Regulatory Statement

Purpose

This Regulatory Statement (Statement) provides the record keeping requirements for co-brokering under the Mortgage Services Act (MSA), MSA Regulation (Regulation), and MSA Rules (Rules).

This Regulatory 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

The term “co-brokering” may be used in different ways within the mortgage services industry; however, the MSA Rules uses the term “co-brokering” for a particular context. For the purposes of the MSA, co-brokering is when two licensees from either the same brokerage or different brokerages work together on the same side of a mortgage or mortgage transaction to provide services to a common client.  

When licensees enter co‐brokering arrangements with other licensees, they are sharing responsibility with the other licensee to ensure compliance with regulatory requirements, including required disclosures.

Sections 60 and 61 of the Rules establish co-brokering requirements, including that co-brokering may only be done between licensees and never with an unlicensed person. The rules also establish that licensees who co-broker a mortgage transaction are equally responsible for complying with all requirements under the MSA, Regulation, Rules and any other applicable legislation. For more information on co-brokering, see BCFSA’s Mortgage Services Knowledge Base.   

Section 105 of the Rules sets out the record‑keeping requirements for co‑brokering transactions. If a licensee co-brokers a mortgage or mortgage transaction, their mortgage brokerage must prepare and retain a record that contains the information required by the Superintendent. Although BCFSA does not prescribe a specific form, this Statement outlines the information that must be recorded in respect of each co‑brokering transaction.

Requirements

Mortgage brokerages must keep and securely store all relevant records related to their services. This includes protecting records against all risks of loss, destruction and unauthorized access, use, or disclosure. Mortgage brokers must promptly provide relevant records to their Principal Broker. Promptly generally means doing something without delay, considering the circumstances.

If a licensee co-brokers a mortgage or mortgage transaction, the brokerage must prepare and keep a record that contains the following information:

• Documentation that identifies the transaction as co-brokered,  
• The date of transaction, 
• Name of each licensee in the co-brokering transaction, 
• Brokerage name and address of each licensee, 
• Client(s) names,   
• Mortgage amount ($),   
• Address of the subject property, and  
• Co-brokering fee received by each licensee in the transaction, and the method with which that fee payment was made.  

As with any other mortgage transaction, licensees engaging in a co‑brokering transaction must ensure that all required records are maintained. While the co‑brokering transaction is carried out by licensees working together to provide mortgage services to a common client, the obligation to maintain records rests with each licensee’s brokerage. Accordingly, each brokerage must maintain the records required under the Rules in respect of its licensees.

In a co-brokered transaction, both mortgage brokerages are responsible for providing the required disclosures and maintaining mortgage records for at least 7 years after the last transaction in respect of the mortgage. Brokerages must keep all written disclosures and service agreements. More information on record keeping requirements and disclosures can be found on BCFSA’s Mortgage Services Knowledge Base.  

Legislation

Rules s. 60, 61 and 105

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

Additional information

For inquiries respecting record keeping requirements, please email msa@bcfsa.ca.