B-Lender Mortgage
in Canada —
when the bank says no.
A B-lender is a regulated mortgage lender with common-sense underwriting — the first stop beyond the Big-6 for bruised credit, self-employed income and tight ratios, at a modest rate premium and with an exit back to A-lender pricing.
A B-lender mortgage in Canada comes from a regulated non-bank institution — Home Trust, Equitable Bank, Haventree, MCAN, Community Trust — that approves files banks decline: bruised credit from ~500, self-employed income, tight GDS/TDS ratios. Rates run roughly 0.5–1.5% above prime-bank pricing. B-lenders are a bridge, not a destination — exit to A-pricing typically takes 12–24 months.
Four reasons B-lenders
work when banks don't.
A B-lender is a regulated institution, not a shadow lender. Bank-style processes, relaxed underwriting — and a clear plan to move you back to A-pricing.
Close in ~21–35 days
B-lender files run bank-style processes — full electronic intake, similar documents to an A-lender. Most standard files close in about 21–35 days, close to prime timelines and far faster than private financing.
Beacon scores from around 500
Many B-lenders work with bruised credit on owner-occupied files with at least 20% down or equity. A higher score earns better pricing and more lender choice — but bruised credit alone won't rule you out.
Self-employed income accepted
B-lenders accept self-employed income tested for reasonableness, dividends, retained earnings and commission — where A-lenders want two full years of T4s and clean NOAs. One year of income works at some programs.
Back to A-pricing in 12–24 months
A B-lender mortgage is a bridge, not a destination. We set the refinance trigger at funding and monitor your file — the day you qualify for A-pricing, we move you. Typically 12–24 months after funding.
Best B-lenders in Canada —
who they are and what they do best.
Each B-lender has a different appetite — the lender we place you with matters as much as the product.
| Lender | Known for | Min. credit | Profile |
|---|---|---|---|
| Home Trust | Self-employed income, bruised credit, owner-occupied | ~550 | View |
| Equitable Bank | Condos, new-to-Canada, alternative income | ~560 | View |
| Haventree Bank | Credit recovery, discharged proposals, GDS flexibility | ~500 | View |
| MCAN Mortgage | Rental income, commission borrowers, investment properties | ~550 | View |
| Community Trust | Newcomers to Canada, non-traditional income | ~500 | View |
Not all lenders are available in all provinces. Approval criteria and minimum credit scores vary by program and are illustrative. See all lender profiles · Private lender options.
Intake to funding —
three steps.
Honest assessment first. Right lender second. Exit plan at funding. That order matters.
Tell us the real story
Income, credit, the reason the bank declined, and your equity. 15-minute intake, no bureau pull to begin — we'll tell you honestly whether a B-lender fits or whether A or private is the better call.
Match the B-lender
Each B-lender has a different appetite — one loves self-employed, another flexes on credit, another prices condos well. We place your file with the one most likely to say yes at the sharpest rate, and disclose the rate, term and any fee in writing.
Fund + plan the exit
Files typically close in ~21–35 days. Then we monitor your credit and income and refinance you back to A-lender pricing the moment you qualify — usually 12–24 months.
We've seen your file
before. Here's the path.
Tap any situation below to see how we approach it.
If you’re…The bank declined: only one year of self-employed income
The bank declined: only one year of self-employed income
Most A-lenders want two full years of T1 Generals and NOAs. B-lenders test your income for reasonableness and accept dividends, retained earnings or one year of income at some programs — getting you funded now, with a clear path back to A-pricing once the second NOA lands.
See if a B-lender fitsIf you’re…Bruised credit — a few late payments or an old collection
Bruised credit — a few late payments or an old collection
B-lenders work with Beacon scores from around 500 on owner-occupied files with 20%+ equity or down payment. We know which B-lender is most lenient on your specific credit story and which ones price the risk most competitively.
Explore B-lender optionsIf you’re…Your GDS or TDS ratio is tight under the stress test
Your GDS or TDS ratio is tight under the stress test
If your debt-service ratio is tight at A-lender qualifying rates, a B-lender may still fund — with a 30-year amortization on uninsured files for cashflow relief, or by reading your income story differently. We model every path before you commit.
Run my ratiosIf you’re…Discharged from a consumer proposal in the last 24 months
Discharged from a consumer proposal in the last 24 months
Many B-lenders will fund 12–24 months after discharge, with re-established credit and equity. We set the exact qualification threshold at intake — no guesswork, no wasted bureau pulls — and map the exit back to A-lender pricing.
