Example: self-employed with HST arrears, refinancing before a lien to keep A-lender pricing

HST arrears are time-sensitive: because HST is collected on the Crown's behalf, unremitted amounts are subject to a statutory deemed trust, and CRA can move to collection steps such as a lien. The window to use the cheapest financing was closing.

The borrower's bank had declined twice — once on the write-down income, once on the arrears — even though the business was healthy and there was no lien on title yet.

Because title was still clean, we moved quickly for an A-lender business-for-self (BFS) refinance rather than an alternative lender. We documented true income from business bank statements and corporate financials with legitimate add-backs, and confirmed via parcel register that no lien was registered.

The refinance was sized to pay the HST balance in full and still had to pass the stress test (as every uninsured refinance at a federally regulated lender does). Funds went from the lawyer directly to CRA at closing, and CRA confirmed a zero balance, all before any lien was registered.

By acting before a lien, the borrower kept the A-lender business-for-self rate that a registered CRA lien would have closed off — clearing the HST balance at the lowest available cost instead of a B-lender or private premium.