B.C. Personal Mortgage Corporations: What Mortgage Brokers Need to Do Before May 29, 2026

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If you are a B.C. mortgage broker who operates through an incorporated company, the new Mortgage Services Act creates a clearer path for that structure. It also creates some important deadlines.

For years, many mortgage brokers have used personal corporations to receive remuneration, manage expenses, and plan their income. Under the current Mortgage Brokers Act, those corporations often had to be registered as mortgage brokerages even where, in practice, they were not operating as full mortgage brokerages. The new personal mortgage corporation framework is designed to better reflect that reality.

The key point is this: if your personal corporation is currently registered with BCFSA as a mortgage brokerage, you may be able to wind up that brokerage and later transition the same corporation into a licensed personal mortgage corporation (a “PMC”). To access BCFSA’s transition measures, certain steps should be completed by May 29, 2026.

What is changing?

The Mortgage Services Act, or MSA, comes into force on October 13, 2026. When it does, it will replace the Mortgage Brokers Act and introduce a new licensing framework for mortgage services in British Columbia.

One of the new features is the ability for eligible mortgage brokers and principal brokers to provide mortgage services through a licensed personal mortgage corporation. This is similar in concept to personal real estate corporations used in the real estate industry, but with its own mortgage-services rules and BCFSA licensing requirements.

Starting October 13, 2026, a broker who wants to receive remuneration through a personal mortgage corporation for the provision of mortgage services will need the PMC license in addition to their individual license.

Who should be paying attention now?

This article is most relevant if you are a mortgage broker who already has a corporation that is registered with BCFSA as a mortgage brokerage, but the company is really being used as your personal corporation rather than as a full-scale brokerage business.

That existing corporation may be capable of becoming your personal mortgage corporation if it meets the MSA requirements. However, the transition steps and timing matter.

The May 29, 2026 Deadline

BCFSA has identified a transition pathway for mortgage brokers in this situation. If you want to access the transition measures, BCFSA says the required activities and the PMC Acknowledgement Form must be completed by May 29, 2026.

If you miss that date, you may still be able to apply for a PMC after the MSA comes into force. However, BCFSA has indicated that the Acknowledgement Form process, prorated refunds, and the additional time to bring the corporation’s legal name into compliance will not apply.

The practical steps before May 29, 2026

For an existing personal corporation that is currently registered as a mortgage brokerage, the current BCFSA transition materials point to three practical steps:

Transfer your registration. Apply to transfer the license, where applicable, so the individual broker’s licensing is properly aligned with the brokerage they will continue to work through.
Wind up your existing mortgage brokerage registration. Wind up the existing mortgage brokerage registration for the personal corporation. File a Form 17 (Wind-up of a Mortgage Broker) via IRIS. Your personal corporation will remain registered with BC Registries. You’re winding up the brokerage registration, not dissolving the company.
Submit the Acknowledgement Form. Submit the signed PMC Acknowledgement Form to BCFSA through IRIS with the required wind-up and final filing documents.

These steps are regulatory steps, but they can have corporate, tax, and business consequences. Before taking them, you should confirm that your company structure, share ownership, assets, and intended future use of the corporation fit the PMC requirements.

What your corporation will need to look like as a PMC

A personal mortgage corporation must satisfy specific corporate attributes under the MSA Regulation. In plain terms:

The corporation must be a B.C. company or an extraprovincial company under the Business Corporations Act.
All voting shares must be owned by one controlling individual.
The controlling individual must be the sole director and president of the corporation.
Non-voting shares, if any, may only be owned by the controlling individual or an affiliated person, such as certain family members or permitted related entities such as a corporation or trust wholly owned by the controlling individual.
The PMC and the controlling individual must be licensed at the same level, in the same mortgage service categories, and with the same brokerage.

For brokers who already have a corporation, this means the existing company should be reviewed before the transition steps are completed. Share classes, shareholders, directors, officers, and any holding company or family ownership arrangements may need to be updated.

What about the company name?

Under the MSA, the legal name of a PMC must include the corporation’s name approved by BCFSA and the full words ‘personal mortgage corporation’. Abbreviations such as ‘PMC’ are not enough, and no other words or phrases are permitted.

For example, BCFSA has indicated that a name such as Jane Doe Personal Mortgage Corporation is likely to align with the expected naming convention, although the broker’s legal name is not strictly required.

