Zondo answered
PropTrust’s mortgage dragon
collateral
TD wants to register my mortgage as a collateral charge. What does that mean?
A collateral charge lets TD secure other debts (line of credit, car loan) against your home in addition to the mortgage. It also makes the mortgage harder to switch — most other lenders will not assume a collateral charge, so at renewal you have to legally re-discharge and re-register, costing $800–$1,500.
What your bank didn’t say
Collateral charges are sold as "flexibility." They are flexibility for the BANK, not you. Your switching costs at renewal go up; your leverage to negotiate goes down. Standard charges are the default for a reason. You can ask for a standard charge — most banks will allow it if you push.
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PropTrust is a Canadian property data platform. We are not a lender, broker, real estate agent, landlord, or paid advisor. This is information about how the rules work — not advice on your specific situation. For that, talk to a licensed professional.