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[LENDER UPDATE] Underwriting Policy Clarification
June 8, 2020 | News Releases
LENDER UPDATEUnderwriting Policy Clarification(Download Update)
Canada Guaranty confirms that no changes to underwriting policy are contemplated as a result of recent industry announcements.
Canada Guaranty utilizes a dynamic underwriting process where our underwriting policies are consistently updated to reflect evolving economic environments and emerging mortgage default patterns. This philosophy has resulted in the lowest loss ratio in the industry. Recent insurer announcements relating to down payment and minimum credit score represent a very small component of Canada Guaranty’s business, and we will continue to be prudent in these areas. Given implementation of the qualifying stress test and historic default patterns, Canada Guaranty does not anticipate borrower debt service ratios at time of origination to be a significant predictor of mortgage defaults.
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Please do not hesitate to contact a member of our National Accounts team with any questions.
Thank you,
Mary Putnam
Vice President, Sales and Marketing
Canada Guaranty Mortgage Insurance Company
Telephone: 416.640.8936
Toll Free: 866.414.9109 ext. 8936
E-mail: mary.putnam@canadaguaranty.ca
