Responsible use of social media in mortgage brokerage
Some mortgage brokers and mortgage brokerage firms are active on social media (YouTube, Instagram, Facebook, TikTok, etc.)
Whether they communicate in person or via social media, mortgage brokers must respect all their obligations, including their ethical obligations. They must act with respect, integrity, prudence, diligence, objectivity and discretion.
When using social media, brokers and firms must also comply with the rules governing advertising, representations and client solicitation. These rules apply to all modes of communication, including videos.
Mortgage brokers and firms must be rigorous and restrained in all their representations.
The information provided must be true, verifiable and objective. It must not be misleading
(pdf - 2 MB)Brokers and firms can describe the services they offer as well as the mortgage products they are able to obtain for their clients. However, any ad or other form of representation must not cause confusion. Firms and brokers are prohibited from making representations that state their income or financial performance or that promise results they are unable to obtain.
Advertising must not present a product or service that a broker or firm is unable to offer.
For exemple :
A product or interest rate available to very few clients or only in exceptional circumstances should not be advertised, as this would constitute misleading advertising.
Brokers and firms should never invite anyone to share their personal information on a platform.
Before using social media to pursue their activities, mortgage brokers should first notify their firm and obtain its consent. In turn, the firm should establish clear policies on the use of these platforms by its representatives and employees.
Reminder
A firm is responsible for any injury caused to a client by the fault of one of its representatives in the performance of the representative’s functions. It oversees the conduct of its representatives and ensures that they comply with the Act respecting the distribution of financial products and services and its regulations.
End of the insightSocial media and outside activities
If a mortgage broker pursues an occupation, function or activity, other than the activity of a mortgage broker, that involves dealing with the public via social media, this is likely an “outside activity”. In such a case, the broker must notify their firm in writing and obtain its consent to pursue the activity.
Depending on the nature of the activities pursued, the broker may then have to disclose the activity to the AMF and/or segregate their clienteles.
For more details visit the sections of our website on outside activities for firms and for representatives.