Canadian Banks now using urine and hair samples to obtain mortgage?

Canadian Banks now using urine and hair samples to obtain mortgage?

thenorthwestherald.blogspot.com

It has become a first for Canadians and the implications can be astronomical, a massively large insurance firm; The CUMIS Group Limited Insurance whohave beenpartnered along with thousands of banks across North America for insurance requirements, has now accepted a policy of pre-screening drug tests & hair samples for the right to obtain home loan insurance, a necessity, if you’re going to purchase a home in Canada.

We first learned of this policy from a source who prefers to remain anonymou.

(visit the link for the full news article)


Related News Links:
www.infowars.com

Hmm, my urine and hair sample? I guess this is something else soon to come to the U.S. as most things that happen in Canada and in the UK eventually happens here. I can only speak for me, knowing that I have nothing to hide, knowing that I don't use drugs, I do know that I wouldn't particapate and I guess I would be a renter until they started requesting this of renters too lol... This is so stupid!

thenorthwestherald.blogspot.com
(visit the link for the full news article)

As someone who not only lives in Canada, but works for a Credit Union, I can say that this is beyond ridiculous. The only possible way that this would ever happen is if the applicant had a criminal record for drugs.

As far as the description for what CUMIS does, I am a little confused. They seem to imply that this is necessary for home ownership. It isn't. As someone who just bought a house (first one, get possession on Monday), we were not required to get the kind of insurance that CUMIS offers. This is from thier site:

CUMIS Insurance provides mortgage protection in case of the diagnosis of a critical illness, sickness or accident, involuntary loss of employment and death. Life is too short to worry, learn about how this comprehensive coverage can provide peace of mind today.

CUMIS Insurance

We are however required to have home owner's insurance and prove it to the lawyers before possession. If we are putting down less than 20% of the purchase price as a down payment, then the mortgage is insured through either CMHC or Genworth. But those are handled by the institution, and not the home owner.

Making your customers jump through hoops is only ever going to hurt your business, unless you hold the monopoly. Makes me wonder if this is some kind of public trial paid for privately by the Canadian government, the cash soaking up the loss of profit this bank should be seeing from having this policy.

The reasons for keeping people in rent might be obvious. If someone lives a good long life, they will end up paying more cash out in rent than they will pay for a mortgage. Canada is a country of immigrants, and getting into Canada to live and work isn't exactly hard compared to most other countries. They must get a lot of new people each year. If those people are buying homes, is that potentially billions of lost dollars which "should" be going on rent?

Is this just about screening out undesirable customers or something else? Could this just be caution at getting involved with "bad credit" Or maybe this is ethical credit, denying credit to people for their "own good"? Either way it's pretty insidious.

reply to post by Lazyninja


The problem with some of your logic here is that CUMIS is not government run. It is strictly for Credit Unions in Canada which are private businesses.

If you do a Google search for CUMIS and Urine sampling, the only relevant links that come up are this thread and the infowars article. I would think if this had any credibility at all it would've shown up in at least one other news source.

reply to post by Rook1545


Ouch! Watch where you're tossing your facts, buddy! You coulf pop someone's paranoid fantasy. WOLVERINES!!!!!!

Well there goes my hopes of having a home.

reply to post by Rook1545


I didn't say that CUMIS was government run, I suggested that they are being subsidized by the government.

Originally posted by Lazyninja
I didn't say that CUMIS was government run, I suggested that they are being subsidized by the government.

Donno about that...simply that they work with credit unions. If you don't like it, take your business to a bank...they'd be happy to get it.

I doubt, though, this would survive a constitutional challenge.

And nobody tested me...

Actually, a self edit to say the thread title is wrong...credit unions and banks are not the same. This ought to be corrected.


[edit on 23-7-2009 by JohnnyCanuck]

Looks like the Canadian Black-Market Mortgage industry will be booming...

And to Rook1545, what does a criminal record for drugs have to do with anything? If the guy can afford the mortgage, and has a decent credit rating, who cares if he got popped for a joint when he was 17? Or yesterday for that matter.

So, if this is adopted, how many mortgages do you think will be funded by banks in BC the following year? My money's on about 7.

At least we American's can take a little solace in the fact that our brothers and sisters to the north are subject to legislation that's just as ill-conceived and downright ignorant, if not comical as ours is.

I used to think I could escape the political retardation in government by moving to Canada. Looks like they've been taking notes on running a country (into the ground that is) from the American government...

