Mortgage Pal

[wwkayaker]

I am refinancing a mortgage and was looking at rates on www.ratehub.ca. Mortgage pal offers pretty attractive rates. Does anybody have a mortgage thru this company or any info they would care to share?

Thanks.

[Schraderbrau]

I am all about finding the best rate going when I mortgage but I try to stick with larger mainstream financial institutions. Something about borrowing from small lenders scares me. I'm sure they are alright but I am a cautious person when it comes to stuff like this.

[squiggs96]

Originally Posted by Schraderbrau

I am all about finding the best rate going when I mortgage but I try to stick with larger mainstream financial institutions. Something about borrowing from small lenders scares me. I'm sure they are alright but I am a cautious person when it comes to stuff like this.

What scares you about small lender? I've heard many people say this, and even a mortgage broker I've used goes on how small banks that offer really low rates are terrible. I just figured it was because he got a better commission with a big bank. I'm not doubting your concerns; I've just never thought to look into what they are.

My current house that I sold was financed with NBC. The house I'm about to take possession of will have an RBC mortgage and my rental property has a TD mortgage. I haven't gone with small banks either, but I am curious as to why you'd be wary of them from a mortgage point of view. Is it because of a worry that they wouldn't be able to fund the proceeds at closing? I understand being concerned of small banks not having enough funds to cash out a very large deposit, but I'd always think they'd be able to take a mortgage payment from me.

[MillerTime GFG]

Originally Posted by Schraderbrau

I am all about finding the best rate going when I mortgage but I try to stick with larger mainstream financial institutions. Something about borrowing from small lenders scares me. I'm sure they are alright but I am a cautious person when it comes to stuff like this.

'Mortgage Pal' that OP quotes is not the actual institution offering that rate, they would be a broker/brokerage that has access to that rate, that's all.

Generally speaking, the lenders out there offering the best rates are not the banks, but they do billions of dollars in mortgages in a year. Not really too much to be worried about. While banks seem like a nice cozy place that take care of your best interests, it's actually quite the opposite.

[MillerTime GFG]

Originally Posted by squiggs96

What scares you about small lender? I've heard many people say this, and even a mortgage broker I've used goes on how small banks that offer really low rates are terrible. I just figured it was because he got a better commission with a big bank. I'm not doubting your concerns; I've just never thought to look into what they are.

My current house that I sold was financed with NBC. The house I'm about to take possession of will have an RBC mortgage and my rental property has a TD mortgage. I haven't gone with small banks either, but I am curious as to why you'd be wary of them from a mortgage point of view. Is it because of a worry that they wouldn't be able to fund the proceeds at closing? I understand being concerned of small banks not having enough funds to cash out a very large deposit, but I'd always think they'd be able to take a mortgage payment from me.

The big banks generally pay the lowest commission, not including NBC. That broker probably said that because he doesn't want to 'play the rate game', which can be extremely competitive. Nothing wrong with the majority of small lenders.