Welcome to the mortgage brokers and agents education review homepage.  This page was designed to keep stakeholders informed of the review and solicit their comments. FSCO is committed to an open and transparent process in all aspects of the education review.

The new Mortgage Brokerages, Lenders and Administrators Act, 2006 received Royal Assent on December 20, 2006. It will come into effect at a later date to be determined by the government. The new Act sets out the framework for regulating the mortgage brokerage industry. However, many of the details and specific rules will be set out in regulations. 

In November 2006, the government released for consultation a number of draft regulations including proposals for new licensing requirements.  The regulations would authorize the Superintendent to approve education requirements for mortgage agents and brokers for the purposes of issuing a licence.  In support of the new Act and proposed regulations, FSCO undertook an education review.

Over the past 16 months, FSCO has worked with stakeholder groups and engaged industry practitioners in the education review with the objective of introducing new education requirements for mortgage brokers and agents in Ontario. (See Background: Industry Participation in the Education Review). A Technical Consultation Paper was released on August 31, 2006 to foster open and transparent discussion on a new industry proficiency regime including training, assessment and delivery.  Twelve written submissions were received, expressing a diversity of views.  All comments were considered and assisted in the evaluation of approaches.

Stakeholders who provided written submissions were advised via letter dated May 8, 2007 of the framework and decisions that resulted from the education review.  The letter noted that the decisions will not become operational until the final authorizing regulations dealing with educational requirements are put in place.

Decisions Regarding New Education Standards for Mortgage Brokers and Agents in Ontario

One of the most critical components of the education review is the establishment of New Qualifying Standards for the Mortgage Brokerage Industry that would define the skills and competencies required to be licensed in Ontario as a mortgage agent and broker, respectively, when the new Act and regulations come into effect.

Under the draft regulations released for consultation, it is proposed that individuals currently authorized to deal in mortgages would qualify to be licensed under the new Act without being required to satisfy the new education requirements, provided certain conditions are met.

Decisions on Assessment and Delivery Arising From FSCO’s Technical Consultation

Under the proposed education and delivery models, FSCO would allow open competition in the development and delivery of mortgage agent courses.  Courses would be based on the new agent Qualifying Standards.  Assessment of mortgage agent competency would be done through an examination based on the Qualifying Standards, incorporated as part of the approved course.

For mortgage broker education, there would be a single course provider selected through a government tendering process.  The course would be based on the new Qualifying Standards for brokers and assessment of mortgage broker competency would be done through an examination created and administered by FSCO or its agent.

The proposed education and delivery models balance the diverse views expressed by stakeholders during consultation. 

Recognition of Prior Training

To ensure that there is no undue overlap with proficiency requirement in other regulated sectors, FSCO intends to meet with organizations representing regulated professionals proposing that their programs of study already meet the competencies set out in the Qualifying Standards. 

To evaluate the training programs of other regulated professionals, FSCO would apply an objective assessment process of the program, the examinations, and degree to which the curriculum covers the key elements of the Qualifying Standards. 

This approach would provide certainty and transparency for classes of professionals and eliminates the need for individuals to prove that they meet proficiency standards already acquired through other training.

All decisions regarding recognition of prior training will be posted on these web pages.

Continuing Education

Response to FSCO's 2006 technical consultation paper indicated that stakeholders are generally supportive of mandatory continuing education (CE). This subject is currently under review.

FAQs

If you have any questions about the education review, you may contact mbeducationreview@fsco.gov.on.ca.