Personal Finance

banking impact on new mortgage

  • Last Updated:
  • Jul 5th, 2021 4:17 pm
Mar 28, 2021
19 posts

banking impact on new mortgage

I have been keeping a premium chequing account and a visa card with BMO for many years.
I've kept minimum balance in the chequing account so they won't charge me fee on that account and Visa (I know.. not greatest use of money).

I'm actually thinking of closing out both accounts for a while as I found other banks to be more useful. However, I do need to get a new mortgage in the coming year.

Does anyone know with my current status with them, would I get any preferential mortgage rates with them? Or it's not worth while and I should just close both of them now?
5 replies
Sr. Member
User avatar
Dec 20, 2017
848 posts
It depends how large your mortgage is. Over $1M or under? If over $1M, most banks will usually auto qualify/introduce you to their private banking team. PB accounts with BMO are free and you do get a discount on mortgage, along with other credit facilities / waived fees. Shopping around for mortgages yourself will result in multiple credit hits though.

If under and you're going through a mortgage broker, then it doesn't really matter. You'll only take 1 credit hit for the application across multiple lenders.
💳 Collected: RBC VIP for Private Banking, TD VIP, BMO VIP, HSBC Premier WE MC, Amex PP, Amex BP, Amex BG, Amex Cobalt, BMO WE MC, CDC Indigo
Nov 24, 2019
441 posts
If you're willing to do any sort of rate shopping whatsoever, then I'd bet that there's a 0% chance BMO be the best whether you have your premium chequing account still open with them or not. In which case I'd close the account and move on.
Deal Addict
Dec 22, 2007
1577 posts
why would you go with a bank when you see 1.49% advertised in the paper? Personally I had great service with BMO at the branch I goto but their credit cards are meh and so were the investments they push. personally just went with whom ever got me the best deals so have the below

banking: Scotia w/momentum credit card (waived annual fee)
credit card(s): amex cobolt, triangle, brim
investments: self at questrade
mortgage: CMLS had lowest rate at the time (other lenders did as well)
savings account: CTFS @ 1.55%

I guess what I'm trying to say is bundling doesn't work in your favour most of the time.

Do have a friend that got a better deal for a BMO mortgage via the investment arm of BMO. Sorry don't have all the details but I do think it is available to all.
Mar 28, 2021
19 posts
No, I don't have anyone that happened to get a really good rate from BMO. But I thought I check with you guys.

Thanks for all the comments. I'm planning to close the accounts with BMO.
Deal Addict
Feb 17, 2015
1124 posts
Windsor, ON
I have chequing savings PLOC two CCs with them and they wouldn't beat CIBCs 1.80% 5 years closed, Scotia beat them as well lol, nevertheless they haven't gave me any issues and because I have so many credit products with them might as well stay with them lol