* CRO says income checks have been tightened up* TD adjusted EPS C$1.27 vs average C$1.21 forecast* CEO says continuing to look for U.S. acquisitions
(Adds comments from executives on conference call)By Matt ScuffhamTORONTO, Aug 25 Toronto-Dominion Bank
has made changes to its mortgage underwriting practices in
recent years, its chief risk officer said on Thursday,
potentially making it more resilient if house prices fall in
Vancouver and Toronto.
Canada’s banks are facing heightened scrutiny of their
mortgage underwriting practices as authorities try to tackle the
potential threat of a housing bubble in the two cities, where
prices have soared.The country’s banking regulator last month raised concerns
about mortgage underwriting standards across the industry,
citing income verification checks as a concern.Speaking to investors after the bank reported
better-than-expected third-quarter results, TD’s Chief Risk
Officer Mark Chauvin said Canada’s second-biggest lender had
already tightened checks in response to price …