That said, existing corporations using the transition pathway should be careful about timing. BCFSA’s materials indicate that brokers can reserve the PMC name before October 13, 2026 through BC Registries. BC Registries will reserve an applicant’s name for 56 days upon conditional approval of the name. We recommend that licensees begin the name reservation process up to a month before October 13, 2026.

If the May 29, 2026 transition requirements are completed, the corporation may receive additional time to change its legal name so that the name complies by the first license renewal date under the MSA.

It’s worth noting that both BC Registries and BCFSA have their own name approval processes. A conditional name approval from BC Registries does not guarantee BCFSA will approve the name for your PMC.

What if the corporation holds other assets?

A PMC is intended to be personal and focused on mortgage services. BCFSA’s guidance says a PMC must not conduct any business other than providing mortgage services and ancillary services directly associated with providing mortgage services.

That restriction can matter if your existing corporation holds real estate, investments, insurance policies, or other business assets. Holding an asset is not always the same as carrying on a separate business, but these situations should be reviewed carefully before the corporation is converted or positioned for PMC licensing.

If your corporation holds real property or other non-mortgage-service assets, you should speak with your accountant and legal advisor early. In some cases, it may make sense to transfer beneficial ownership or restructure assets into a separate holding company before the PMC process moves forward. Tax advice is essential before any transfer is made.

How Bell Alliance Can Help?

The transition from the old act to the new act involves corporate restructuring, regulatory filings, and decisions that have real tax and operational consequences. BCFSA itself recommends obtaining professional legal and accounting advice when considering whether to incorporate, amend your corporate structure, change share ownership, or dissolve a company.

At Bell Alliance, we regularly help mortgage brokers and other regulated professionals with exactly this kind of work. We can assist with:

Reviewing your existing corporate structure to determine whether it qualifies as a PMC under MSA, and identifying any changes needed to meet the structural requirements (share ownership, director appointments, articles of incorporation).
Restructuring your corporation to comply with the PMC requirements, including amending articles, reorganizing share classes, and updating BC Registries filings.
Coordinating with your accountant on the tax implications of any restructuring, including the transfer of real property or other assets out of the corporation.
Navigating the naming process through both BC Registries and BCFSA once name reservations open after October 2026.
Ongoing corporate maintenance as your PMC operates under the new regime.

We’re ready to start working with you now. Whether you’re trying to meet the May 29, 2026 deadline or planning ahead for the October transition, the sooner you get your corporate structure reviewed, the more options you’ll have.

As early as a month before October 13, 2026, we can also help with the next stage, including the name reservation and corporate name change process, once the PMC naming process is available, and with the corporate documents needed to support the PMC license application.

A Simple Timeline

Timing	What to do
Now to May 29, 2026	Review your corporation, get legal and accounting advice, apply to transfer the license where needed, wind up the existing brokerage registration, and submit the PMC Acknowledgement Form.
May 29, 2026	Target deadline to complete BCFSA’s transition pathway for existing personal corporations registered as brokerages.
Now until October 13, 2026	Complete any corporate clean up and restructuring if needed to meet the MSA requirements
A month before October 13, 2026	Commence reserving the PMC name with the BC Registry (only valid for 56 days once conditional approval is received).
October 13, 2026	The Mortgage Services Act comes into force. PMC licensing and name approval steps begin.
After October 13, 2026	Complete any required legal name change with your lawyer and through IRIS and apply for the PMC license through BCFSA.

The Bottom Line

The new PMC framework is good news for mortgage brokers who want a regulated, purpose-built way to operate through a personal corporation. But the transition is not automatic. Existing personal corporations should be reviewed now, especially where the company has multiple share classes, family or holding company ownership, real estate, investments, or other assets.

If you are a B.C. mortgage broker operating through an incorporated company, Bell Alliance can help you understand your options, prepare your corporation for the new rules, and coordinate the legal steps needed before the May 29, 2026 transition deadline.

Suggested call to action

Have questions about converting your existing mortgage broker corporation into a personal mortgage corporation? You can contact Manjote Phull at mphull@bellalliance.ca or call 604.873.8723 ext. 151. We can review your structure, work with your accountant, and help you prepare for the MSA transition.

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