Short answer
Many prescribed mortgage-sector records must be retained for at least five years, although the starting date varies by record. Privacy, brokerage and other legal retention requirements may also apply.
Why the client is being asked
After closing, a client asks why the brokerage still holds identity, transaction and mortgage records and assumes every document should be deleted immediately.
What FINTRAC’s official guidance says
FINTRAC’s mortgage-sector guidance specifies at least five-year retention periods for records such as reports, receipts of funds, information records and mortgage-loan records, calculated from the applicable event.
What the rule does not mean
Five years is not necessarily the maximum retention period for every document, and it does not authorize careless storage or unrelated use. Privacy obligations, access controls, consent and secure disposal still matter.
A practical mortgage example
Illustration only: A mortgage closes in 2026, but the last business transaction or creation date for different records may not be identical. The brokerage’s retention schedule therefore may not use one deletion date for the entire file.
How to prevent a closing delay
Use the brokerage’s secure portal, ask for its privacy and retention policy, and report incorrect personal information. Avoid sending unnecessary copies through ordinary email. When the retention period ends, records should be disposed of according to applicable policy and law.
Questions worth asking
- Is this document required by law, the brokerage, the insurer or the lender?
- What fact is the document intended to verify?
- Is the source, ownership and movement of every material amount clear?
- Are the application, corporate records, tax documents and bank activity consistent?
- What can be prepared now instead of days before closing?
Rajiv’s broker perspective
Compliance questions should be explained, not treated as a paperwork ritual. My role is to collect accurate information, protect the client’s privacy and present a file the lender can understand. FINTRAC does not choose the mortgage product or approve the loan; A, alternative/B, MIC and private lenders still apply their own underwriting. Changing lender type does not remove the need for truthful identity, ownership and source-of-funds evidence.
Related: Mortgage Knowledge Centre · First-Time Buyer Rules · Declined? Start here
Concerned that your funds or business structure may delay closing?
Send Rajiv the transaction timeline and the documents you currently have. He can identify gaps in the mortgage package and explain which questions come from the lender, insurer or compliance process.