Transition Statement and Client Assurance

In a recent announcement, Rocket Mortgage confirmed its decision to cease lending operations in Canada. The company assured clients that all outstanding loans would proceed as planned, pledging continued support throughout this transition period. “We want to assure our clients that all loans in process will proceed without issue, and we remain committed to supporting them through this transition,” stated Rocket Mortgage.

Impact on Employees and Support Initiatives

Although the exact number of employees affected by this decision was not disclosed, Rocket Mortgage indicated that many team members from its Canadian operations would receive severance packages. These packages will offer health benefits and career transition assistance. Additionally, some employees may find openings in the remaining divisions of Rocket’s Canadian business, as reported by CBC News.

Company Rebranding and Structure Changes

The Windsor-based Edison Financial, which operates as a subsidiary of Rocket Mortgage, was renamed Rocket Mortgage Canada in August 2022. This strategic rebranding aligns with Rocket’s broader efforts to consolidate its branding in the industry. In January, Rocket Companies, the parent entity, unified several subsidiaries under the Rocket name, enhancing operational coherence.

As part of this rebranding, Amrock has been rebranded to Rocket Close, while its title insurance division is now known as Rocket Title Insurance Co. In addition, the wholesale mortgage division, formerly branded as Rocket Pro TPO, has been streamlined to Rocket Pro.

Legal Developments Involving Rocket

Last month marked a significant legal development for Rocket Homes, a company associated with Rocket Mortgage. The Consumer Financial Protection Bureau (CFPB) voluntarily withdrew its lawsuit against Rocket Homes and other defendants, including the Jason Mitchell Group (JMG). This dismissal, filed in the U.S. District Court in Detroit, effectively bars the CFPB from pursuing the same claims in the future.

This lawsuit had accused Rocket Homes of preferentially directing clients toward Rocket Mortgage and associated services, alleging conflicts of interest between 2019 and 2024. Additionally, key accusations outlined that JMG and its founder, Jason Mitchell, were implicated in promoting business referrals to Rocket entities through incentives like $250 gift cards for top real estate agents.