The CanadaLend.com slogan reviewed
Let me begin this post by asking you a question do you think majority of Canadians have good credit or bad credit? If you said bad credit your wrong in fact majority of Canadians have good credit. If Canada or Canadians didn’t have good credit nobody outside of Canada would except the Canadian dollar. Canadians are typically good at repaying debt which makes me wonder why Canada Lend would embrace a slogan that says “Banks say no we say yes”. Acting as if they’re only after the clients with horrible credit.
What caused the Mortgage Meltdown in the United States of America
To the best of my knowledge CanadaLend.com is a Mortgage brokerage and based on their slogans it seems to me that they’re targeting consumers with bad credit that we’re turned down by banks because of delinquency related credit issues. The mortgage meltdown in the United States was caused by the same type of consumer that in my opinion CanadaLend.com is trying to target. Mortgage brokers and mortgage brokerages in the United States have a very bad name right now in fact some brokers in the United States are in fear of losing their lives because they put good people into bad mortgages.
Personally I don’t think every person deserves a mortgage in Canada. A mortgage is a serious financial debt and as many of us know housing prices don’t always rise on top of this paying your mortgage is not the only bill a person will have to pay when they decide to become a home owner. I’m not anti owning your own home but I think targeting consumers with bad credit is a practice mortgage brokers need to stop doing in Canada as a whole.
Another reason I say this is because desperate people tend to do things that they later regret and the fact that to me it seems like these consumers are being targeted by CanadaLend.com shows why majority of the Canadian consumers are in debt. Canada does not have the luxury of printing money the way America does, our money is not the worlds reserve currency and being that majority of Canadian debt is mortgage debt I think mortgage brokerages should be more responsible on how they target their consumers.
If there’s a crack in the Canadian system we as Canadians all go down.
Is it really the right time to buy a house?
My question to you is how much are you putting down and also what type of financial equation do you have going on in your head. Are you expecting to win the lottery or do you really plan on working everyday for the next 10 – 20 years to pay off your mortgage. I always hear people saying new Cars depreciate the moment you drive them off the lot. Well another thing to keep notice of is that houses do get old and eventually will need fixing and upgrading. Gas, hydro etc. prices are real, property taxes are real.
Recessions and people losing their jobs are real is that something you’re prepared for or something you will be prepared for when you decide to become a home owner. If you answered yes and you want to see what a mortgage broker/agent can do for you than give CanadaLend.com or your local neighborhood mortgage brokerage a try. If you truthfully answered no than wait until you’re financially capable.
There’s no need to keep up with the Jones’s especially when the Jones’s don’t share their financial balance sheets with you!
I happened to come across this blog and felt compelled to respond. Typically I don’t respond when the comments are unsigned or anonymous, most times they are made by competitors who are not really interested in the climate of the discussion but rather simply to slander.
The author makes some comments which don’t seem to be rooted in actual facts but rather in personal opinion. In every economy there exists a spectrum of credit worthiness, there are individuals that have “triple AAA” credit and there are those who don’t for one reason or another, and then there are those in between the 2 extremes. At “Canadalend.com” we are a mortgage brokerage that works for all individuals. Contrary to the authors statements we embrace all clients regardless of their credit abstract. Interestingly enough, a substantial bulk of our business is AAA and placed with schedule A banks. We also do a substantial amount of “B” business which is also funded by institutional lenders as well. Our slogan “Bank says no? We say approved” is meant to convey to clients that there is hope in re-organizing their debt whether they have bruised credit or if they require alternate lending. What the author fails to realize is that there is a huge segment of the population that has good to excellent credit but are still declined by the banks, whether it be because they are self employed, have foreign income, pension income, because of age or even a lack of credit history. Ironically banks decline more clients with good credit then they do with those with bruised credit. So when the author makes the comment “ acting as if they’re only after the clients with horrible credit” it certainly is apparent that they have no research or basis for their statements.
I also find the author’s explanation of the “U.S. meltdown” misguided. The problem arose in the U.S. not because of mortgage brokers but rather with the banks themselves. In Canada the banking system is regulated by the government and the main insurer is a Crown Corporation. In the U.S. the insurers were all privately owned corporations. They were able to put the insured mortgages in investments pools and then sell the pools off to investors. The investors aggressively bought these pools, and created a demand for them that the insurers excitedly could not keep up with, so the insurers relaxed their guidelines to the banks who in turn relaxed their guidelines and started approving clients regardless of their credit abstract. At one point they were approving 105% financing, just so that they could book and insure as many mortgages as possible for the investors. This is a very simple explanation of a very complicated financial meltdown, if the author would like to contact me directly I would be glad to take the time to give them a more in depth explanation of why the U.S. meltdown occurred.
The author also assumes that Canadalend.com is enabling clients with poor credit to buy homes. Again we can refer to my earlier statement that we provide alternate solutions for those with Good, Bad, or even no credit. They should not assume that when “Banks say no” it is because of their credit. I do however agree with their point that not everyone is meant to be a homeowner, the author should rest assured that there are measures that have been put in place in Canada that will prevent people from obtaining mortgages should they not qualify for them. Measures such as : No 100% financing, maximum amortization of 30 years which has been reduced from 40 years, thorough examination and verification of employment and minimum beacon requirements should you want a high risk mortgage, with very little down payment.
I applaud the open forum for discussion and respect the rights of individuals to express their opinions, however given the topic and the examples that the author used, I can’t help but think of what their true motivation is. The slogan they quoted is not our slogan however they have attached our name to it. They cited the U.S. meltdown and incorrectly attached our name to it. And they then talk about a recession and attach our name to it. After reading the authors comments a few times I can’t help but wonder what they are really trying to say, is it fiscal responsibility? or is it credit management? Or is it Canadalend bashing?
Whatever it is I am available to discuss at your convenience should you feel like signing your name to your opinion.
Jay Parmar
Vice President
Canadalend.com
tel : 1 866 608 4237 ext 236
fax : 1 866 981 7030
Amazing! Thanks for your comment Jay Parmar. One of your mortgage agents left an advertisement in my mail box around October 5th 2011 that said “Banks say no we say yes” this really angered me because I know 2 people who lost their homes because of mortgage agents who told them that they could afford a house when in fact they couldn’t. My motive for writing this post was to get you and your company to stop writing these slogans both on your websites and in your mail advertisements! I checked out your website today and it seemed to work at least temporarily. In Canada we have an opportunity to lead the world in professionalism and I feel mortgage brokerages such as yours were ruining this opportunity with slogans like “Banks say no we say yes!”. I want you and your marketing team to do a better job targeting your customers. Find other reasons people should use a mortgage broker and put them into your advertisements. What’s wrong with saying “Looking for a mortgage seek advice from a mortgage professional”?
You left a comment on this blog, anything you want to discuss can be discussed right here in this open forum that you applauded!
Your best bet is always to shop around with the banks. With Canadalend, you pay a hefty brokerage fee.
Also, their advisers work on commission and don’t have formal educations.
They try to get you to work with their law firm instead of your own lawyer. Don’t agree to that. The law firm works for them and they have no interest in providing you with legal advise that is in your best interest.
You can give them a try. Perhaps they may work for you. I didn’t like them and regret ever dealing with them.