See post-proposal optionsIf you’re…CRA debt needs to be cleared to close the deal
CRA debt needs to be cleared to close the deal
A B-lender refinance can consolidate CRA debt at closing, clearing the balance and resetting the file. We structure the refinance so the lender sees a clean post-close position and you get the equity relief in one step.
Explore CRA debt optionsIf you’re…Real income exists but doesn't show on your T4
Real income exists but doesn't show on your T4
Dividend income, retained corporate earnings, commission or contract income that A-lenders discount heavily can all qualify at B-lenders — tested for reasonableness against bank statements and business financials, not just your T4 line.
See self-employed optionsB-lender vs. A-lender
vs. private.
Where a B-lender sits between the bank and private capital. Figures are illustrative — confirmed in writing before you commit.
| Dimension | A-lender (bank) | B-lender ✓ | Private / MIC |
|---|---|---|---|
| Qualification | Full income + strong credit; stress-tested | Flexible income, Beacon from ~500; federally regulated B-lenders still apply the stress test | Equity-first; credit/income secondary |
| Typical rate | Lowest — best-rate market | ~0.5–1.5% above A + ~1% lender fee (illustrative)* | Higher — 25 largest MIEs averaged ~9.6% on single-family loans in Q3 2025* |
| Speed | Weeks | ~21–35 days | ~7–14 days |
| LTV | Up to 95% insured | Up to ~80% | Typically up to ~65–75% on a first mortgage (equity-based) |
| Best for | Strong, straightforward files | Bruised credit, self-employed, tight ratios | Speed, or files B won't touch |
Illustrative only — rates move with the market and vary by file. Private average sourced to CMHC Residential Mortgage Industry Report Q3 2025 (top 25 MIEs, single-family). B-lender and A-lender ranges are our rate desk’s read, not a quote. Full alternative lending overview.
Common questions,
clear answers.
Rates, fees, credit scores, timelines and the exit — answered plainly.
What is a B-lender mortgage?
A mortgage from a regulated non-bank lender (Home Trust, Equitable Bank, Haventree, MCAN, Community Trust, RFA) that approves files the Big-6 banks decline — accepting flexible income and bruised credit at a modest rate premium. It sits between A-lenders and private lenders and is meant as a temporary step back to A-lender pricing.
What are B-lender mortgage rates in Canada?
Illustratively, roughly 0.5–1.5% above A-lender pricing, plus a lender fee around 1% on many programs. Ranges move with the market and vary by file; we confirm your exact rate in writing before you commit. That’s cheaper than private financing: the 25 largest private MIEs averaged about 9.6% on single-family files in Q3 2025, per CMHC.
How is a B-lender different from a private lender?
A B-lender is a regulated institution with bank-style processes and relaxed underwriting; it closes in about 21–35 days and prices just above A-lenders. A private lender is a MIC or individual lending on equity, faster (about 7–14 days) but more expensive. B is the usual first stop; private is for speed or files a B-lender won’t touch.
What credit score do I need for a B-lender?
Many B-lenders work down to roughly a 500 Beacon score on an owner-occupied file with at least 20% down or equity. A higher score earns better pricing and more lender choice, but bruised credit alone won’t rule you out — see our bad credit mortgage guide.
How fast can a B-lender close?
About 21–35 days on a clean file — nearly A-lender speed. Most B-lenders run full electronic intake with no in-branch visit; documents are similar to an A-lender file.
Is there a broker fee on a B-lender mortgage?
On most standard B-lender files, no — the lender compensates the brokerage, so the service is free to you. A few specialty B-lender programs carry a small broker fee (typically 0.5–1%), always disclosed in writing before you commit.
Can I get out of a B-lender mortgage?
That’s the plan. We set a refinance trigger at funding and monitor your file, then move you back to A-lender pricing as soon as you qualify — usually 12–24 months, once credit, income or a proposal/bankruptcy discharge milestone is met. In our experience, the savings on the exit refinance can offset much of the B-lender premium; your numbers will differ.
Can I get a B-lender mortgage if I’m self-employed?
Yes — this is one of the most common B-lender files. They test self-employed income for reasonableness and accept dividends, retained earnings and, at some lenders, one year of self-employment where a bank wants two clean years of T1s. See our self-employed mortgage playbook.
We’ll try to beat your rate.
If we can’t, we pay you $500.¹
¹ Rate Beat: eligible Big-6 bank written offers only · same product, term & amount · $500 paid to you or your nominated charity at closing · conditions apply
Find a specialist in your city
B-lender files are placed by brokers who know which lender best fits your credit, income and property story. Our advisors serve borrowers across Ontario and Canada.