Do mortgage brokers get better rates than banks?

Not always. A broker can ask many lenders, including monoline lenders that generally work only through brokers, so there is often more than one offer to choose from. Your bank can match, and sometimes its offer is the one to keep. You can read more on whether brokers get better rates.

Will a broker check my credit?

Generally yes, before a lender can give a firm approval. The Financial Consumer Agency of Canada says hard credit inquiries affect your score. But when you shop for a mortgage, the credit bureaus treat quotes from several lenders within a 2-week window as 1 inquiry. Checking your own report or score does not affect your score (checked October 2026).

Can a broker help if my bank says no?

Sometimes. We look first at other banks, credit unions and monoline lenders, then alternative ("B") lenders. Where none fits, a short private bridge through Stonefield Capital, our private-lending brand, is something we can discuss, with a written plan back to a bank. Alternative and private lenders can charge fees, and each fee is disclosed in writing before you commit.

What a mortgage broker sees that you can't (Ontario)

Why "brokers get better rates" is only half true

You will read online that brokers get better rates than banks. The honest version is narrower. A rate is priced on your application: your credit, your income, the property, the amount you borrow, your equity or down payment, and the term you choose. A bank and a broker looking at the same application are pricing the same risk.

What differs between a bank and a broker is how many lenders get asked. If you only talk to the bank that holds your mortgage, you see one lender's offer. A broker can put the same application in front of many lenders, and your bank can still match what comes back.

What a licensed broker can see

Lender rate sheets. Many lenders give licensed brokers rate sheets that are not on their public websites, and those sheets often change during the week. We do not publish these rate sheets: they are for licensed brokers, and a rate means little until a lender has seen your application.
Products that are not advertised. Lenders differ on prepayment privileges, how the prepayment penalty is calculated, portability (moving the mortgage to a new home) and the type of charge registered on title. Much of that detail is not on the lender's home page.

Which kinds of lender a broker can reach

Monoline lenders. A monoline lender offers mortgages and little else: generally no branches and no chequing accounts. Many monoline lenders work only through mortgage brokers, so if you only visit bank branches, you never see those lenders' offers.
Credit unions. Many Ontario credit unions lend through brokers as well as through their own branches. Ontario credit unions are provincially regulated, so the federal 21-day renewal-statement rule does not cover them (source: Financial Consumer Agency of Canada, checked October 2026).
Banks. Some banks also lend through brokers, so a bank's offer can be part of the comparison too.

How we are paid

For most bank, credit union and monoline mortgages, the lender pays the brokerage when the mortgage funds, so the service is usually free to the borrower. Any fee is disclosed in writing before you commit, and you can say no.

You can fairly ask any broker whether the lender's payment differs between the lenders being compared. If you ask us about your own mortgage, we will answer in writing. The details are on how we are paid.

What a broker does with your offer

Reads the terms, not just the rate. The broker reads the term, the amortization (the total time to pay off the loan), the rate type, the payment, any fees and the date the offer expires.
Checks the penalty method and the privileges. On a fixed mortgage the penalty is usually the higher of three months' interest or the interest rate differential, and lenders may use posted rates to work out the penalty (source: Financial Consumer Agency of Canada, checked October 2026). How much you can prepay each year matters too.
Prices the same mortgage with several lenders. Each lender sees the same balance, term, amortization and rate type, so the comparison is fair.
Tells you if staying is the cheaper answer. Switching can cost set-up fees with the new lender and an appraisal fee (source: Financial Consumer Agency of Canada, checked October 2026). A small rate difference can disappear once those costs are counted.
Puts a competing offer in writing. You take that written offer back to your bank. If your bank matches the written offer, you stay and pay less. If your bank does not, we arrange the switch, subject to lender approval.

The limits of a broker's view

Banks can match. The Financial Consumer Agency of Canada says that when you negotiate with your current lender, you "may qualify for a discounted interest rate that is lower than the rate quoted in your renewal letter" (checked October 2026). Many borrowers stay once their bank matches, and a match is a good result. The Will my bank match? page has more on matching.
Some products are branch-only. Some lenders keep certain products for their own branches or for existing clients, for example offers tied to other accounts. A broker may not be able to offer those products.
A broker cannot promise approval. Every mortgage is subject to lender approval. A new lender must approve you and may use different criteria from your current one (source: Financial Consumer Agency of Canada, checked October 2026).
The rate depends on your application. A broker can show you what lenders offer on your application, not a number before a lender has looked at it.

Sources

Financial Consumer Agency of Canada — Renewing your mortgage, page dated 2025-10-15, checked 2026-10-26.
Financial Consumer Agency of Canada — Reduce your prepayment penalties, checked 2026-10-23.
Financial Consumer Agency of Canada — Improving your credit score, page dated 2026-07-01, checked 2026-10-26.

What to do next

Put your offer through the offer check to see what to ask about. The Can your bank do better? page shows how we get you a written offer to take back to your bank.

This page is general information for Ontario readers, not financial, legal or tax advice. Public rules on this page were checked on 2026-10-26; your mortgage contract governs. Every mortgage is subject to lender approval.