September 29, 2025
When you renew or refinance your mortgage and FCT (First Canadian Title) is the title-insurance provider, their role is to help your lender and lawyer/notary complete the deal smoothly: verifying title, coordinating payout/discharge requests to your old lender, and ensuring the new mortgage is registered correctly. Title insurance itself protects you and the lender against certain title-related risks (for example, defects, liens, fraud) and is typically a one-time premium that lasts as long as you own your home.
Start the renewal/refinance process at least 30 days before your current term ends. That lead time gives your existing lender enough runway to issue a payout (discharge) statement and for FCT/legal to track and register the discharge after funding. While exact timelines vary by lender and registry office, the discharge process involves several parties and can take weeks; initiating early avoids last-minute bottlenecks.
If you leave it too late, two things can happen. First, your lender may not be able to complete the renewal or refinance on the planned date because the payout statement or discharge isn’t ready—delaying funding and forcing a scramble. Second, some lenders auto-renew if you don’t act, locking you into a new term you didn’t negotiate; breaking that unwanted term later can trigger a prepayment penalty (often the greater of three months’ interest or an interest rate differential).
Bottom line: engage your broker/lender and FCT early, aim for a 30-day (or more) runway, and keep an eye on key milestones: payout statement requested/received, title search cleared, funding date confirmed, and discharge tracked to completion. Doing this preserves your rate options at renewal, keeps paperwork flowing on time, and helps you avoid costly surprises.
Source: Absolute Mortgage Team