent of all household debt in Canada consists of residential mortgage debt. As legal contracts, mortgage contracts can be very complicated and include fixed and/or variable interest rates, amortization periods, different contract term lengths, and penalties for early termination. It is important for consumers to have qualified professional guidance to help them navigate the mortgage process.

In 2019, DGSNL made changes to the Real Estate Trading Act and Regulations to enhance consumer protection for consumers of real estate services. One key change was restricting a licensed real estate person from providing both real estate and mortgage brokerage services on the same real estate transaction.These changes were made following a consultation with the public and industry on the proposed changes. Changes to the Mortgage Brokers Act under consideration are consistent with the recent changes to the real estate legislation and would similarly enhance and strengthen the mortgage broker legislation and contribute to government’s ongoing commitment to enhanced consumer protection.

Digital Government and Service NL (DGSNL) is seeking feedback from industry stakeholders regarding the proposed legislative changes discussed below.

Proposed Changes

Through the proposed consultation process and the implementation of amendments to the Mortgage Brokers Act, DGSNL is taking further actions to strengthen consumer protection. Specifically, items that require review and consultation include:

  • Registration of all individuals dealing in mortgage activity;
  • Education standards for new registrants and requirements for continuing education;
  • A code of conduct, including disclosure requirements and conflict of interest provisions;
  • Errors and omissions insurance with coverage for fraudulent acts;
  • Enforcement measures, including administrative penalties and fees; and
  • Administration and trust agreements.

Get Involved

The Government of Newfoundland and Labrador is requesting input from individuals working in the mortgage brokering industry, customers of mortgage brokers and the general public regarding the proposed changes to the Mortgage Brokers Act. You may provide your input online by completing the following questionnaire or by submitting a written submission by email to or through regular mail to: 
Policy and Strategic Planning
Digital Government and Service NL
Confederation Building, West Block, 2nd Floor
PO Box 8700
St. John’s, NL
A1B 4J6

We thank you in advance for your participation. Online and written submissions will be accepted until October 31, 2021.

If you have any questions related to this questionnaire or require an alternate format, please email

Online Questionnaire

This questionnaire will be available until October 31, 2021.  

It should take you approximately 15 minutes to complete this questionnaire.

If you have any questions related to this questionnaire or require an alternate format, please contact the department at

Click here to complete the questionnaire.

How will your input be used?

The information we receive will be reviewed by Digital Government and Service NL, and all feedback will be considered as the Provincial Government explores potential amendments to the Mortgage Brokers Act.

Privacy Statement

The collection of information is done under the authority of section 61(c) of the Access to Information and Protection of Privacy Act, 2015 for the purpose of collecting public feedback on potential changes to the Mortgage Brokers Act.

Any personal information that may be received will be governed in accordance with the Access to Information and Protection of Privacy Act, 2015 and will only be used for the purpose of providing a response to submissions received and informing participants of public engagement results at the end of the process.

If you have any questions about how this information will be collected, used and disclosed, please contact

Contact Us

If you have any questions or additional comments regarding the consultations exercise, please email or call 709-729-7437.