A Note to Customers of The Toronto-Dominion Bank

At this time I am unable to represent clients on mortgage loans from The Toronto-Dominion Bank (TD Canada Trust). I have been removed from the bank's list of approved lawyers while they "investigate" some allegedly fraudulent mortgage transactions that had been referred to me by a former client. This person submitted applications to the bank for second mortgages on behalf of other parties. In the applications he under-stated the balance owing on the first mortgages. As the clients were referred to me for legal work, the bank has decided to stop using me for mortgage transactions. I assume that he continues to conduct such transactions through other lawyers.

This treatment is unfair, unethical and unprofessional. In fact the bank only alerted me to the issue after I had submitted a complaint to The Law Society of Upper Canada against their in-house lawyer on the basis that she was withholding information about potentially fraudulent activity. Had I not filed the complaint the bank might never have alerted me to the source of these transactions so I could stop working with the person involved.

The frauds succeeded due entirely to the bank's sloppy mortgage approval procedures. They failed to verify the first mortgage information, or even to request that I do the same. It has to be noted that banks have access to credit information unavailable to lawyers and that they have the power to demand appraisals of properties as a condition of making loans. As a lawyer, I am limited to conducting a title search and checking identification. Nevertheless, The Toronto-Dominion Bank has chosen to place the blame on me although only the bank was in a position to detect and prevent the fraudulent transactions.

The result of the bank's action has been to cause inconvenience and added expenses to my clients and myself.  I have attempted to help my clients obtain compensation for this, but The Toronto-Dominion Bank has refused. This should give you some indication of the service you can expect as a customer of TD Canada Trust.

In order to alleviate these costs, and to shift some of the lost business for the bank's conduct onto the bank itself, I am offering discounted rates to any clients who switch their mortgage from The Toronto-Dominion Bank.  If you have a firm commitment from The Toronto-Dominion Bank, but agree to switch to a different lender, I will complete your transaction at these rates:

Mortgage refinance: $300 plus disbursements and HST

Purchase with one mortgage: $500 plus disbursements and HST

* Disbursements include: title search, title insurance, registration fees and courier charges.