Good luck brothers!

reply to post by JohnnyCanuck


Yup exactly, people can just take their business elsewhere. That is why I dont understand this business decision. Making things more difficult for your customer when competitors aren't doing the same thing, seems to make no sense.

Originally posted by Rams59lb

Canadian Banks now using urine and hair samples to obtain mortgage?

thenorthwestherald.blogspot.com

It has become a first for Canadians and the implications can be astronomical, a massively large insurance firm; The CUMIS Group Limited Insurance whohave beenpartnered along with thousands of banks across North America for insurance requirements, has now accepted a policy of pre-screening drug tests & hair samples for the right to obtain home loan insurance, a necessity, if you’re going to purchase a home in Canada.

We first learned of this policy from a source who prefers to remain anonymou.

(visit the link for the full news article)


Related News Links:
www.infowars.com

Dont' drugs stay in your hair for like a year?

So If i'm at a party and there is weed smoke and I walk past it and it gets in my hair, then I have to wait at the very least a year before I can apply for a loan?

Thats dumb. I thought Canada was smarter than that. they are with other things...

This makes absolutely no sense to me at all. Here in Canada its actually illegal (considered an invasion of privacy) for Canadian employers to seek drug samples; let alone banks.

Then again, the US influence does somehow manage to creep in slowly day by day in spite of our usual better sense.

And i thought drug screenings for job applicants was a civil rights violation.As long as they get their monthly payments what i do is none of their damn buisness.

I know what this is bout.

This company is the kind that would patent segments of your genetic code and then sell your genes to third parties.

There is alot of money in patenting and selling genes. This is a great way to obtain of a massive supply of DNA.

Originally posted by Lazyninja
Is this just about screening out undesirable customers or something else? Could this just be caution at getting involved with "bad credit" Or maybe this is ethical credit, denying credit to people for their "own good"? Either way it's pretty insidious.

Seems that way as someone who takes drugs is obviously a higher risk for insurance than someone who doesn't.

Don't forget to read the article though please people, this not about getting a mortgage, this for insurance to repay your mortgage if you lose your job or get sick.

Naturally someone who takes drugs is more likely to screw up and lose their job or have a weaker immune system, this new system just filters out undesirables so they can maximise profits by minimising risks.

No conspiracy here, just good business as insurance companies are in it for the money, not to be charitable to folk who can't afford to pay their mortgage

Just to find out what is going on here, I will ask someone at my bank tomorrow.

As far as my comment about getting samples from people with drug convictions, up here you don't get thrown in jail for a joint. You might get a ticket, but mostly you the cops will take your joint and tell you to smarten up. Unless you have a decent amount on you, for selling purposes. So it would make sense that if you get pinched for drugs, they test you, and make sure they don't have to worry about you using your new house as a drug den.

As far as employers, it is not entirely against the law for employers to drug test. Ask anyone who works in the oilfield.

reply to post by Rook1545


wow you really didn't read the article did you ?

They're selling insurance for mortgages, not selling mortgages themselves.

It's basically payment protection incase you lose your job or you get too sick and go on a rate of pay which isn't enough to meet your mortgage repayments.

It's nothing about testing people to get mortgages or own houses.

You can still get a mortgage without this insurance, just you're pretty much screwed if you lose your job.

This company obviously (and quite rightly) see's drug users as a higher risk, therefore would rather eliminate the risk in order to avoid potentially costly payouts.

You do know how insurance works don't you ?

do mutants get priority or exclusion?

just askin

-

Originally posted by Exuberant1
This company is the kind that would patent segments of your genetic code and then sell your genes to third parties.

Nonsense.
Upon reflection, here's my take...
CUMIS offers life insurance to credit union customers. You can apply for a smokers' or non-smokers' policy. Non-smokers' is about half the price. Smokers' includes marijuana.

I've wondered what they do or how they can tell. Do they check post-mortem? So I'm guessing that if you want a non-smokers' deduction...you've go to prove it. Given the cost of insurance and the amount of fraud, this might well be a legitimate method of keeping costs down.

I am a customer of CUMIS, by the way, but nobody's tested me. I'm guessing though, after basically quitting smoking, if I were to apply to change my policy, they would.


Self-edit to say that I checked the Infowars link and that tells a different story, so I may be wrong. Or they may be padding the 'anonymous' story. Let's see how it plays out, shall we? I'm sure CUMIS will weigh in shortly.

[edit on 24-7-2009 by JohnnyCanuck]