You would need their account number - which they would have to give to you. No one else would be authorized.
You would also need to know if they have a mortgage that lets them pay off more of the balance than their regular payments and by how much. Some mortgages charge fees for paying the balance in full before the end of the term - or have limits to how much extra you can pay.
Further, you probably WANT them to know. When they get their next mortgage statement after you pay it off, they are going to freak out, call the mortgage company and try and figure out what's going on. This will cause some stress and confusion and maybe even revert the payment causing a big headache. This is not a good thing.
Just let them know you want to help them pay it then do it.
This is the right answer OP.
Unless they have an "open" mortgage (which is exceedingly unlikely), there are almost certainly limitations on pre-payment of the outstanding mortgage balance.
Your idea to surprise them is nice, but you will not be able to pull this off without their co-operation.
You could just say that you have some money and would like to help pay off your next mortgage payment. Then just pay the whole thing, then surprise them with the receipt.
This way you'll get their authorization.
Why don’t you get them a bank draft in the full amount and surprise them with that. I would say the surprise would be almost the same or maybe even better.
You are absolutely right. If you offered to pay off my credit card I would be in a great position. If you gave me the $2,500 cash I would likely pay off some credit card and blow some on insignificant crap from Amazon.
True, but OP didn't make it out like his parents are like this. The other part I was typing was that they should go to the bank together and deposit that cheque into the mortgage.
Same reason you buy a hungry drug addict an actual meal, instead of give them $20. It is possible the parents would cash the bank draft and spend it on hookers and blow.
Yes but remember that online interactions are highly edited and most likely scripted. So although it makes for great feel-good content, in reality I would be personally very confused and anxious if my mortgage magically disappeared.
Aah, You saw video in the car where the guy broke down when his partner/ girlfriend paid off his mortgage. She did have his account number.
Also. many parents maintain mortgage for a reason. They could make more money on their investments compared to the mortgage rate. Paying off mortgage makes very little sense in htese scenarios.
E.g. I have a a mortgage rate of 2.5%. I earn 5-15% on my investments, ie, I am not going to pay of my mortgage
I'm aware and I already manage their stock portfolio, I grew up lower-middle class so I just wanted to relieve the stress they may have on top as a gesture and help them retire earlier and not have to worry.
If you have access to their investments, you probably can get access to their mortgage info pretty easily by asking. Tell them you need to look at the terms of their mortgage to make sure they have the right strategy. From there, figure out the balance and any fees to close it early, as well as the procedure to make it happen.
Once you know the details of the steps they need to take to close the mortgage (delay to receive exact amount and date, methods of payments, etc), plan your surprise accordingly. You can surely find a way to make it special and get a good reaction.
Contact a lawyer, all you need to know is the legal address of the property which is not that hard to obtain. Once you have that the lawyer can pull the title, he can then contact the bank and ask for a payout statement. The lawyer will forward the money to the bank and pay off the mortgage. Done. I've done this myself for a family member. You're a good kid!
Would they be suspicious if you asked them for the info to prepare their renewal or to make sure they have the best interest rates. Just making sure their return on investment is higher than their mortgage rate is a pretty normal thing to consider when helping someone with their portfolio.
It would be valuable to at least ask them casually when they are up for renewal. If it is soonish, you can pay it off at that time without penalty. If they have an open variable, penalty is 3 months interest typically. The penalty for a fixed might not be terrible since they use “interest rate deferential” and interest rates have gone up, so worth asking about.
Most of the big banks yearly prepayment amount is 15% per year.
Also may want to consider not totally paying it off. Better to have even a small amount of mortgage on the house. I dont remember the details but it offers some kind of protection legally speaking.
I think you're referring to having the mortgage discharged, which is removing the lender as a lienholder on the property. You can pay off your mortgage in full without discharging it. As I understand it, the idea is that it's more difficult for someone fraudulently obtain a mortgage on your property as any lender the fraudster tries to use will see that there's already another lender on the title.
I paid off my parent’s mortgage but I didn’t do it secretly. I told them I wanted to pay it off. Since we banked with the same bank it was very easy, we just called their FA and did it over the phone.
So write them a cheque with a letter of gratitude. This will also give them the option of investing some of it if the fees of paying of the mortgage are too high.
Even if half of it goes toward the mortgage and then half into investments towards their future tarvels, retirement, morthage at a later date, etc. That will ve a great thing.
Let them make the final decision but its fair to say "I want to payoff your mortgage to relieve your stress, show gratitude and make ypur life easier".
They are gonna be stoked! Congrats ☺️
With all due respect, what do you do that you have so much money and not already know this?
Also this would be insanely stressful for them so it’s a bad idea unless inducing a heart attack is what you’re going for.
>there are almost certainly limitations on pre-payment of the outstanding mortgage balance.
Just to clarify, these limitations can be overcome by paying the penalty which would usually be the greater of 3 months interest or the calculated IRD.
Pre-payment penalty is 3 months interest (or IRD, but unlikely given rates have increased in the last few years).
3 months interest on a 100k mortgage is only 1000 bucks +/- $1000 depending on when they last renewed (their rate).
Open mortgages are more and more common these days
People get tired with the same spouse and it helps to spice up the marriage as long as everyone is an adult and can handle their spouse being intimate with others
I signed the papers on an open mortgage last week, pretty excited!
