This consolidation is unofficial and is for reference only. For the official version of the regulations, consult the original documents on file with the Registry of Regulations, or refer to the Royal Gazette Part II. Regulations are amended frequently. Please check the list of Regulations by Act to see if there are any recent amendments to these regulations filed with the Registry that are not yet included in this consolidation. Although every effort has been made to ensure the accuracy of this electronic version, the Registry of Regulations assumes no responsibility for any discrepancies that may have resulted from reformatting. This electronic version is copyright © 2015, Province of Nova Scotia, all rights reserved. It is for your personal use and may not be copied for the purposes of resale in this or any other form.
Mortgage Brokers’ and Lenders’ Registration Regulations
made under Section 18 of the
Mortgage Brokers’ and Lenders’ Registration Act
R.S.N.S. 1989, c. 291
N.S. Reg. 35/66 (July 20, 1966)
as amended up to O.I.C. 2013-105 (March 28, 2013, effective June 1, 2013), N.S. Reg. 124/2013
Note: Text does not include amendments made by N.S. Reg. 121/2015 to increase fees, effective June 1, 2015.
1 (1) No person shall be registered as a mortgage broker unless he files with the Registrar
(a) an application in such form as the Registrar may from time to time specify;
(b) a copy of every form of mortgage document in use or intended to be used by the mortgage broker;
and he pays the prescribed fee.
(2) No registration as a mortgage broker shall be renewed unless the applicant files with the Registrar
(a) an application for renewal in such form as the Registrar may from time to time specify;
(b) a copy of every new or amended form of mortgage document not previously submitted to the Registrar;
(c) if required by the Registrar, a financial statement prepared at the applicant’s expense by a licensed public accountant;
and he pays the prescribed fee.
Section 1 replaced: O.I.C. 85-693, N.S. Reg. 105/85.
2 Fees for registrations and renewals thereof under the Act are as follows:
(a) for a mortgage broker...........................................................................$257.70
Clause 2(a) replaced: O.I.C. 85-693, N.S. Reg. 105/85; amended: O.I.C. 2013-105, N.S. Reg. 124/2013.
(b) for each additional office of a mortgage broker.......................................$32.05
Clause 2(b) replaced: O.I.C. 85-693, N.S. Reg. 105/85; amended: O.I.C. 2013-105, N.S. Reg. 124/2013.
Clause 2(c) repealed: O.I.C. 85-693, N.S. Reg. 105/85.
3 Every mortgage broker shall keep such books and records as are necessary for the proper recording of his business transactions and financial affairs and shall keep and maintain in respect to each mortgage transaction a record showing
(a) a copy of the statement of disclosure documents signed by the mortgagor or borrower;
Clause 3(a) replaced: O.I.C. 85-693, N.S. Reg. 105/85.
(b) the total amount actually paid to the mortgagor or borrower; and
Clause 3(b) replaced: O.I.C. 85-693, N.S. Reg. 105/85.
(c) particulars of any related agreement.
Clause 3(c) replaced: O.I.C. 85-693, N.S. Reg. 105/85.
Clause 3(d) repealed: O.I.C. 85-693, N.S. Reg. 105/85.
4 (1) (a) Pursuant to Section 22 of the Act, every mortgage broker shall disclose particulars of mortgages made or arranged by him, by providing each mortgagor or borrower with a separate and fully completed statement of disclosure which shall include the following information:
(i) principal amount of the mortgage,
(ii) annual percentage rate of interest and whether the annual percentage rate of interest is subject to variations,
(iii) term of the mortgage and amortization period,
(iv) amount and number of instalment payments,
(v) terms and conditions of repayment before maturity, and
(vi) an amortization table that shows the amount of principal and interest that is paid with each payment and the amount of principal outstanding after each payment.
Subclause 4(1)(a)(vi) added: O.I.C. 2000-458, N.S. Reg. 159/2000.
(b) The information required to be supplied by Regulation 4(1)(a) by the mortgage broker may be provided to the mortgagor or borrower in the form of the statement of disclosure Form MBR 1 approved and prescribed by regulations made by Order in Council 85-693 dated the 25th day of June, 1985, with the addition of the amortization table required by subclause (a)(vi).
Clause 4(1)(b) amended: O.I.C. 2000-458, N.S. Reg. 159/2000.
