I submit that it's not the banks. It's the other consumers who are paying for the relief.
I recommend that we examine what's been happening in banks for other products and other consumers. For example, let's examine chequing accounts that still provide 0% or 0.5% interest in some cases, NSF charges that have gone up and overdraft charges that have gone up. I submit that the banks are not doing this out of the goodness of their hearts and that it's other customers who are subsidizing this relief.
In fact, because OSFI is not allowing uninsured mortgage holders to shop a mortgage at renewal, that's also where some of this margin is being made up. Now, OSFI doesn't allow uninsured mortgagors to shop at renewal, but as part of the mortgage charter, if you're insured, you're allowed to shop at renewal and you don't have to do the stress test.
I don't understand. That is a definite contradiction. I don't know if you have any comments on that contradiction.
OSFI says if you're uninsured, you have to do the stress test at renewal. FCAC and the government say that if you're insured, you can shop and not do the stress test. Am I interpreting that correctly?