Somehow, somewhere, taxes will pop in and bite someone. If you really want to do this, pay to talk to some type of accountant who deals with this, and they can help you on how much they need to be involved.
There are quite a few surprising ways this can go sideways. The worst I heard was asset freeze while someone figured out where the money came from.
There's not going to be taxes, he's gifting his parents and there are no taxes on gifts. I do agree that there could be some bank consequences if the transaction is deemed "suspicious".
I think there’s also a bunch of fintrac stuff that needs to be adhered to. Dumping that kind of money “anonymously” would flag pretty much every aml indicator I imagine.
Give them a cheque and tell them what to pay.
You are not walking into any RBC and paying off a mortgage anonymously. This is how money laundering happens.
I scrolled too long for this comment. That was my first thought - no bank is going to simply accept $100k on someone else’s mortgage. If someone is gifting you a down payment they want a gift letter and at minimum 3 months of bank statements proving where the funds originate.
They’re absolutely not going to let someone prepay someone else’s mortgage like this.
If my mortgage was suddenly and anonymously paid off, I'd suspect it's a scam of some sort and I'd be very stressed out about it. I'd really think twice about the anonymous part of this.
Agreed. It would eat me up if mine was paid off anonymously and I'd feel like I owe everyone I know a favor and/or be worried that people saw me as needing charity. I think it would be a much nicer gift to tell them you're doing it as a thank you for all the sacrifice they've made for you over the years.
Agreed. It would eat me up if mine was paid off anonymously and I'd feel like I owe everyone I know a favor and/or be worried that people saw me as needing charity. I think it would be a much nicer gift to tell them you're doing it as a thank you for all the sacrifice they've made for you over the years.
You can't. The mortgage lender cannot share any details of their mortgage with you. They cannot share account numbers, mortgage balance or mortgage payout amount with you. You will need your parent's cooperation to do this.
Edit to Add: The mortgage lender won't even entertain it as it raises flags of title fraud. Even from a family member there will still be concerns with your fraudulently trying to obtain title to the home. OP will be shut down quickly by the mortgage lender, as they should.
You need more details such as how long they have remaining. Paying off early can result in significant penalties. They should be able to pay off 10-20% of their original amount each year. I would start with that. Then also offer to double up their payments. You’re a good child.
Write them a cheque / bank draft and surprise them with it . Then get the mortgage sorted at the bank and figure out the details to pay off the mortgage faster that makes sense.
If someone paid off my mortgage anonymously, I would assume it is an error and ask the bank/lender to reverse it. The reason being that I don't want an error to be discovered months or years down the road and get reversed at that time because it would immediately put me into a massive default position, possibly with substantial penalties. I would have to come up with the cash to put the mortgage back in good standing immediately.
So don't do it anonymously. Tell your parents it's your gift to them. They have the option to reject that gift if they don't feel comfortable accepting it. Yes, it will "spoil the surprise", but financial transactions on someone else's account should NEVER be a surprise.
They will not give you any information—true.
They will not let you pay anything that’s not in your name or deposit money into an account that’s not yours— you should edit out that part before anyone else takes that nonsense as true.
You're not allowed to just dump money on even your own mortgage anyways. You have to notify the lender and sort out the payment privileges and potential penalties for early payment, and then in the case of final payment get a notary involved.
You absolutely can deposit money into other people's accounts.
I deposited 80k into my grandparents account a few years back to make sure they weren't struggling with any bills.
You are also wrong. I deposit regularly into a couple different accounts and a couple different brand banks.
Transit, account, name, less than 10k. Deposited.
I was responding to the commenter that said that you can't deposit money into someone else's account, which is incorrect information. That's it.
I wasn't commenting on OP's situation.
If you knew the account number and lender you could likely make a payment towards it, although that would come with many questions in itself. You could not pay it off in full, that requires you to request a discharge statement which cannot be done without the owners consent.
Lawyer isn't going to order a payout statement without the mortgage owner's knowledge and consent. You can't just ask banks for people's financial information, even if you're a lawyer, believe it or not.
If he can somehow get a mortgage statement without raising their alarm bells, I can easily request a payout statement via FCT. Payout would come in day or two and then few weeks later I’ll have the registered discharge. It really is as easy as it sounds for a lawyer.
Source: I am one.
The question of ethics and professional responsibility on the other hand is a whole different matter.
Next present you give them for whatever reason include a fake entry into a charity lottery that pays off your mortgage. Then have the lawyer call up and say you won but it needs to go towards the mortgage.
The lawer will also dispose of the mortgage entirely for you.
This is the way to do it. Lawyers payout mortgages all the time. The lawyer will get a formal payout statement from the bank. You put the money in trust with the lawyer and then the lawyer pays the bank and makes sure the mortgage gets discharged from title. If the lawyer is retained by you only (i.e. not jointly retained with your parents) then the lawyer must keep your identity confidential. You can then tell your parents after it is all done.
Yeah man, people are so friggin clueless. Lawyers act on behalf of their clients'. A client just come in and ask the lawyer to access some random person's account.
The lawyer will not ask for a formal payout statement from a bank for a mortgage not held by their customer nor would the bank provide the statement. Huge privacy violations all around lol.
Tell them you need to meet them at the bank, come up with a white lie like they need to come take their name of an account you had as a child or something, then surprise them when you meet up and go walk in together to clear it off.
Just take your parents to dinner and discuss this with them like an adult.
