Get your hands out of our pockets.

I learned my lesson years ago not to let anyone into your bank account. At the time, and surprising no one, Rogers took more money than it should have when I allowed pre-approved withdrawal. Getting your money back from a corporation once they have it is a shit ton harder than contesting a bill. Also there is no digital or call-centre way to undo this service. To get Rogers out of my bank account I had to download and fill out A FORM… like on paper! These corporations have the nerve to say they serve us. Ha!

I’m reminded of this amazing advertisement for Capital Credit Card from way back in the day. The problem is that some companies only operate with their hand in your pocket. I’m doing my expense reports for my taxes for 2016 and again I’m seeing the big ones; mortgage interest: $6,000.00, insurance: $2,600.00, and bank fees: $300.00. Banks and insurance companies only take cash, they take it right out of your account and they’re charging for basically nothing. Oh and I only have $500 in overdraft available but by some miracle when it’s maxed it doesn’t matter, the mortgage will come out regardless of limitations and I’ll be fined for violating my overdraft.

With the mortgage the bank is charging you for holding the debt even though there’s really no risk because it is required that I have my mortgage insured for fire or my death. Insurance is the second worst. You’re not getting anything back for your money at all. You really don’t want anything back but if you were to file a claim they would reduce coverage, increase your fees, or maybe drop your coverage completely.

If I were an MP I would propose legislation capping mortgage insurance at 1.5-2.5%, lock insurance company policies to the original coverage rates and coverage, and outlaw bank fees for anyone with a net-worth of less than $500,000.

My brother Mike explained that the mortgage industry is complex and nuanced and you can get lots of different features with your mortgage like skipping payments, allowing payments directly to the principal, or fee free remortgaging.

I said, “Fine. I’d also make it law that you can’t charge a mortgage payment in December, can’t be charged a fee for breaking your mortgage, AND can’t issue closed mortgages.” Boom, done. Jackals at the bank won’t like it and brokers will be out of a job but I think it’s a waste of perfectly good people power.

Doesn’t everyone just go to a broker to get their bank to bring the rate down? Does anyone actually sign with a broker? They set you up at some random bank where you don’t know anyone and can’t see your mortgage in your online banking… Who does that?


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