The Financial Services Commission of Ontario (FSCO) is warning the public about unlicensed mortgage brokers, and illegal advertising by these sorts of firms.
FSCO says that it has recently received complaints about several illegal mortgage brokering ads. The regulator points out that properly licensed brokerages, brokers, and agents, are all required to prominently disclose their licensed name, and their licence number, in all public relations materials, including ads.
Additionally, FSCO says that private mortgage lenders are not permitted to advertise their services. Only the licensed mortgage brokerage that they do business with can advertise, it says. Therefore, FSCO is warning consumers not to do mortgage business with individuals and companies that advertise illegally; and to report suspected illegal ads to its contact centre.