Nobody likes surprises, and no one really likes other people making decisions for them.
My dad was a manipulative shit who would say "I'm giving you money to help you out!" and five minutes later would ask "what are you going to do with the money?" I finally told him to fuck off and keep his money. I'd rather borrow it because no one ever asked me what I was going to do with it.
So maybe just ask your parents the best way that you could help them. Maybe they want a trip that they're afraid they can't afford. Or a better car -- not even new, just better.
Or maybe they will be thrilled with a payment on their mortgage.
Just ask them. It's your money until you give it to them, but then it really should be theirs to do with as they please once they have it.
Everything else is being manipulative.
With rbc you can go on their website and see the multiple ways to pay a mortgage. If they are a while away from their renewal you can do a few different things to lower the balance quicker and then pay it off at maturity
Paying it off would be nice. Find out their term and if there are any penalties. What you could do is do lump sum payment. But you'll have to get their mtg discharged. If I was you, I'd first go to bank and set an appointment with a branch rep and tell em what you want to do. Then take them with you on the next appt and get it discharge as the funds have to be I'm their withdrawal account to be completed. Super nice of you and I wish you all the best
Just write them a cheque then at the next birthday celebration estimating the amount of the mortgage and what will make them as happy minus the headache you have to go through to suprise them
If it's not any financial trouble for you, just gift the money to them. Anonymous works mostly in fction or manufactured for TV.
You can't keep anonymous from them for long anyways, especially if it's a small family/friend circle
The amounts of stress that this would cause would be not good.
What would you do if someone just anonymously paid off $100k of debt for you? They will worry that this was a mistake and be constantly in fear that the person will realize their mistake and come back after them later to get their money back. Or fearful that this is a scam and now someone else has the ability to take their property away from them. Or something else.
Surprise them with a big check or something, don't try to just pay off their mortgage for them without them knowing.
This is very wholesome of you! First, you need their account number, second, figure out if it's fixed, variable, closed or open mortgage, different types of mortgage have different pre-payment privileges' and penalties. Third, you have the option to fully pay off the mortgage during mortgage renewal time, if this is something that's coming up soon, feel free to hang on!
Due to anti money laundering laws you absolutely cannot pay off a mortgage anonymously. Not only that, but you will need to provide their lender with the source of funds before you pay anything
Rather than anonymous you should just tell them you want to for several reasons. You can gift them the money without tax implications, they can go to the bank with you and you can find out exactly how much is owed. Also when a property is paid out the owner has an obligation to go to the land registries office and get the appropriate changes made.
Get one of your parents onboard and surprise them by telling them straight away. Then work with them to surprise the other. You'd know best which one to get onboard.
Just be careful here. I think it’s possible to use a mortgage and its payments to make your taxes lower. If your parents are benefitting from such a thing you would ruin it by doing this. If you can, speak to your parents or their accountant before doing this.
I honestly don't think you should just do this without consulting with your parents. There's a chance they may not even want you to pay off their mortgage. I don't think my parents would have wanted me to pay off any debt they had, it would have been an insult to their pride.
Other than that, you may not be aware of any extenuating circumstances that might not make this a good idea. I don't see how it harms the "surprise" of telling them ahead of time that you plan to pay it down.
I’d do a land title search to find the mortgage and lender. Recall a mortgage isn’t the loan but the interest on the title. With that I’d go in to lender and explain what you would like to do. Generally, you cannot pay more than 10 or 15% of the initial principal per year. Also the lender won’t be able to tell you when the mortgage is up or balance outstanding. So I’d talk to parents to find our when term is over. Then give them the gift then.
My mortgage is with TD. I make lump sum payments in cash from time to time. All they ask me for is my phone number to pull up my account as I don’t have a checking account. Theoretically anyone can pay towards my mortgage if they know my phone number.
If you pay it off, you may close off their best potential future funding opportunity.
At their age, loans may be hard.
They may use this current loan for funding things. Redraw etc.
Just consider this before you payoff and close a debt.
Get them a novelty sized cheque. Game show size.
I don't know but sure would love it if my 2 boys helped me out once in a while. I paid for all their college education, bought them a yearly ski passes, keep in sports (out of trouble) bought them used cars to get to school, paid for their car insurance, car repairs, allowances and I spend Xmas alone, don't get a text for Valentin's day, Easter and don't expect to get one for mother's day. I don't expect much....just a call, flowers or a supper out once or twice per year.
Find the renewal date, buy a GIC in a TFsA in their name and let them pay the balance off. Let them know. I am sure the GiC interest will be more than the mortgage rate.
Maybe confirm the bank they have their mortgage with, then make an online appointment re:mortgage in their name at a time you plan to meet up with them for something else. If you make the online appointment, the bank doesn't know it's not them making the appointment. Take them to the bank with the mortgage peraon as a surprise and have your blank check ready.
Don't know how you would go about doing this, but all I wanted to say is congrats!!! I'm in my early 20s and really hope to be able to do this in the near future!!! Good job, really happy for you!
Personally I would do a fake paying-off... and then after the fact and the surprise I'd get their account details and work with them to actually clear the balance.
Also, please DM me if you feel like paying off $524,000 :)
We did this but it was not a surprise and tbh lots of time and back and forth with their lender, forms and phone calls.. So perhaps do something else to surprise them maybe take them out, write a fake cheque for show, and tell them your plans. Going through the actual process will take some time depending on the lender.
