Rule

What can I do if my lender refuses to renew my mortgage?

Short answer

Act before maturity. Ask why the renewal was refused and request the payout and deadline. A standard A lender, alternative/B lender, MIC or private lender may assess the file differently. Selling may also protect equity when no sustainable refinance is available.

The client problem

A client assumes renewal is automatic and begins searching only after receiving a non-renewal letter. The short deadline weakens negotiating power and may trigger open-rate, default or legal costs.

A practical Ontario example

The borrower paid on time but income changed and the current lender exits the product. Another lender still needs income, credit, appraisal and legal time. Starting sixty to ninety days early creates more routes.

How the lending routes may differ

  • A lender: possible when the borrower and property meet full current qualification.
  • Alternative/B: useful for broader income, credit or property policy, usually with higher rate or fees.
  • MIC/private: can match a short transition or sale timeline; term, openness and exit matter more than approval alone.

Policy boundary: FCAC expectations discussed here apply to federally regulated financial institutions and do not require every lender to offer the same relief.

Questions to ask now

  • Why is renewal unavailable?
  • What is the exact maturity and payout?
  • Has income, credit or property use changed?
  • What route repays the new lender at maturity?

Rajiv’s practical view

Register early with Rajiv’s complimentary Track My Mortgage service. A maturity date should trigger a comparison months in advance, not an emergency in the final week.

Source and context

Review the official source

General Ontario education. Results depend on the contract, lender, administrator, property, equity, documents and legal advice. No approval or legal outcome is promised.

Need a calm second opinion before the situation becomes urgent?

Share the mortgage balance, property value, deadline and main concern. Rajiv can identify the questions to ask and compare A, alternative/B, MIC or private options where appropriate.

Request a mortgage second opinion

Rajiv Verma, Mortgage Broker · Ontario

Sources and context

Read the primary source

Source checked
2026-09-08
Effective
2026-09-08
Next review
2026-12-08
Assumptions and limitations
General Ontario education. Lender, regulator, mortgage-insurer, administrator and legal requirements vary by transaction. Examples are illustrative, not approvals, legal advice or guarantees.

Source checks are snapshots, not a guarantee that rules have remained unchanged. Individual circumstances and lender policies vary.

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