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FINTRAC (the Financial Transactions and Reports Analysis Centre of Canada) is Canada’s financial intelligence unit. It requires mortgage brokers and lenders to meet anti-money-laundering (AML) obligations — client identification, record-keeping, and reporting of suspicious transactions.
Mortgage brokers and brokerages are reporting entities under Canada’s anti-money-laundering law, which means they must verify and keep records of client identity, understand the source of funds for large or unusual transactions, maintain a compliance program, and file reports with FINTRAC when a transaction looks suspicious or meets reporting thresholds.
FINTRAC’s mandate is distinct from provincial licensing regulators like FSRA, BCFSA, RECA, and the AMF — those bodies govern who can practise and how they conduct business; FINTRAC governs how the industry helps detect and deter money laundering and terrorist financing, federally, regardless of province.
Brokers are reporting entities: mortgage brokerages must register with FINTRAC and maintain a documented AML compliance program.
Client ID verification: brokers must verify and record client identity using government-issued ID or other approved methods before certain transactions.
Suspicious transaction reporting: brokers must file reports with FINTRAC when a transaction raises money-laundering or terrorist-financing concerns.
Federal and provincial rules stack: FINTRAC’s AML obligations apply on top of — not instead of — provincial licensing and conduct rules.
Definitions reflect Canadian federal and provincial rules as of the “Updated” date above. Not advice for any specific file.
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