A real estate broker and private lender who has purchased stolen personal information Desjardins group is the subject of two complaints to the acquisition of data and be placed in a conflict of interest.
The trustee of the discipline committee of the Organisme d’autoréglementation du courtage immobilier du Québec (OACIQ) has started proceedings against Mathieu Joncas last spring.
This mortgage broker and private lender of 34 years is at the centre of a network of smaller financial of Québec who have bought a part of the stolen information to Desjardins group, as was revealed in our Office of investigation in October.
The trustee accused him of having bought as soon as “2016 or 2017″ lists of potential clients containing confidential information. And this, ” without bothering to ensure that they had consented to the transmission of their personal data “.
The trustee acknowledges also Joncas have submitted these lists to another broker to solicit potential customers and not to have collaborated in its survey, conducted last October.
Conflicts of interest
In a second complaint, the guard dog of the real estate brokerage accuses Joncas to be placed in a conflict of interest by acting as both a mortgage broker and as a private lender, from 2017 to 2019.
A broker must work in the best interests of the borrower, obtaining a loan for him where the best conditions are available.
Joncas has instead directed his clients to his own company of private loans, according to the trustee. With at least a dozen borrowers, it has therefore affected not only the costs of the commission through its brokerage agency, but also interest and management fees through his firm of the loans, a numbered company doing business under the name of Guaranteed Capital.
Jacques Julien, a resident of Saint-Henri, in Bellechasse, still has to pay interest for three and a half years after having contracted a loan of 18 895 $ with the private lender and mortgage broker Mathieu Joncas.
This enterprise, which holds a permit from the OACIQ, has received brokerage fees from the customers to whom it has lent money, another prohibited practice.
Again, the trustee alleges Joncas of not having cooperated in the investigation, refusing to transmit all documents and information that it has requested in February last.
30 % interest
According to several of the borrowers that has contacted our Bureau of investigation, the firm Joncas practice interest rate of approximately 30 %, much higher than those of the cards of crédit3.
In addition to pocketing tens of thousands of dollars in interest on the loans that it grants, Joncas also requires generous commissions on loans that it negotiates for its clients from banks, which may exceed 5 %.
Generally, the mortgage brokers are paid by the financial institutions and therefore do not require any amount to the borrowers.
- 4.2 million people, or all of the individual clients of Desjardins, have been affected by the theft of confidential data unveiled last year.
Took it to the throat with interest huge
When Mathieu Joncas has contacted Jacques Julien and Mélanie Rioux, they were ” backed into a corner at the foot of the wall “. They had to at any cost renegotiate their debt : credit cards, debt on their truck…
“It happened to us with a solution that seemed to us to be correct,” said Jacques Julien, Saint-Henri, in Bellechasse. At the notary, it was there that we realized that he charged 30 % interest, and that, in fact, it was a loan closed. If I wanted a refund I had to pay all the interest that would have been due up to the date of maturity. “
Joncas has made him a cheque of 18 895 $ to repay a debt on a vehicle, at the end of 2016. At the notary, the different “fees” that he has imposed upon the Julien-Rioux, however, have increased the amount of the “loan” to 26 500 $.
From the start, so they have paid fees equivalent to more than 40 % of the amount they borrowed, plus interest of 30 % on the loan.
The couple is still taken for three and a half years to pay Joncas of are much higher than those required by the financial institutions on credit cards classic.
Lender and broker
But this is not all. Joncas also acted as the mortgage broker for the Julien-Rioux. It is he who has found their new bank loan with the Bank of Nova Scotia [Scotiabank].
In the passage, Joncas has served a generous commission : more than 4 % of the amount borrowed to the financial institution, or close to $ 8000, according to the documents that our Office of investigation has been consulted.
It is precisely the subject of the second complaint filed by the trustee of the discipline committee of brokers. They do not have the right to lend themselves to the clients they represent : it is a conflict of interest.
The icing on the cake : Joncas recommends its customers to its partner, the insurance broker Francis Baillargeon-Bouchard, to that they buy insurance on the loan.
The financial markets Authority has started procedures to suspend the licence of Baillargeon-Bouchard, 31 years. He is accused of having paid $ 40,000 to get their hands on the stolen personal data to Desjardins.