Reverse Mortgage Independent Counseling
A very important and required step in the reverse mortgage process is independent counseling. Prior to application, all reverse mortgage applicants must receive independent counseling. This is a step that is in place for your protection and is required by law.
Once you have decided that you would like to move forward with a reverse mortgage, the next step is to schedule independent counseling with an approved counselor. The approved counselors will be approved by HUD and our independent of any reverse mortgage company.
The purpose of the counseling session is to protect you and make sure fully understand the entire reverse mortgage process. You will have the opportunity to learn from the counselor and ask questions. Once you have completed the counseling session, you will receive a counseling certificate showing you have completed your counseling. You will present this to me in the application process.
Below I have listed the 4 national counseling agencies that are approved by HUD. We will also provide you with a list of at least 5 local agencies as well. As we mentioned earlier, the counseling is required through a HUD approved agency before an application can be taken. There may be a charge from some counseling agencies. Some agencies will charge customers directly at the time the counseling is done and some agencies will accept deferred payment. Those that accept deferred payment can be paid from the proceeds of the reverse mortgage loan. The maximum charge that is allowed for reverse mortgage counseling is $125.
CreditAbility: 1-800-251-2227
National Foundation for Credit Counseling: 1-866-698-6322
Money Management International: 1-877-908-2227
National Council on Aging: 1-800-510-0301
If you have any question regarding independent counseling or anything else related to the reverse mortgage process. Don’t hesitate to call me! I look forward to the next time we speak.
