The difference between a Mortgage Broker and a Bank Rep

Mortgage Broker
  • Will be available for advice for the life of your mortgage
  • Knowledgeable about a wide range of mortgage solutions to best suit your needs
  • Paid a commission by the mortgage lender after the mortgage closes
  • Are experts in mortgage & creditor insurance
  • One-Stop shopping for multiple mortgage banks and lenders
  • Reduces the need for multiple credit bureau inquiries
  • Are licensed by the Province in which they operate
  • Unbiased advice as commission are very similar between lenders
  • Have access to specialized mortgage programs and alternative & private lenders
  • Work to find the best combination of lowest rate & penalties with highest pre-payment privileges
  • Focuses on finding the best suited mortgage program for your needs
  • Owns their own business, so customer service is critical
Bank Rep
  • May change branches or may move to another bank
  •  Knows about the mortgage products available at their bank
  • Paid a salary and/or commission by their bank
  • Are required to cross-sell multiple credit products and banking services
  • Can only offer one bank’s programs
  • Each bank has to do a separate credit inquiry, which can reduce your credit score
  • Are not regulated by the Provincial government
  • Unlikely to recommend another bank’s mortgage programs
  • Limited to only bank mortgage programs
  • Banks often have much larger penalties to break a mortgage early
  • Loyal to their employers’ mortgage programs
  • Is an employee of a bank or financial institution