Below is a realistic, no-nonsense breakdown of the best banks in Canada to refinance with — and the smart next move if the bank says no.
The Best Canadian Banks to Refinance With (2026)
1. RBC Royal Bank
Best for: Strong credit, stable income, low debt
Why: Competitive rates and strong refinancing options
Reality check: Extremely strict stress test and debt ratios
✔ Good option if you’re salaried with clean finances
✘ Tough for self-employed or equity-heavy borrowers
2. TD Canada Trust
Best for: Long-term homeowners with solid history
Why: Flexible amortizations and refinance programs
Reality check: Conservative appraisals and income review
✔ Works well for renewals
✘ Often declines cash-out refinances
3. Scotiabank
Best for: Insured or near-insured loans
Why: Competitive refinance products
Reality check: Sensitive to credit and utilization
✔ Can be strong with CMHC-style profiles
✘ Less forgiving if your credit dipped recently
4. BMO
Best for: Traditional borrowers with predictable income
Why: Straightforward refinance structures
Reality check: Low tolerance for complexity
✔ Simple files get approved
✘ Multiple properties or private debt = decline
5. CIBC
Best for: Long-standing banking clients
Why: Relationship-based lending
Reality check: One of the strictest stress tests
✔ Loyal customers may benefit
✘ New clients face higher barriers
Why Banks Are Saying “No” More Often in 2026
Even if your home value is strong, banks may decline because of:
❌ Stress test failure
❌ Self-employment income
❌ High total debt load
❌ Recent credit issues
❌ Short timelines or urgency
❌ Non-traditional properties
❌ Private or second mortgages
Important truth:
👉 A bank decline does NOT mean your refinance isn’t possible.
If the Bank Says No — Call Lendworth
At Lendworth, approvals are based on property equity — not bank checklists.
Why Borrowers Switch to Lendworth:
✅ Equity-based approvals
✅ Bad credit OK
✅ Self-employed friendly
✅ Fast decisions (often same day)
✅ First & second mortgages
✅ Debt consolidation & cash-out refinancing
✅ Short-term bridge solutions while you fix bank issues
Banks lend on rules.
Lendworth lends on reality.
Smart Strategy Most Homeowners Miss
Many of our borrowers do this:
Refinance short-term with Lendworth
Consolidate debt or resolve issues
Improve credit & cash flow
Refinance back into a bank later — stronger than before
💡 Private lending isn’t failure — it’s a strategy.
Final Word: Don’t Let a Bank Decide Your Financial Future
If your bank approved you — great.
If they didn’t — you still have options.
📞 Call Lendworth today
🌐 Apply online at lendworth.ca
Your equity deserves more™