(c) Where a mortgagor or borrower receives the mandatory statement of disclosure regarding the particulars of the mortgage from the mortgage broker in the manner prescribed by Regulation 4(1)(a) or 4(1)(b), and before signing the mortgage or the document committing the mortgagor or borrower to the mortgage the mortgagor or borrower elects in writing to waive the time period of forty-eight hours specified in Section 22 of the Act, the time period of forty-eight hours shall not apply.
Subsection 4(1) replaced: O.I.C. 85-814, N.S. Reg. 124/85.
(2) Where the annual percentage rate of interest as set out in a statement of disclosure prescribed by Regulation 4(1)(a) or 4(1)(b) is subject to variations, the mortgage broker shall, not later than five weeks after a change takes place, notify the mortgagor or borrower by mail of
(a) the new rate;
(b) the effective date of the change; and
(c) any other modifications to the mortgage consequent on the change of rate.
Subsection 4(2) replaced: O.I.C. 85-814, N.S. Reg. 124/85.
(3) In this Regulation and in Form MBR 1
(a) “bonus” means any amount, by whatever name or term it is called, that a mortgagor or borrower is required to pay in addition to interest as the cost of obtaining the amount paid to him or on his account but does not include fair and reasonable charges for necessary fees, expenses and disbursements relating to the mortgage;
(b) “term in years of the mortgage” means the period within which the principal amount secured by the mortgage and the interest thereon are required to be paid and not the amortization period used for the computation of instalment payments to be made by the mortgagor unless the latter period is the same as the period within which the principal and interest are required to be paid.
Original subsection 4(3) repealed; subsection 4(4) amended and renumbered 4(3): O.I.C. 85-693, N.S. Reg. 105/85.
(4) Every mortgage broker forthwith after execution of a mortgage or related document shall furnish to the borrower a true copy of the mortgage and related document.
Original subsection 4(5) renumbered 4(4): O.I.C. 85-693, N.S. Reg. 105/85.
(5) (1) A person who makes a loan of an amount of twenty-five thousand dollars or more for a commercial or industrial purpose shall with respect to that loan be exempt from all provisions of the Mortgage Brokers Lenders Registration Act and these regulations.
(2) For the purpose of this Regulation a loan for a commercial or industrial purpose includes a loan made on the security of an apartment building or office building.
(3) This Regulation has effect on and after October 27, 1966.
Original subsection 4(5A) added: O.I.C. dated November 8, 1966; renumbered 4(5): O.I.C. 85-693, N.S. Reg. 105/85.
(6) A joint stock company of which all the outstanding capital stock is beneficially owned directly or indirectly by Her Majesty in the right of Nova Scotia is exempt from all provisions of the Mortgage Brokers and Lenders Registration Act and these regulations.
Original subsection 4(6) repealed: O.I.C. 85-693, N.S. Reg. 105/85.
Original subsection 4(5B) added: O.I.C. dated Dec. 20, 1966; renumbered 4(6): O.I.C. 85-693, N.S. Reg. 105/85.
Subsection 4(7) repealed: O.I.C. 85-693, N.S. Reg. 105/85.
5 A mortgage broker shall, upon demand of the Registrar, furnish to the Registrar a report for such period as the Registrar prescribes containing particulars, or such particulars as the Registrar requests, of mortgage transactions that are required by Regulation 3 to be recorded by the broker.
6 At least annually, every mortgage broker shall, within a reasonable time, advise the mortgagor or borrower of the particulars and details of the standing of the account or indebtedness, including
(a) the number and total amount of payments made during the year;
(b) the amount applied to interest;
(c) the amount of principal repaid;
(d) the principal amount outstanding; and
(e) the amount of municipal tax paid if applicable.
Section 6 replaced: O.I.C. 85-693, N.S. Reg. 105/85.
7 Pursuant to Section 24 of the Act, where the mortgage broker is required to assign the mortgage to a third party, the maximum fee which may be charged by the mortgage broker is twenty-five dollars.
Section 7 added: O.I.C. 85-693, N.S. Reg. 105/85.
