TD Bank Group is bringing agentic AI into one of the most important parts of Canadian banking: real estate secured lending.
The Toronto-based bank announced today the launch of its first agentic AI model, designed to automate and streamline the application process for mortgages and Home Equity Lines of Credit. TD says the move marks a major milestone in its enterprise-wide AI strategy and represents the first step in a broader transformation of its Real Estate Secured Lending operations.
Developed by Layer 6, TD’s AI research and development centre, alongside teams across technology, data, lending, and risk management, the new model automates the pre-adjudication process by generating application summary memos for underwriters in minutes instead of hours.
Sandra Aziz, Senior Machine Learning Engineer at Layer 6, helped lead development of the bank’s first agentic AI application.
“We built where nothing else existed. Everything is new,” Aziz said about the project. “The agentic AI agent will summarize different information from different data points and provide the right information to a human.”
Agentic AI refers to autonomous AI agents that use generative AI language models to complete tasks with minimal human intervention. In TD’s case, the agents classify client documents, extract key information, calculate income, validate figures against select policy requirements, perform consent checks, search for discrepancies, and generate concise summaries for underwriters.
According to TD, early results show the technology has reduced the process from an average of 15 hours to less than three minutes, while improving accuracy and lowering both risk and adjudication costs.
“Agentic AI is enabling us to deliver what clients tell us matters most — speed and simplicity,” said Mohit Veoli, Senior Vice President, Real Estate Secured Lending at TD. “By providing confident decisions earlier in the homebuying process, one of life’s milestone moments, we’re meeting our clients where they need us most, making the experience simpler and faster.”
TD says the mortgage and HELOC application process is only the beginning. The bank has mapped every step of the real estate secured lending journey, from document submission to the release of funding, and plans to introduce agentic AI across the process. It is also exploring opportunities to apply the technology in other parts of the bank.
Aziz said TD’s agentic AI work could eventually make everything from opening a new chequing account to applying for a line of credit easier and faster.
“Agentic AI will supercharge our work and put us in a position to deliver more accurate and faster results for our clients,” said Luke Gee, Chief Analytics and AI Officer at TD. “We’re building a hybrid future where our colleagues and AI work together to help our clients get to a ‘yes’ faster on some of their most important decisions.”
TD says the model will be overseen by its Trustworthy AI team, which evaluates AI systems for privacy, security, fairness, accountability, and explainability before deployment and continues monitoring them once in use. The bank says its approach includes checks and balances throughout development and a human in the loop.
The launch also brings TD closer to its goal of generating $1 billion in annual value from AI in the coming years.
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