Is your mortgage currently held by a federally regulated financial institution?   If so, by law, the lender must provide you with a renewal statement at least 21 days before the current term expires.

In turn, if the lender decides to not renew your mortgage, they are also obligated to notify you of this decision at least 21 days before the end of the mortgage term as well.

In practice, however, most lenders will send out renewal letters months in advance of this date.  Here are some helpful tips to keep you ahead of the curve!

TIP 1:  Do not feel pressured into deciding right away.  You are not obligated to renew your mortgage with the same lender nor do you have to accept the terms being offered.

TIP 2:  Make it your goal to evaluate the best alternatives at least three months before your renewal date.  This should provide you with ample time to make an informed, well thought out decision.

TIP 3:  Contact an independent mortgage broker to assist you in identifying the best market options.  It costs you nothing and a good mortgage broker will educate you on the big picture dynamic, way beyond rate simple comparisons alone.

TIP 4:  If you’re not proactive early enough, your mortgage will likely be renewed automatically.  Thus, you may not obtain the most favourable package that might have been available elsewhere.