Debt Consolidation Credit Counseling In Phoenix

Perhaps you already know a good deal about reverse mortgages. You've watched the infomercials on television and you have probably even gotten something about them through mail.

Sometimes all that is known about reverse mortgages, is that a friend of a friend heard from someone they knew who had one, and for some reason it didn't work out so the bank took the house, leaving them homeless.

There is way too much wrong information being spread around by ill-informed people. This is an undeniable truth, and whats more, this information is going unquestioned and decisions are being based on it.

In the business of reverse mortgage, there were some persons who were taken advantage of.

A common happening in the state of Texas was, if asked for financial guidance, estate managers would send customers to a friend of theirs, who so happened to be a reverse mortgage lender.

When the escrow closed, the statement would show a fee charged to the senior, sometimes up to ten thousand dollars, for the consultation of the estate planner.

Because of the financial interest in referring the individual to a reverse mortgage company, they may not have the customers best interest at heart.

Whether the reverse mortgage was the correct financial response to the customers issue was not the problem. The problem lies in related business relationships causing a serious conflict of interest.

It is still up to you to make sure a reverse mortgage is the way to go. A lender will not always be forthright in telling you what is in your best financial interests.

Does that mean a lender wont try to talk you into a reverse mortgage even though it may not be the best financial choice at the time? No.

But even this has its checks and balances. All reverse mortgage borrowers are required to counsel with an approved HUD reverse mortgage counselor prior to moving forward with a reverse mortgage.

This adviser will tell you the honest truth because there is nothing in it for them. They are there to guide, and if your outlook isn't the best based on what you've chosen to do, they will shout it from the rooftops.

The point is if you have a financial issue or know a senior who does, and the subject of the reverse mortgage comes up, don't parrot what you've heard until you really know. You might be surprised at the truth.