FDIC Examines Changes
in Reverse-Mortgage Regulations
Updated rules for reverse mortgages give priority to borrowers' well-being and address unanticipated issues, the FDIC reported in its Summer 2015 newsletter. The agency noted that many senior homeowners seeking a reverse mortgage are unaware of potential problems with this type of loan, especially if they can no longer afford taxes or property insurance. However, recent U.S. Department of Housing and Urban Development regulations protect surviving spouses after the death of a reverse mortgage borrower. Non-borrowing, surviving spouses can remain in the home pending certain conditions. Earlier this year, the Consumer Financial Protection Bureau issued a warning to consumers about the misleading effects of reverse mortgage advertisements. The marketing for this type of loan often leaves consumers confused. Many had the false impression that reverse mortgages are not a loan but a government-issued program that helps consumers stay in their home for the rest of their lives.
From "FDIC Examines Changes in Reverse-Mortgage Regulations"
The M Report (08/27/15) West, Xhevrije
Updated rules for reverse mortgages give priority to borrowers' well-being and address unanticipated issues, the FDIC reported in its Summer 2015 newsletter. The agency noted that many senior homeowners seeking a reverse mortgage are unaware of potential problems with this type of loan, especially if they can no longer afford taxes or property insurance. However, recent U.S. Department of Housing and Urban Development regulations protect surviving spouses after the death of a reverse mortgage borrower. Non-borrowing, surviving spouses can remain in the home pending certain conditions. Earlier this year, the Consumer Financial Protection Bureau issued a warning to consumers about the misleading effects of reverse mortgage advertisements. The marketing for this type of loan often leaves consumers confused. Many had the false impression that reverse mortgages are not a loan but a government-issued program that helps consumers stay in their home for the rest of their lives.
From "FDIC Examines Changes in Reverse-Mortgage Regulations"
The M Report (08/27/15) West, Xhevrije
No comments:
Post a Comment