Form MBR 1 - Statement of Disclosure
(Mortgage Brokers’ and Lenders’ Registration Act, R.S.N.S. 1989, c. 291)
This form must be completed in duplicate with every mortgage application or renewal in accordance with the Mortgage Brokers’ and Lenders’ Registration Act, and one copy given to the mortgage borrower at least 48 hours before he is asked to sign the mortgage documents. All signatures must be originals, not duplicates.
1. Date ____________________________________________________________________
(date on which statement of disclosure is made)
2. Name of mortgage lender (mortgagee) _________________________________________
(address of mortgage lender)
3. Name(s) of mortgage borrower(s) (mortgagor(s)) _________________________________
(address of mortgage borrower(s) (mortgagor(s))
4. Property mortgaged ________________________________________________________
(address and description of buildings)
1st 2nd 3d Other
5. Principal amount of the _____ _____ _____ _____ mortgage borrowed is ______.
6. The costs and fees associated with this mortgage are as follows:
Bonus on mortgage
Brokerage fees or commissions
Inspection and appraisal fees
Mortgage application or renewal fees
Legal fees and disbursements of not more than
Interest adjustment (if applicable)
Other charges (specify)
7. Net amount of money to be paid to the mortgage borrower to
be disbursed on his direction or to be credited to the mortgage
borrower’s existing mortgage (in the case of a renewal)
8. The annual percentage rate of the mortgage will be ___% or where the annual percentage rate is subject to variations, the initial annual percentage rate will be ___%.
9. The method of calculation of interest is as follows: _______________________________
10. The term of this mortgage is ___ months/years (circle one); the amortization period is ____ years.
11. Subject to the agreement, the ____ (weekly) ____ (bi-weekly) ____ (monthly) (check one) payment (principal and interest) for the term of this mortgage will be $______.
12. The first payment is due on _____ (day) ________ (month) _______ (year).
13. Based on the annual percentage rate disclosed in Section 8 and the amount and number of payments noted above, the mortgage will become due and payable in ______ months/year (circle one), at which time the mortgage borrower, if all payments have been made on the due date, will owe $ ________.
14. In the case of a construction mortgage, interest will ___ or will not ____ be deducted on advances by the mortgage lender prior to disbursement to the mortgage borrower.
15. Where the annual percentage rate or the term of the mortgage is subject to variations, it shall vary in the following manner: ____________________________________________
16. The terms and conditions of repayment before maturity of the mortgage loan contract are as follows (ie. prepayment of early payment penalty): _____________________________
17. Where the mortgage loan is not repaid at maturity or payments are not made when due, the following charges may be imposed (ie. late payment penalty): _______________________
18. Subject to the agreement, municipal taxes will be collected from the mortgage borrower (mortgagor) by the mortgage lender (mortgagee) in advance.
__Yes __ No
If “Yes” interest will be paid in the following manner: _____________________________
19. Where the mortgage borrower (mortgagor) directs the mortgage lender (mortgagee) to assign the mortgage to a third party, the assignment fee will not exceed twenty-five dollars ($25.00).
Section 24 of the Mortgage Brokers’ and Lenders’ Registration Act states:
24 Notwithstanding any stipulation to the contrary, where a mortgagor is entitled to redeem the mortgage or where the mortgagee demands payment of the mortgage by the mortgagor, the mortgagor, upon payment of any balance outstanding in respect of the mortgage, may require the mortgagee, instead of giving a release of mortgage, to assign the mortgage to such third person as he directs, and the mortgagee is bound to assign accordingly.
I/We ________________________________ of _____________________________________
________________________________ of _____________________________________
the mortgage borrower (mortgagor) under this proposed mortgage, have read and fully understand the above statement furnished to me by ___________________________________
(name and address of mortgage lender (mortgagee))
I/We have not yet signed any mortgage paper or blank documents on this mortgage and now sign this statement in duplicate, which has been fully completed this ___ day of _____________, 19__, and I/We hereby acknowledge receipt of a fully completed signed copy.
Sign both copies separately
Do not use carbon for signatures.
(Signature(s) of mortgage borrower(s)
I, _________________________________ have fully completed the above statement
(name of mortgage lender (mortgagee)
in duplicate and have furnished one signed copy to the mortgage borrower(s)
(mortgagor(s)) on the above date.
(Signature of mortgage lender
Form MBR1 replaced and Forms MBR2 and MBR3 repealed: O.I.C. 85-693, N.S. Reg. 105/85.