Who Needs to Attend the Reverse Mortgage Counseling Session?

Who needs to attend the reverse mortgage counseling session?

Reverse mortgage counseling is an opportunity for you to ask any questions you may have about reverse mortgages. But how do you know who needs to attend?

Borrowers are required to attend a reverse mortgage counseling session (also known as HECM [heck-em] counseling) as mandated by the Department of Housing and Urban Development (HUD). The counselor must be HUD-approved and a third party individual (other than the lender), to ensure that you are receiving unbiased information. Their purpose is to assist you with weighing out the pros and cons of a reverse mortgage, as well as explain the process and borrower obligations to you. The counseling sessions can be done over the phone or in-person and can typically take up to an hour, depending on the questions that you ask. After your reverse mortgage counseling is complete, you will receive a certificate of completion which will allow you to proceed with the reverse mortgage.  

If you are on the deed, you are required to attend the counseling session. Other family members are also welcome to attend the meetings to learn more about reverse mortgages, such as adult children. In cases where the borrower is unable to attend the meeting, power of attorneys and other legal entities may be able to attend the meeting.

It is also important to discuss that you are doing a reverse with others who are not on the deed, such as tenants, roommates, other family members, etc. This is to help them understand what will happen with the reverse mortgage after you pass away. It may be helpful to allow them to attend the reverse mortgage counseling, so that they can get a better understanding of the program.

To learn more about the Reverse Mortgage (HECM) program, call 1-888-808-8486 to speak with an advisor.

Read Related Articles:

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Top 6 Questions About Reverse Mortgage Counseling

About the Author:

I have been working in the reverse mortgage industry for 20-plus years. My goal is to provide consumers the most up-to-date and relevant information about the reverse mortgage industry and how it can affect them.

Thanks for reading!

-Alan F.

 

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