Mortgage Broker Industry
In New Brunswick, every person carrying on the business of brokering or administering mortgages is required to comply with the Mortgage Brokers Act, S.N.B.2014, c.41 and both rules, MB-001 Mortgage Brokers Licensing and Ongoing Obligations and MB-002 Mortgage Brokers Fees. The Act and the rules provide the legislative framework for the regulation of Mortgage Brokerages, Mortgage Brokers, Mortgage Associates, and Mortgage Administrators in New Brunswick.
Mortgage Brokerage
A Mortgage Brokerage is a corporation, partnership or sole proprietorship that:
- solicits another person to obtain a mortgage loan or to make an investment in a mortgage, but only if the soliciting is done on behalf of another person.
- negotiates or arranges a mortgage loan or an investment in a mortgage on behalf of another person.
- provides advice to a person with respect to the appropriateness of:
- obtaining a particular mortgage loan.
- making a particular investment in a mortgage.
Mortgage Broker
A Mortgage Broker is an individual who brokers mortgages on behalf of a mortgage brokerage and has the education and experience necessary to supervise an associate.
Mortgage Associate
A Mortgage Associate is an individual who brokers mortgages on behalf of a mortgage brokerage.
Mortgage Administrator
A Mortgage Administrator is a corporation that:
- receives payments made by a borrower and remits those payments to the investor.
- monitors the performance of a borrower with respect to his or her obligations under the mortgage.
- enforces or takes steps to enforce payment by the borrower under the mortgage.