Mr. Ed Sibley:

It would certainly imply that they are on a rate consistent with what other borrowers are being charged in the bank, which might be entirely appropriate. For example, a borrower might have had some shocks, such as temporarily losing his or her job or going through a period of time when he or she was unable to pay the mortgage, but that person is now back in employment and his or her circumstances have improved to a point where the borrower is now comparable with where he or she was previously. There is the issue of dealing with whatever the legacy was in terms of the period when the borrower was in difficulty, and there are arrangements in place to deal with that. However, the borrower's ongoing repayment capacity might be similar to or the same as it was at the time he or she took out the mortgage.