What BC's Mortgage Services Act changes for borrowers
The Mortgage Services Act comes into force on October 13, 2026 and repeals and replaces the Mortgage Brokers Act. New rules accompany it covering standards of conduct, qualification requirements, disclosures, business practices and reporting to BCFSA. Licences under the Act cover dealing in mortgages, trading in mortgages, administering mortgages and mortgage lending.
The short answer
From October 13, 2026 a BC mortgage broker must tell you in writing whether they represent you, disclose any interest they or a related party have in your deal at least two business days before you sign, and show what they expect to be paid by anyone other than you when they present a commitment.
| Form | What it tells you | When you should see it | Why it matters to you |
|---|---|---|---|
| Form 1A or 2A | Whether your broker represents you (1A) or you are unrepresented (2A) | With your broker's first disclosures | You know whose side they are on |
| Form 3A | Any direct or indirect interest your broker, an associate or a related party has in the transaction | At the earliest possible opportunity, and no later than two business days before you sign | You see conflicts while you can still walk away |
| Form 4 | All remuneration your broker receives or expects from anyone other than you | When one or more potential commitments are presented | You can compare options knowing who pays what |
| Forms Package #1 or #3 | The required disclosures combined, for represented (#1) or unrepresented (#3) borrowers | In place of the separate forms | One document to read instead of several |
Who your broker works for
Under the new rules, a licensee must not deal in or trade in mortgages unless they are representing a client in that transaction. Disclosure of client representation must be in a form approved by the Superintendent.
Form 1A is for represented borrowers and Form 2A is for unrepresented borrowers. Forms Package #1 (represented borrowers) and Forms Package #3 (unrepresented borrowers) can combine the required disclosures. Read the BCFSA statement on representation and forms packages.
Conflicts you will now see on paper
If the licensee, or an associate or related party, has or may acquire a direct or indirect interest in the mortgage transaction, you must receive Form 3A, Disclosure of Interests to Borrower.
It must reach you at the earliest possible opportunity and no later than two business days before you enter into a mortgage agreement or sign a mortgage instrument, whichever is earlier. You sign Form 3A to acknowledge receipt and get a copy. BCFSA states there are no exceptions to providing it. Read the BCFSA statement on conflicts of interest.
How your broker gets paid, shown before you commit
When a broker presents one or more potential mortgage commitments, they must disclose all remuneration they receive or expect to receive from anyone other than their client. That goes on Form 4, Disclosure to Borrower of Expected Remuneration, or within Forms Package #1 or #3.
The money must be shown as a dollar amount, or an estimate, or an explanation of how it will be calculated. Read the BCFSA statement on disclosure of remuneration. All three regulatory statements take effect October 13, 2026.
At CCM: Fees are agreed in writing before work begins, paid on funding, and disclosed to borrowers as BCFSA requires.
What to ask on a commercial file
- Do you represent me in this transaction, and will I get Form 1A or Form 2A?
- Will you give me the separate forms or Forms Package #1 or #3?
- Do you, an associate or a related party have any interest in this lender or this property?
- If so, will I have Form 3A at least two business days before I sign?
- On each commitment you present, what will anyone other than me pay you, and how is it calculated?
When none of this changes the deal
The Act changes disclosure and conduct, not lender underwriting, so rates, coverage and leverage are set the same way as before. See commercial mortgage requirements in BC for how lenders size a loan and commercial mortgage rates in BC for how pricing is built.
Mortgage Services Act questions.
Let's fund your next deal
Fees are agreed in writing before work begins, paid on funding, and disclosed to borrowers as BCFSA requires.