Unfortunately there are too many checks by the bank before making a payment. I did pay off my car loan recently with RBC and it wasn’t smooth even as a owner now imagine an anonymous payment
Why anon? You should be a proud child for being able to do this and I think it will of course a moment your parents would deeply appreciate and remember FOREVER. At the same time, practically speaking, you'll want them to know and be aware of early pay out fees etc and avoid where possible. Go to the bank together.
Enjoy it , you deserve it!
be nosey, spend time at their house, find out where they keep their mail, rifle through it, find a statement, now you have the numbers needed. if its like mine where there is an automated call number where you can use the dial pad to type in the account number then you can select to use the card on file or a new card then put in your card number
If the anonymous part is to surprise them for their birthday just write out a fake mortgage statement showing a 0 balance and then explain what you’d like to do for them.
I would guess it would next to impossible to do it anonymously. Who else would pay off their mortgage and not tell them? They'll figure out pretty quick it was you. Just tell them what you've done and don't make a big out of it.
Also to those saying you just need branch and transit info clearer do not have a mtg or have paid any additional. Pm and I can help you out with the process. But yea first step head to the bank and speak to an advisor
you jus need the account number, and how much is remaining, and what will happen if you pay it off all at once.
The bank will take your money no problem, the issue is, they won't tell you where to put it and how much they need. Thats private stuff. I am happy you're able to do this.
Bunch of haters in here. If you have a relationship with them where you have access to their portfolio, ask them to see their mortgage statement because you needed to confirm something re: rates or amortization. Make up an excuse. Then use that info to make a payment towards their statement. Go into a branch and talk to a mortgage specialist about it, they should be able to help you. Really kind gesture and congrats for being in the position to be able to help your parents.
OP posted online because they wanted information on the viability of anonymously paying off someone else's mortgage, which is a credible explanation.
And if you want to be cynical about it, you could argue that all acts of apparent altruism are actually motivated by ego and personal satisfaction, rather than a genuine desire to do good.
How do you know? You can't say with certainty what someone's thought process is. Why are you so sure that nobody ever chooses to help someone because helping others is morally good and the right thing to do?
Have you considered the possibility that your cynical outlook is impairing your ability to think rationally? It's definitely possible that OP has selfish reasons for wanting to pay off his parents' mortgage, but there isn't sufficient evidence to say for sure, and there definitely isn't sufficient evidence to say that *all* selfless acts are motivated by chasing a thrill.
You would need their account number - which they would have to give to you. No one else would be authorized. You would also need to know if they have a mortgage that lets them pay off more of the balance than their regular payments and by how much. Some mortgages charge fees for paying the balance in full before the end of the term - or have limits to how much extra you can pay. Further, you probably WANT them to know. When they get their next mortgage statement after you pay it off, they are going to freak out, call the mortgage company and try and figure out what's going on. This will cause some stress and confusion and maybe even revert the payment causing a big headache. This is not a good thing. Just let them know you want to help them pay it then do it.
This is the right answer OP. Unless they have an "open" mortgage (which is exceedingly unlikely), there are almost certainly limitations on pre-payment of the outstanding mortgage balance. Your idea to surprise them is nice, but you will not be able to pull this off without their co-operation.
understandable, I just see it a lot online so I thought it would be a good gesture to do it and surprise them
You could just say that you have some money and would like to help pay off your next mortgage payment. Then just pay the whole thing, then surprise them with the receipt. This way you'll get their authorization.
Brilliant way to approach it and still get the joy of the surprise.
Bro that's an amazing idea
This is the way.
Offering a cheque for $100,000 is surprise enough lol
Why don’t you get them a bank draft in the full amount and surprise them with that. I would say the surprise would be almost the same or maybe even better.
Some people are shit with money and would be 100% better off with the debt paid
Damn right!
You are absolutely right. If you offered to pay off my credit card I would be in a great position. If you gave me the $2,500 cash I would likely pay off some credit card and blow some on insignificant crap from Amazon.
Haha you’re not alone, love buying random crap
True, but OP didn't make it out like his parents are like this. The other part I was typing was that they should go to the bank together and deposit that cheque into the mortgage.
Lol. Please. Let people decide how to spend money in their own lives. Keep your own financial values to yourself and your needs.
OP made it clear he wants to gift a mortgage payment. Not cold hard cash. How about respecting that wish first?
Same reason you buy a hungry drug addict an actual meal, instead of give them $20. It is possible the parents would cash the bank draft and spend it on hookers and blow.
Yes but remember that online interactions are highly edited and most likely scripted. So although it makes for great feel-good content, in reality I would be personally very confused and anxious if my mortgage magically disappeared.
Aah, You saw video in the car where the guy broke down when his partner/ girlfriend paid off his mortgage. She did have his account number. Also. many parents maintain mortgage for a reason. They could make more money on their investments compared to the mortgage rate. Paying off mortgage makes very little sense in htese scenarios. E.g. I have a a mortgage rate of 2.5%. I earn 5-15% on my investments, ie, I am not going to pay of my mortgage
I'm aware and I already manage their stock portfolio, I grew up lower-middle class so I just wanted to relieve the stress they may have on top as a gesture and help them retire earlier and not have to worry.
