Sep
11
Canada Regulator Sets Out Stricter Mortgage Rules for Banks
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Proposal reflects ‘changing risks’ in home-loan market
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OSFI updates guideline on Capital Adequacy Requirements
Canada’s financial regulator released proposed new mortgage rules that could see the country’s lenders hold more capital to offset risks.
The draft guidelines have been updated to “reflect the changing risks in the Canadian mortgage market,” the Office of the Superintendent of Financial Institutions said in a statement. The watchdog said in December it would seek to shift the burden of risks to banks and away from taxpayers, part of a broader effort by government to address what some observers say is an overheated housing market…