B.C. Launches New Mortgage Services Act — Here’s How It Will Impact Borrowers

Starting in October 2026, British Columbia will overhaul how mortgage professionals are licensed and regulated. The province’s new Mortgage Services Act (MSA) aims to create stronger consumer protection, improve transparency, and fight financial crimes like mortgage fraud and money laundering.

This legislation is B.C.’s response to growing concerns about shady lending practices and hidden broker fees. According to provincial officials, the new rules are designed to bring B.C. in line with national standards and fulfill key recommendations from the Cullen Commission, which investigated money laundering in real estate.

What’s Changing Under the New Rules?

The new MSA replaces the outdated Mortgage Brokers Act and introduces a tiered licensing model. That means brokers, lenders, and administrators will now be individually classified, trained, and held accountable for their specific roles.

Here’s what the new model includes:

• Clearer borrower disclosures — no more hidden fees or vague terms
• Expanded licensing categories — including lender, dealer, and administrator roles
• Stronger oversight from the BCFSA (B.C. Financial Services Authority)
• New anti–money laundering rules for mortgage originators

What Happens Next?

Mortgage professionals in B.C. will have until October 13, 2026 to transition to the new licensing framework. During this period, they’ll be required to complete new education modules, pass regulatory checks, and align their practices with the new law.

The BCFSA is expected to launch webinars, publish guidance materials, and open up online tools to help brokers and lenders through the transition.

As a consumer, you can expect clearer advice, stronger disclosures, and more accountability from your mortgage advisor — starting in late 2026.

What This Means for You

If you’re planning to get a mortgage in B.C. this year or next, you’ll still be operating under the current rules. But by 2026, the mortgage process will become much more transparent and buyer-friendly.

Whether you’re buying a first home or refinancing in the future, these reforms mean less fine print and more protection. And if you’re working with a mortgage broker in B.C., it’s worth asking if they’re already preparing for the transition — the best professionals will be.