I mentioned in a previous post that Money Management International, MMI was offering free counseling to seniors who are interested in applying for a Reverse mortgage and most likely, all of the sessions would be quickly taken.
At the time that I provided this information, I knew that the offer would quickly be used up but surprisingly, they are offering it again. This is ideal for those (Including the adult children of seniors) who want to know more about the loan and if it would make sense for them to apply for the FHA insured Home Equity Conversion Mortgage (HECM).
HUD requires seniors to complete counseling in order to apply for the federal government sponsored loan and the purpose of this, is to be sure that they are educated about it, how it works and understand the ramifications and benefits of a Reverse mortgage.
The loan cannot be originated without proof that the senior has completed the counseling. And when they do, they receive three certificates verifying that they have done so. One is given to the Loan officer to be placed in the loan application package, as which point a HUD case # is ordered and the appraisal, Title and credit reports are ordered as well.
Without this certificate, nothing can be done on a loan that would incur any expense to the senior, thereby protecting them against any potential financial abuse. Counseling is crucial component in their decision process and it is very important and reassures them that the loan is well regulated, insured and safe for them to use.
MMI is offering 3500 sessions of free counseling that typically costs $125. This offer will end in Sept. or whenever all of the sessions have been used up and I’m suggesting that if someone is in the stages of investigating Reverse loans for their personal use, they should contact MMI right-way for an appointment. The counseling can be done over the telephone and typically will take about an hour to complete. If you want to take advantage of this, here is their phone number:
Money Management International: 877-908-2227