You’ve made your payments.
You’ve built equity.
You assumed renewal was automatic.
In Ontario, that assumption is no longer safe.
The good news?
A bank refusal does not mean you’re out of options.
Why Banks Are Refusing Mortgage Renewals in Ontario
Banks are declining renewals more often — even for long-time borrowers — due to:
stricter stress test rules
income re-verification at renewal
self-employed or commission income
property value reassessments
higher household debt ratios
internal risk limits changing
Many borrowers hear:
“You no longer qualify under our guidelines.”
That doesn’t mean the mortgage itself is unsafe — it means the bank’s model changed.
What Happens If a Renewal Is Refused?
If you do nothing, several things can happen quickly:
your mortgage may move to a high-interest open term
payments can increase immediately
penalties and fees may apply
default notices can follow if timelines are missed
Waiting for the bank to “reconsider” often makes the situation worse.
Your Real Options After a Bank Refusal
When a renewal is refused, Ontario homeowners typically have three paths:
1. Refinance with Another Traditional Lender
This can work — but approvals are slow and underwriting is just as strict.
2. Sell the Property
Often unnecessary, rushed, and costly — especially under time pressure.
3. Use a Private Mortgage as a Backup or Bridge
This is where most successful outcomes happen.
How Private Mortgages Solve Renewal Refusals
Private lenders focus less on income formulas and more on equity and property strength.
They typically assess:
current property value
loan-to-value (LTV)
location and marketability
a clear exit plan (refinance or sale later)
This allows funding to happen fast, often before penalties or defaults occur.
Private financing is usually short-term, designed to stabilize the situation — not trap borrowers.
How Lendworth Helps When Banks Say No
Lendworth specializes in helping Ontario homeowners after a bank refusal, not after it’s too late.
Borrowers work with Lendworth to:
replace a refused renewal quickly
avoid open-term rates and penalties
consolidate arrears or other debts
buy time to refinance properly later
Because approvals are equity-based, not income-boxed, many borrowers qualify even when banks won’t.
You can start the process directly at:
Speed Matters More Than Rate Right Now
Many borrowers focus only on interest rates.
But after a renewal refusal, the real risks are:
missed deadlines
legal escalation
forced refinancing
unnecessary loss of equity
A fast solution done on your terms almost always protects more value than waiting.
The Bottom Line
A refused mortgage renewal does not mean you’ve failed as a borrower.
It means the lending landscape changed — and you need a lender that works in today’s reality.
If your bank refused your renewal, time is your biggest variable.
Bank refused your mortgage renewal in Ontario?
You still have options — but they won’t last forever.
📞 Call Lendworth today or apply at www.lendworth.ca/borrow to explore fast, private mortgage solutions designed to protect your home and give you back control.