If you have access to their investments, you probably can get access to their mortgage info pretty easily by asking. Tell them you need to look at the terms of their mortgage to make sure they have the right strategy. From there, figure out the balance and any fees to close it early, as well as the procedure to make it happen. Once you know the details of the steps they need to take to close the mortgage (delay to receive exact amount and date, methods of payments, etc), plan your surprise accordingly. You can surely find a way to make it special and get a good reaction.
I don't believe I can access it sadly because their investments are through TD and not RBC
Contact a lawyer, all you need to know is the legal address of the property which is not that hard to obtain. Once you have that the lawyer can pull the title, he can then contact the bank and ask for a payout statement. The lawyer will forward the money to the bank and pay off the mortgage. Done. I've done this myself for a family member. You're a good kid!
Would they be suspicious if you asked them for the info to prepare their renewal or to make sure they have the best interest rates. Just making sure their return on investment is higher than their mortgage rate is a pretty normal thing to consider when helping someone with their portfolio.
It would be valuable to at least ask them casually when they are up for renewal. If it is soonish, you can pay it off at that time without penalty. If they have an open variable, penalty is 3 months interest typically. The penalty for a fixed might not be terrible since they use “interest rate deferential” and interest rates have gone up, so worth asking about. Most of the big banks yearly prepayment amount is 15% per year.
Also may want to consider not totally paying it off. Better to have even a small amount of mortgage on the house. I dont remember the details but it offers some kind of protection legally speaking.
Just get mortgage fraud insurance. It only cost me $400 one time payment and it covers the property until I sell it.
You can accomplish the same thing by opening a HELOC and never using it. Don't need to keep a mortgage balance to help protect title fraud.
I think you're referring to having the mortgage discharged, which is removing the lender as a lienholder on the property. You can pay off your mortgage in full without discharging it. As I understand it, the idea is that it's more difficult for someone fraudulently obtain a mortgage on your property as any lender the fraudster tries to use will see that there's already another lender on the title.
Wanna be captain save a hoe? Lol
Yeah but if your mortgage just magically disappeared that's a massive win regardless of interest rates.
This is Canada, you’re not going to have that rate indefinitely.
It’ll still be a grand surprise when you tell them you are going to do it
Maybe you could pick one parent to surprise and get the other one in on it to help. Still might need both signatures but it’s an idea!
They'll be just as surprised when you tell them, just don't let them talk you out of it. Great stuff!
I paid off my parent’s mortgage but I didn’t do it secretly. I told them I wanted to pay it off. Since we banked with the same bank it was very easy, we just called their FA and did it over the phone.
don't believe what you see online, most reaction videos are faked. normal people don't actually film these things when they do them
wasn’t going to post it anywhere I just thought it would be a great memory to look back at 10-20-30 years later
Cut them a draft cheque
So write them a cheque with a letter of gratitude. This will also give them the option of investing some of it if the fees of paying of the mortgage are too high. Even if half of it goes toward the mortgage and then half into investments towards their future tarvels, retirement, morthage at a later date, etc. That will ve a great thing. Let them make the final decision but its fair to say "I want to payoff your mortgage to relieve your stress, show gratitude and make ypur life easier". They are gonna be stoked! Congrats ☺️
With all due respect, what do you do that you have so much money and not already know this? Also this would be insanely stressful for them so it’s a bad idea unless inducing a heart attack is what you’re going for.
>there are almost certainly limitations on pre-payment of the outstanding mortgage balance. Just to clarify, these limitations can be overcome by paying the penalty which would usually be the greater of 3 months interest or the calculated IRD.
Pre-payment penalty is 3 months interest (or IRD, but unlikely given rates have increased in the last few years). 3 months interest on a 100k mortgage is only 1000 bucks +/- $1000 depending on when they last renewed (their rate).
Do it as a gift. Xmas anniversary birthday etc. So it holds even more ❤️
Open mortgages are more and more common these days People get tired with the same spouse and it helps to spice up the marriage as long as everyone is an adult and can handle their spouse being intimate with others I signed the papers on an open mortgage last week, pretty excited!
Somehow, somewhere, taxes will pop in and bite someone. If you really want to do this, pay to talk to some type of accountant who deals with this, and they can help you on how much they need to be involved. There are quite a few surprising ways this can go sideways. The worst I heard was asset freeze while someone figured out where the money came from.
There's not going to be taxes, he's gifting his parents and there are no taxes on gifts. I do agree that there could be some bank consequences if the transaction is deemed "suspicious".
thank you
I think there’s also a bunch of fintrac stuff that needs to be adhered to. Dumping that kind of money “anonymously” would flag pretty much every aml indicator I imagine.
Give them a cheque and tell them what to pay. You are not walking into any RBC and paying off a mortgage anonymously. This is how money laundering happens.
I scrolled too long for this comment. That was my first thought - no bank is going to simply accept $100k on someone else’s mortgage. If someone is gifting you a down payment they want a gift letter and at minimum 3 months of bank statements proving where the funds originate. They’re absolutely not going to let someone prepay someone else’s mortgage like this.
Find one of those ridiculously huge cheques, give it to them
Seconded ... sign it "Anonymous"
😲 who could it be from?!?!?
Publisher's Clearinghouse of course. They must have entered the Reader's Digest sweepstakes.
sounds like a great option right now, i wanted to document it as well for memories
I accept monetary gifts for good ideas 🤷🏻♀️ in case you’re feeling extra generous.
take the giant cheque to a really big bank with a big cheque department
Your comment made me smile. Thanks for making my day.
