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Calgary Mortgage Broker Explains:

TD Canada Trust

TD Canada Trust is one of Canada’s Big Five banks and provides a wide range of financial services to millions of customers. Among its many offerings, TD Bank’s mortgage products and FlexLine are some of its most popular and sought-after services. Here’s a detailed look into what they offer in residential mortgage lending.

TD Bank of Canada Explained by a Calgary Mortgage Broker

TD Mortgage Products

1. Fixed-Rate Mortgages

Fixed-rate mortgages are ideal for those who prefer consistency and predictability in their monthly payments. With this mortgage type, the interest rate remains unchanged throughout the chosen term, which can be anywhere from 6 months to 10 years.

2. Variable-Rate Mortgages

Variable-rate mortgages have an interest rate that is tied to TD Bank’s prime rate. This means that if the prime rate changes, so will the interest rate on the mortgage. They can be beneficial when the prime rate is expected to decrease but come with the risk of an increasing rate as well.

3. High Ratio and Conventional Mortgages

High ratio mortgages are for homebuyers who have a down payment of less than 20% of the purchase price. These mortgages require mortgage loan insurance. On the other hand, conventional mortgages are for those who can put down 20% or more and do not require this insurance.

Features of TD Mortgages

  • Mortgage Payment Pause: This feature allows homeowners to skip a mortgage payment once a year without incurring a penalty, provided certain conditions are met.
  • Double-Up Payments: Homeowners have the option to double up on their regular mortgage payments anytime without penalty. This helps in paying off the mortgage faster and saving on interest costs.
  • Pre-payment Options: Depending on the mortgage product, TD offers flexible pre-payment options, allowing homeowners to pay off their mortgage sooner.

TD FlexLine

What is FlexLine?

TD FlexLine is essentially a home equity line of credit (HELOC). It allows homeowners to tap into the equity they have built up in their homes to get a credit line they can use for a variety of purposes, from home renovations to debt consolidation.

Features of TD FlexLine

  1. Revolving Credit: Much like a credit card, with a FlexLine, homeowners can borrow, repay, and borrow again up to their credit limit without reapplying.
  2. Variable Interest Rate: The interest rate on a FlexLine is typically tied to TD Bank’s prime rate, which means it can fluctuate based on market conditions.
  3. Flexible Repayment: With FlexLine, homeowners only need to make interest payments monthly. However, they have the option to pay more, including the principal amount, without any penalties.
  4. Easy Access: Funds from the FlexLine can be accessed through checks, ATMs, online banking, or even in-person at a TD Bank branch.
  5. Secure Line Option: This feature allows homeowners to split their FlexLine into variable rate and fixed-rate portions. This way, they can enjoy the flexibility of a line of credit while also benefiting from the predictability of a fixed interest rate on a portion of their borrowed amount.

Collateral Mortgage Registration

Since 2011 TD Canada Trust has exclusively used a collateral charge in place of a standard mortgage charge when registering new mortgages. Sometimes this causes a shock at the lawyer or notary since the document references a rate of Prime + 10%! Unlike a conventional mortgage, a Collateral Charge allows for increased flexibility in borrowing against home equity without the need to refinance. It can be an advantageous tool for homeowners looking to leverage their property’s value for future financial needs. Learn more about TD’s Collateral Charge and how it can benefit you by delving deeper into its intricacies and potential advantages here.


TD Canada Trust continues to be at the forefront of offering innovative and customer-centric mortgage products and solutions. Whether it’s the flexible features of their standard mortgage products or the versatile nature of the TD FlexLine, TD ensures that its customers have a range of options tailored to fit their unique financial needs. As with any financial decision, prospective borrowers should carefully review all options and consult with a financial advisor to ensure they choose the best product for their individual circumstances.