Regulatory Statement

Purpose

This Regulatory Statement (Statement) provides the required form for the information statement to lender required under the Mortgage Services Act (MSA), Mortgage Services Regulation (Regulation), and Mortgage Services Rules (Rules).

This Statement comes into effect on October 13, 2026, and repeals all regulatory statements related to this topic under the previous Mortgage Brokers Act.

Background information

Unless an exemption applies, an information statement to a lender is a required disclosure under s.73 of the Rules, whenever a licensee does any of the following:

• arranges a mortgage in which another person is going to be the lender
• arranges a sale of a lender’s interest in a mortgage to another person or
• sells their own interest as a lender under a mortgage to another person

Under section 73(3) of the Rules, the information statement to lender must be in a form approved by the Superintendent of Mortgage Services (Superintendent). This Statement establishes the form and content of the required disclosure.

Requirements

General

The information statement to lender required under s.73 must be disclosed using Form 5 – Disclosure of Information Statement to Lender (Form 5). If the mortgage involves construction/development, licensees must also provide disclosure using Form 5A – Addendum for Construction and Development Mortgages (Form 5A).

Forms 5 and 5A set out the information and documents that are required to be disclosed to prospective lenders (collectively referred to as Form 5 Disclosure). Form 5 Disclosure must be updated and disclosed for all mortgages, including renewals. Licensees must sign and date forms and ensure disclosure is true, plain, and not misleading.

Licensees may also choose to provide disclosure of interests in a Forms Package #2: Disclosure to Represented Lenders or a Forms Package #4: Disclosure to Unrepresented Lenders, as appropriate in the circumstances. For more information on Forms Packages, please see the Disclosures: Representation and Form Packages Regulatory Statement.   

When to provide disclosure

Section 73(2) of the Rules establishes the required timing of Form 5 Disclosure. The required deadlines depend on whether funds are paid into a trust account:

• If the funds are being paid into a trust account, Form 5 Disclosure must be provided on or before the funds are released from the trust as instructed by the other party.
• If the funds are not being paid into a trust account, disclosure must be provided on or before they are advanced by the other party.

In practice, BCFSA recommends that licensees provide Form 5 Disclosure as soon as possible in the mortgage transaction to support transparency and informed consent. For additional guidance on the use of Form 5 Disclosure, visit the Mortgage Services Knowledge Base.

When disclosure is not required

Licensees do not have to provide Form 5 Disclosure if the other person in the mortgage transaction is a permitted person (see definition below).

It also does not apply to a licensee in respect of a mortgage transaction if either:

• The obligation secured by the mortgage is part of a pool of obligations secured by mortgages and an interest in the pool is being offered by the licensee as a security as defined in the Securities Act, and the obligation secured by the mortgage is fully guaranteed by the government of Canada or the government of a province.
• If an offering memorandum or a prospectus has been provided, in accordance with the Securities Act, to the other person.

Definitions

Permitted person: means any of the following:

1. the government of Canada or the government of a province or an agency of any of those governments;
2. a municipality, regional district, public board or commission in Canada;
3. a savings institution;
4. a cooperative credit society as defined in the Cooperative Credit Associations Act (Canada) or a savings and credit union, federation or confederation as defined in the Savings and Credit Unions Act (Quebec);
5. the Business Development Bank of Canada;
6. a pension fund that is regulated by either the Office of the Superintendent of Financial Institutions (Canada) or a provincial pension supervisory authority;
7. an insurance company;
8. a trust company or insurer authorized under the laws of Canada or of a province other than British Columbia to carry on business in Canada or that province;
9. a person registered under the Securities Act or the securities legislation of another province as an investment dealer or equivalent, acting as principal or as an agent or trustee for accounts that are fully managed by it;
10. a person registered under the Securities Act or the securities legislation of another province as a portfolio manager or equivalent, acting as principal or as an agent or trustee for accounts that are fully managed by it;
11. a mutual fund or non-redeemable investment fund, if the investment portfolio of the fund is managed by a person who is registered under the Securities Act or the securities legislation of another province as a portfolio manager or equivalent;
12. a person or trust that acquires mortgages or interests in mortgages for the purpose of offering, as a security as defined in the Securities Act, interests in a pool of those mortgages or interests in mortgages;
13. a subsidiary, as defined in the Business Corporations Act, of a person or entity referred to in any of paragraphs (c) to (l);
14. a person or entity in a foreign jurisdiction that is analogous to an entity referred to in any of paragraphs (c) to (m); or
15. any national, federal, state, provincial, territorial or municipal government of or in any foreign jurisdiction, or any agency of that government.

Approved disclosures

The table below provides the title, form number, and approved version of each disclosure of conflict of interest required under the Mortgage Services Rules. A version history can be found in the Appendix.

Form # and title	Approved form version and effective date	Applicable rules
Form 5 – Disclosure of Information Statement to Lender	V1.0 October 13, 2026	s.73
Form 5A – Addendum for Construction and Development Mortgages	V1.0 October 13, 2026	s.73

​​​Legislation

MSA, s. 8(2)

MSA Rules s. 72

Copies of the legislation are available from www.bclaws.gov.bc.ca

Additional Information

For inquires on conflicts of interest and disclosures, please email msa@bcfsa.ca.

Appendix – Version history

Form 5 – Disclosure of Information Statement to Lender

Version	Effective date range	Description/summary of changes
1.0	Effective as of October 13, 2026	Initial version

Form 5A – Addendum for Construction and Development Mortgages

Version	Effective date range	Description/summary of changes
1.0	Effective as of October 13, 2026	Initial version