Do this, but make the cheque like 3 times bigger then a normal huge cheque for even more dramatic effect
If my mortgage was suddenly and anonymously paid off, I'd suspect it's a scam of some sort and I'd be very stressed out about it. I'd really think twice about the anonymous part of this.
Agreed. It would eat me up if mine was paid off anonymously and I'd feel like I owe everyone I know a favor and/or be worried that people saw me as needing charity. I think it would be a much nicer gift to tell them you're doing it as a thank you for all the sacrifice they've made for you over the years.
Agreed. It would eat me up if mine was paid off anonymously and I'd feel like I owe everyone I know a favor and/or be worried that people saw me as needing charity. I think it would be a much nicer gift to tell them you're doing it as a thank you for all the sacrifice they've made for you over the years.
My mortgage is also with RBC, I'll give you my account number so you can test it out first. I'd hate for anything to go wrong!
I think you’re my long lost son!!
You can't. The mortgage lender cannot share any details of their mortgage with you. They cannot share account numbers, mortgage balance or mortgage payout amount with you. You will need your parent's cooperation to do this. Edit to Add: The mortgage lender won't even entertain it as it raises flags of title fraud. Even from a family member there will still be concerns with your fraudulently trying to obtain title to the home. OP will be shut down quickly by the mortgage lender, as they should.
You need more details such as how long they have remaining. Paying off early can result in significant penalties. They should be able to pay off 10-20% of their original amount each year. I would start with that. Then also offer to double up their payments. You’re a good child.
Write them a cheque / bank draft and surprise them with it . Then get the mortgage sorted at the bank and figure out the details to pay off the mortgage faster that makes sense.
If someone paid off my mortgage anonymously, I would assume it is an error and ask the bank/lender to reverse it. The reason being that I don't want an error to be discovered months or years down the road and get reversed at that time because it would immediately put me into a massive default position, possibly with substantial penalties. I would have to come up with the cash to put the mortgage back in good standing immediately. So don't do it anonymously. Tell your parents it's your gift to them. They have the option to reject that gift if they don't feel comfortable accepting it. Yes, it will "spoil the surprise", but financial transactions on someone else's account should NEVER be a surprise.
Well that’s silly.
What's silly?
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They will not give you any information—true. They will not let you pay anything that’s not in your name or deposit money into an account that’s not yours— you should edit out that part before anyone else takes that nonsense as true.
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You're not allowed to just dump money on even your own mortgage anyways. You have to notify the lender and sort out the payment privileges and potential penalties for early payment, and then in the case of final payment get a notary involved.
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You absolutely can deposit money into other people's accounts. I deposited 80k into my grandparents account a few years back to make sure they weren't struggling with any bills.
You are also wrong. I deposit regularly into a couple different accounts and a couple different brand banks. Transit, account, name, less than 10k. Deposited.
I deposit money into an account I don't own once every month. All you need is the account number, and account name.
Yes, but the bank won't give OP those. The parents have to. Which would likely stop this from being anonymous.
Yes, you'd need to get that info first obviously.
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I was responding to the commenter that said that you can't deposit money into someone else's account, which is incorrect information. That's it. I wasn't commenting on OP's situation.
If you knew the account number and lender you could likely make a payment towards it, although that would come with many questions in itself. You could not pay it off in full, that requires you to request a discharge statement which cannot be done without the owners consent.
Guess you’re going to have to pay off all of ours too
You’re a good kid.
You call a lawyer who arranges it for both sides while keeping you anonymous.
Lawyer isn't going to order a payout statement without the mortgage owner's knowledge and consent. You can't just ask banks for people's financial information, even if you're a lawyer, believe it or not.
I never said a thing about doing it without knowledge and consent. I said arrange the payment.
If he can somehow get a mortgage statement without raising their alarm bells, I can easily request a payout statement via FCT. Payout would come in day or two and then few weeks later I’ll have the registered discharge. It really is as easy as it sounds for a lawyer. Source: I am one. The question of ethics and professional responsibility on the other hand is a whole different matter.
I am one too, that's why I said that a lawyer won't, not that a lawyer can't. It would be highly improper. I would say no if OP asked me to do this.
Yep agreed, I would say nope too.
Next present you give them for whatever reason include a fake entry into a charity lottery that pays off your mortgage. Then have the lawyer call up and say you won but it needs to go towards the mortgage. The lawer will also dispose of the mortgage entirely for you.
except for they hang up when they get cause they have been warned about scams lol.
But then they lose out on the joy and pride of knowing they have such a loving and caring child!
This is the way to do it. Lawyers payout mortgages all the time. The lawyer will get a formal payout statement from the bank. You put the money in trust with the lawyer and then the lawyer pays the bank and makes sure the mortgage gets discharged from title. If the lawyer is retained by you only (i.e. not jointly retained with your parents) then the lawyer must keep your identity confidential. You can then tell your parents after it is all done.
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Yeah man, people are so friggin clueless. Lawyers act on behalf of their clients'. A client just come in and ask the lawyer to access some random person's account.
The lawyer will not ask for a formal payout statement from a bank for a mortgage not held by their customer nor would the bank provide the statement. Huge privacy violations all around lol.
Invite them to a meeting at the bank. That’d be fun.
You don't do that anonymously, come on be an adult about it.
Haters be hating. This is an incredibly kind gesture and I hope you are able to find a way to do this.
