What Will Happen to My Current Mortgages, Loans and Jobs?

by Alberta Prosperity Project

1. MORTGAGES/LOANS:

  • What Will Happen to My Mortgage? Mortgages, HELOCs, loans, and lines of credit are private contracts. Just as car payments are not erased when you move to a different country, mortgages are not voided by independence. New states almost always adopt a Continuity of Laws Act on Day 1 of their existence. This means all existing laws and private rights – including for mortgages and HELOCs – remained in force.
  • What Will Happen to My Lending Institution (Bank)? Most banks that Albertans use, like RBC, CIBC, Scotiabank, TD, and BMO, are Federally regulated institutions. Post–independence, these banks will likely seek authorization to operate in Alberta, and the mortgage lien on your title will remain valid. If you’re already banking with an Alberta Credit Union, the transfer is even smoother.
  • What Will Happen to My Deposits? Right now, deposits in federally regulated banks are insured by the CDIC up to $100,000 per depositer, per category. Post–independence, Alberta would create its own ADIC to continue insuring Alberta deposits during transition. Your money will stay safe and secure.

2. JOBS:

  • Private Sector Jobs
    • As it is with mortgages and loans, private sector jobs will continue under the continuity of law principle.
    • With increased investment and regulatory certainty, Alberta will create more jobs to give our families a better quality of life.
    • Payroll taxes, such as CPP, federal income tax, and EI that are currently paid to Ottawa, will be reworked for an independent Alberta and paid into Alberta.
    • Businesses may issue updated contracts and agreements according to new statutory references, but your job and pay will not be voided.
  • Public Sector Jobs
    • Provincial employees such as teachers, nurses, and Alberta police, will continue working in their present capacity. As far as the individual workers’ contract is concerned, the only thing that changes is the name of the payee on the top of the cheque.
    • Federal employees will have one of two options:
      • Redeployment: You remain a government of Canada employee but are reassigned elsewhere.
      • Transition: Alberta and Ottawa negotiate a federal transfer so that Alberta assumes certain federal services (such as parks, defence, and aviation) and offers present federal employees seniority and benefits.

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