{July 31, 2006} VICTORIA –  The Business Practices and Consumer Protection Authority (BPCPA) is advising that Part 5, Disclosure of the Cost of Consumer Credit, in the Business Practices and Consumer Protection Act, together with the related regulation, was brought into force on July 1, 2006.

Part 5 requires lenders to disclose all the fees they charge when they loan money or grant credit and allows consumers to directly compare different loans. It only applies to consumer credit, that is, credit to individuals for personal, family or household purposes, including mortgages and leasing consumer goods, and it does not apply to commercial borrowers and private lending arrangements, except where a loan broker is involved.

Mortgage Brokers affected by these changes should review the information available on the Financial Institutions Commission of BC (FICOM) website a www.fic.gov.bc.ca .