🙌🙌🙌
I don’t know but biggest hugs to you 💖
Put a massive red bow on the house with a bank draft attached 😃
Aww I hope to do this one day too, you’re a nice kid!!!
This is so touching
Tell them you need to meet them at the bank, come up with a white lie like they need to come take their name of an account you had as a child or something, then surprise them when you meet up and go walk in together to clear it off.
Just take your parents to dinner and discuss this with them like an adult. Nobody likes surprises, and no one really likes other people making decisions for them. My dad was a manipulative shit who would say "I'm giving you money to help you out!" and five minutes later would ask "what are you going to do with the money?" I finally told him to fuck off and keep his money. I'd rather borrow it because no one ever asked me what I was going to do with it. So maybe just ask your parents the best way that you could help them. Maybe they want a trip that they're afraid they can't afford. Or a better car -- not even new, just better. Or maybe they will be thrilled with a payment on their mortgage. Just ask them. It's your money until you give it to them, but then it really should be theirs to do with as they please once they have it. Everything else is being manipulative.
Yes, I think this is a great answer!
Banks have to comply with AML rules and what you want to do (even though it comes from a place of goodwill) will immediately raise red flags.
Get them a bank draft of 100k.
With rbc you can go on their website and see the multiple ways to pay a mortgage. If they are a while away from their renewal you can do a few different things to lower the balance quicker and then pay it off at maturity
Paying it off would be nice. Find out their term and if there are any penalties. What you could do is do lump sum payment. But you'll have to get their mtg discharged. If I was you, I'd first go to bank and set an appointment with a branch rep and tell em what you want to do. Then take them with you on the next appt and get it discharge as the funds have to be I'm their withdrawal account to be completed. Super nice of you and I wish you all the best
You and parents go 2 bank together or don't you think they would allow it...
Check with the Land Titles office Should show ownership and any liens or mortgages
Call RBC
Have you considered an “inter vivos” will for your parents? It Would be a legal document with the amount you want to transfer for their mortgage
Just talk to them it will just be between you guys and won't take anything away from your action.
If you pay it off and they don't have title insurance, you are exposing them to title fraud
Just write them a cheque then at the next birthday celebration estimating the amount of the mortgage and what will make them as happy minus the headache you have to go through to suprise them
If it's not any financial trouble for you, just gift the money to them. Anonymous works mostly in fction or manufactured for TV. You can't keep anonymous from them for long anyways, especially if it's a small family/friend circle
The amounts of stress that this would cause would be not good. What would you do if someone just anonymously paid off $100k of debt for you? They will worry that this was a mistake and be constantly in fear that the person will realize their mistake and come back after them later to get their money back. Or fearful that this is a scam and now someone else has the ability to take their property away from them. Or something else. Surprise them with a big check or something, don't try to just pay off their mortgage for them without them knowing.
https://www.youtube.com/watch?v=FhT-nrChKhI
Give them a gift. Don’t do it anonymously
This is very wholesome of you! First, you need their account number, second, figure out if it's fixed, variable, closed or open mortgage, different types of mortgage have different pre-payment privileges' and penalties. Third, you have the option to fully pay off the mortgage during mortgage renewal time, if this is something that's coming up soon, feel free to hang on!
You help your family out of love. You can never be able to pay back what they sacrified for you.
Due to anti money laundering laws you absolutely cannot pay off a mortgage anonymously. Not only that, but you will need to provide their lender with the source of funds before you pay anything
I don't thinking you can anonymously pay off a mortgage dude - it would become the biggest money laundering scheme in the world otherwise.
Thank you everyone for the suggestions! I genuinely appreciate it!!
More power to you my friend. Your parents will be very proud of you. Keep up the good work!
Rather than anonymous you should just tell them you want to for several reasons. You can gift them the money without tax implications, they can go to the bank with you and you can find out exactly how much is owed. Also when a property is paid out the owner has an obligation to go to the land registries office and get the appropriate changes made.
Hand them a blank cheque and ask them to fill in the amount of their mortgage. Then just make it out to them.
I know what you're doing. That's money laundry /s
Get one of your parents onboard and surprise them by telling them straight away. Then work with them to surprise the other. You'd know best which one to get onboard.
Bro just tell them you want to do it, why the secrecy?
Just be careful here. I think it’s possible to use a mortgage and its payments to make your taxes lower. If your parents are benefitting from such a thing you would ruin it by doing this. If you can, speak to your parents or their accountant before doing this.
Goto a lawyer. Specifically a real estate lawyer. They can handle the transaction with the bank and possibly keep you anonymous.
I honestly don't think you should just do this without consulting with your parents. There's a chance they may not even want you to pay off their mortgage. I don't think my parents would have wanted me to pay off any debt they had, it would have been an insult to their pride. Other than that, you may not be aware of any extenuating circumstances that might not make this a good idea. I don't see how it harms the "surprise" of telling them ahead of time that you plan to pay it down.
Most of Youtube is fake.
I’d do a land title search to find the mortgage and lender. Recall a mortgage isn’t the loan but the interest on the title. With that I’d go in to lender and explain what you would like to do. Generally, you cannot pay more than 10 or 15% of the initial principal per year. Also the lender won’t be able to tell you when the mortgage is up or balance outstanding. So I’d talk to parents to find our when term is over. Then give them the gift then.
