How to complain about your mortgage lender in Canada: banks, credit unions and OBSI

To complain about a mortgage lender in Canada, start with the lender's own complaints process, in writing, and keep copies of everything. If the lender is a federally regulated bank and does not resolve your complaint within 56 days, or you disagree with its final answer, you can take it free of charge to the Ombudsman for Banking Services and Investments (OBSI), which is the external complaints body for banks. The Financial Consumer Agency of Canada (FCAC) supervises banks' compliance with consumer rules but does not resolve individual disputes. Credit unions, Quebec caisses and mortgage brokers have provincial routes instead.

This guide is part of the mortgage renewal mistakes guide. Rules are described as of October 2026; check OBSI and FCAC for current procedures and time limits.

Who handles what

Typical renewal complaints

• A renewal statement that was missing, late or did not show the required information
• An automatic renewal you did not agree to, or at terms different from those disclosed
• A prepayment penalty calculated differently from the contract or disclosure
• Fees not disclosed in the fee schedule
• A discharge that was delayed after you paid out the mortgage
• Relief requests under the Canadian Mortgage Charter that were refused without explanation
• A payment reset or trigger-point notice you did not receive

Step 1: complain to the lender

Write a short, factual complaint. Include:

1. Your name, mortgage number and property address
2. What happened, with dates
3. What the contract, renewal statement or disclosure said
4. What you want: a refund, a corrected penalty, a different rate, a written explanation
5. Copies of relevant documents

Send it through the lender's published complaint channel and ask for written acknowledgement. Banks must have a complaints procedure and make it available to you. Under the federal consumer protection framework for banks, a bank must deal with a complaint within 56 days of receiving it and give you a final response in writing, or explain the delay and tell you about the external complaints body.

Step 2: escalate to OBSI (banks)

If the bank has not resolved the complaint within 56 days, or you disagree with its final response, you can go to OBSI. Its service is free to consumers. OBSI looks at both sides and can recommend compensation, up to a limit set in its terms of reference. Its recommendations are not legally binding, but banks generally follow them, and OBSI can publish cases where a firm refuses.

OBSI generally requires you to bring your complaint within 180 days of receiving the bank's final response, so do not wait. Check its website for the current limit, any exceptions and how to file.

Step 3: tell FCAC about compliance problems

FCAC does not settle individual disputes, but you can report a possible breach of consumer protection rules, such as a missing renewal statement or undisclosed fees. FCAC uses this information in its supervision of banks.

Credit unions, caisses and brokers

• Ontario: credit unions and mortgage brokers are regulated by FSRA, which accepts complaints about regulated entities after their internal process.
• British Columbia: BCFSA regulates credit unions and mortgage brokers.
• Alberta: RECA licenses mortgage brokers; credit unions are provincially regulated.
• Quebec: the AMF supervises caisses and mortgage brokers. If a caisse does not resolve your complaint, you can ask it to transfer your file to the AMF, which can offer dispute resolution such as mediation.
• Other provinces: check your provincial financial services regulator.

Worked example: a penalty dispute

Illustrative: you paid a $10,062.50 IRD penalty on a $350,000 mortgage at 3.89% with 30 months left. You believe the lender used a posted three-year rate when your contract refers to a rate "for a term closest to the remaining term", which you think was two years.

1. Write to the lender quoting the contract wording and asking for the calculation in writing.
2. Recalculate with the rate you think applies and show the difference.
3. If the bank's final response does not satisfy you, file with OBSI within its time limit, attaching the contract, the penalty statement and your calculation.

See prepayment penalties and the IRD for how the calculation works.

When to get legal advice

For disputes involving large amounts, a refusal to renew with enforcement steps, power of sale or foreclosure, or a lawyer's or notary's work, consider advice from a lawyer (a notary in Quebec). Small claims courts handle smaller disputes; limits vary by province.

A complaint about a missing or late renewal statement is easier to make when you know what the statement should contain; see auto-renewal and the renewal statement. Contact details for every regulator mentioned here are in official sources.

Frequently asked questions

Does OBSI cost anything?

No. OBSI's service is free for consumers.

Can OBSI force my bank to pay?

Its recommendations are not legally binding, but banks generally follow them. You can still go to court if you do not accept the outcome.

Should I complain to FCAC instead of OBSI?

FCAC handles compliance, not individual compensation. Use the bank's process and OBSI for a remedy, and tell FCAC if you think the bank broke the rules.

Is there a deadline to complain?

Yes. Banks, OBSI and provincial bodies have their own time limits, and court limitation periods also apply. Complain as soon as you can.

Sources

• Ombudsman for Banking Services and Investments — filing a complaint about a bank
• Financial Consumer Agency of Canada — bank complaint procedures and reporting a concern
• Autorité des marchés financiers — complaints about caisses and brokers in Quebec
• Financial Services Regulatory Authority of Ontario — complaints about Ontario credit unions and brokers
• BC Financial Services Authority — complaints in British Columbia