May 15th, 2010 by Questions
how would a consumer proposal affect renewal of mortgage after the current term ends? I have a 5 year closed mortgage up for renewal in 2012. Please respond
Posted from: Ontario
May 17, 2010 at 5:43 am, A licensed trustee said:
Unless you are in a high ratio mortgage (zero down) then you should not have any problems renewing your mortgage if you file a consumer proposal. In fact, the law prohibits anyone from terminating or ammending a contract simply becuase a person has filed a proposal.
If you are in a high ratio mortgage the answer is maybe, maybe not. A couple f the high mortgage companies in Canada have decided to get out of the business and are not renewing for ANYONE when mortgage terms come up. If you are in a high ratio mortgage you should contact your mortgage company and ask for some assurance from then before you file.
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