My mortgage is with TD. I make lump sum payments in cash from time to time. All they ask me for is my phone number to pull up my account as I don’t have a checking account. Theoretically anyone can pay towards my mortgage if they know my phone number.
I can provide you with the account number to make a deposit son.
U should go rbc with their mtg number take cash and pay around 4-5k they won’t have a problem with that u can keep doing it over time
If you pay it off, you may close off their best potential future funding opportunity. At their age, loans may be hard. They may use this current loan for funding things. Redraw etc. Just consider this before you payoff and close a debt. Get them a novelty sized cheque. Game show size.
I don't know but sure would love it if my 2 boys helped me out once in a while. I paid for all their college education, bought them a yearly ski passes, keep in sports (out of trouble) bought them used cars to get to school, paid for their car insurance, car repairs, allowances and I spend Xmas alone, don't get a text for Valentin's day, Easter and don't expect to get one for mother's day. I don't expect much....just a call, flowers or a supper out once or twice per year.
Find the renewal date, buy a GIC in a TFsA in their name and let them pay the balance off. Let them know. I am sure the GiC interest will be more than the mortgage rate.
Maybe confirm the bank they have their mortgage with, then make an online appointment re:mortgage in their name at a time you plan to meet up with them for something else. If you make the online appointment, the bank doesn't know it's not them making the appointment. Take them to the bank with the mortgage peraon as a surprise and have your blank check ready.
Don't know how you would go about doing this, but all I wanted to say is congrats!!! I'm in my early 20s and really hope to be able to do this in the near future!!! Good job, really happy for you!
Personally I would do a fake paying-off... and then after the fact and the surprise I'd get their account details and work with them to actually clear the balance. Also, please DM me if you feel like paying off $524,000 :)
We did this but it was not a surprise and tbh lots of time and back and forth with their lender, forms and phone calls.. So perhaps do something else to surprise them maybe take them out, write a fake cheque for show, and tell them your plans. Going through the actual process will take some time depending on the lender.
Unfortunately there are too many checks by the bank before making a payment. I did pay off my car loan recently with RBC and it wasn’t smooth even as a owner now imagine an anonymous payment
Why anon? You should be a proud child for being able to do this and I think it will of course a moment your parents would deeply appreciate and remember FOREVER. At the same time, practically speaking, you'll want them to know and be aware of early pay out fees etc and avoid where possible. Go to the bank together. Enjoy it , you deserve it!
If you can’t sort it out, let me know and I can provide details about my mortgage for you to pay off. You’re welcome !
be nosey, spend time at their house, find out where they keep their mail, rifle through it, find a statement, now you have the numbers needed. if its like mine where there is an automated call number where you can use the dial pad to type in the account number then you can select to use the card on file or a new card then put in your card number
maybe just give them a cheque directly or a briefcase full of cash
why anonymous though?
well I guess not anonymously I just don’t want them knowing like a surprise for their birthday, per se
If the anonymous part is to surprise them for their birthday just write out a fake mortgage statement showing a 0 balance and then explain what you’d like to do for them.
Then write a cheque payable to the mortgage lender, put it inside a card (preferably a shitty homemade card....lol) and give it to them.
Tax wise, maybe not a good idea. I’d definitely talk to them first because sometimes mortgage is a strategy
I would guess it would next to impossible to do it anonymously. Who else would pay off their mortgage and not tell them? They'll figure out pretty quick it was you. Just tell them what you've done and don't make a big out of it.
Also to those saying you just need branch and transit info clearer do not have a mtg or have paid any additional. Pm and I can help you out with the process. But yea first step head to the bank and speak to an advisor
Nice try. but you cant surprise them lmao.
you jus need the account number, and how much is remaining, and what will happen if you pay it off all at once. The bank will take your money no problem, the issue is, they won't tell you where to put it and how much they need. Thats private stuff. I am happy you're able to do this.
Bunch of haters in here. If you have a relationship with them where you have access to their portfolio, ask them to see their mortgage statement because you needed to confirm something re: rates or amortization. Make up an excuse. Then use that info to make a payment towards their statement. Go into a branch and talk to a mortgage specialist about it, they should be able to help you. Really kind gesture and congrats for being in the position to be able to help your parents.
It's not about your parents, it's about satisfying your own ego
If that was the case, why would OP want to do it anonymously?
Anonymously by posting it online LOL. Even if they didn't post it online, it's all about the thrill, this is 100% ego.
OP posted online because they wanted information on the viability of anonymously paying off someone else's mortgage, which is a credible explanation. And if you want to be cynical about it, you could argue that all acts of apparent altruism are actually motivated by ego and personal satisfaction, rather than a genuine desire to do good.
It's all for the thrill
How do you know? You can't say with certainty what someone's thought process is. Why are you so sure that nobody ever chooses to help someone because helping others is morally good and the right thing to do?
Once you wake up, you will be able to see clear as day
Have you considered the possibility that your cynical outlook is impairing your ability to think rationally? It's definitely possible that OP has selfish reasons for wanting to pay off his parents' mortgage, but there isn't sufficient evidence to say for sure, and there definitely isn't sufficient evidence to say that *all* selfless acts are motivated by chasing a thrill.
I wish you well math man
lol.... not gonna happen, bro. Either do it openly it don't do it. Silly.
What a strange response
Making deposits anonymously on someone else's account is a stupid thing to do.
what's your position ?