Interesting timing - I thought that the practice had been ongoing for quite a while and that they were fixing it. Not that they were loosening it now and getting trouble for it. Which ever:
http://business.financialpost.com/20...age-practices/
Finance Minister Jim Flaherty said he’s concerned about the loosening of standards by some Canadian financial institutions on mortgages that don’t require borrowers to verify income, and that steps are being taken to “correct” the practice.
Flaherty said Canada’s banking regulator looked at the practice, and he learned “what their assessment showed with respect to a few financial institutions, which is a matter of concern, and that is being corrected,” speaking in a conference call with reporters today from Tel Aviv.