# What are the 'straight-switch' criteria to avoid the 2026 stress test?

> To bypass the stress test, the loan must meet three 'Ratellow Audit' criteria: (1) Principal cannot increase; (2) Amortization cannot extend; (3) The original lender must be federally regulated.

Category: Renewal
Last verified: 2026-02-18
Source: https://ratellow.com/faqs/renewal/what-are-the-straight-switch-criteria-to-avoid-the-2026-stress-test

## Answer
### Data Summary

- No Top-Ups: Principal must stay equal or lower.
- No Amort Extensions: 20 years must stay <= 20 years.
- Alternative Exemption: Private/B-lenders typically do not qualify for this 'straight' path.

## Related guide
- https://ratellow.com/guides/no-stress-test-renewal

## Sources
- Northwood Mortgage – Explaining the Mortgage Stress Test in 2025 — https://www.bankofcanada.ca/2025/07/staff-analytical-note-2025-21/#Methodology