Trusted Tips and Resources

Trusted Tips & Resources

Tammy Wandzura a Trusted Saskatoon Mortgage broker expert shares an important tip on Firstline Mortgage

Purchasing your home is one of the biggest and most important decisions that you can make. Tammy Wandzura your Trusted Saskatoon Mortgage broker and the team at Elite Mortgage Choice  believe that buying a home should also be an exciting experience with little to NO stress. By trusting your Mortgage Broker, you are ensuring that any stress you may have had in previous encounters can be eliminated!

Tammy truly believes that all you should have to worry about is opening the door to your new home for the very first time.. Heres Tammys Latest Tip

TOPIC: Firstline Mortgages

As you may have heard in recent news reports-and my recent updates via email and Facebook, Firstline Mortgages, which was initially put up for sale, has decided to wind down its mortgage operations.

This took many of us in the industry by surprise.

I want to provide you with a brief synopsis of developments and assure you that I will continue to advocate the best mortgage solution to meet your financial goals. The main reason for our surprise was that at one point Firstline was the largest wholesale mortgage lender in Canada and is a division of CIBC. Many of us in the industry, at some time in our careers, have either worked for Firstline or have worked with Firstline offering their mortgage products to the market. CIBC has made a number of strategic decisions over the years to increase its business by cross selling products to its customer base. Firstline clients fell outside of that opportunity.

The Globe and Mail reported on June 2/2012: " One of the strategies CIBC has announced is to stop selling mortgages through brokers, CIBC has put its mortgage broker business Firstline up for sale in hopes of increasing ts profit margins by writing the loans through its branch network, rather than paying commissions to middlemen. Analysts admit it's a risky move" And the Financial Post reported on June 20/12: CIBC said "Once this process is complete, we plan to increase renewals into our CIBC brand from the Firstline platform over time. Benefits of this will include higher net interest margins and deeper relationships as these clients enter into CIBC branded channels."

While more lenders have been entering the broker channel this past year, CIBC has chosen to go in the opposite direction. A key value I offer to you is market choice and that proposition still holds true today.

In that same Financial Post article, CIBC also said: The bank stressed that while no new Firstline Mortgages will be issued after the end of next month, "we will continue to service these clients and mortgages-but in the future through CIBC's branch network" " In support of this objective we are emphasizing our CIBC branded channels where we have an opportunity to deepen client relationships, have higher levels of client satisfaction and better net interest margins. Our Firstline brand does not support this strategy as the broker channel resulted in primarily single product client relationships, thin margins and lower levels of client satisfaction given the transactional nature of the relationship."

One of the reasons I selected this lender for clients in the past is because is was the best mortgage option for you. In the above announcement the term "net interest margins" imply profitability for the bank. This could be a form of additional cross selling, reducing cost or charging higher interest rates. Our responsibility is with respect to your mortgage and ensuring that mortgage is ideally suited for your unique needs. I am hearing from many concerned clients who are wondering how their mortgage will be affected in coming months. Your mortgage is safe-secure and in good hands with CIBC. I have my personal mortgages & family mortgages with Firstline- and will be looking to restructure them as rates lower elsewhere- or upon renewal. It is simply the branding that is changing--as Firstline was always a division of, and owned by CIBC.

Please note that Firstline's website:  states "When your mortgage approaches maturity, you will receive information from us about your renewal options with CIBC. Our team at CIBC has been working to meet your needs since you first applied for your mortgage with Firstline, and we will continue to do so in the future"

Please note that Firstline has cut off the access and  ability to contact them directly to assist you with questions or your renewal. Many of you have signed client consents that CIBC is not accepting or honoring. They want to talk to you directly and will want to convert your business to CIBC. I am not certain of the rate or product that they will offer you If you are contacted by Firstline or if you have any need to contact them directly, it would be prudent to contact me first to advise you about all of your options before agreeing to anything that may be offered.

Rest assured your current mortgage is secure

Call Tammy Wandzura today at 933.3386 for all of your Saskatoon mortgage needs OR visit

Make an appointment with Tammy Wandzura at TMG, 506 Queen Street or check out her listing on the SASKATOON DIRECTORY in the SASKATOON MORTGAGES Category..she is a Trusted SASKATOON MORTGAGE BROKER Expert!     

Listen to Tammys current Radio ad here!



Stay Trusted my friends ..SAFE and TRUSTED of course

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129 21st St E #400
Saskatoon, SK   S7K 0B2
Ph: 306.244.4150


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