Debt Consolidation Credit Counseling In Phoenix

The reason I'm writing this article is I'm getting many questions from my customers asking me if this is the reverse mortgage is the right answer for them.

The truth is the reverse mortgage is not a great decision for all borrowers. Situations are unique and they must be evaluated individually.

I have a few borrowers with a bunch of money in savings but the majority have next to nothing and are looking for financial answers.

The typical MO of my customer is a fixed income through SS or retirement. A few are still working but looking to be done with that.

My concern is the worst case scenario. If someone really ran into a major financial need, like a medical issue, would they be able to handle it?

Lets face it life happens and we have to be ready for it. That means we have to be financially ready.

I know most of these folks will be getting the reverse mortgage with me. I simply advise that the funds are used in a prudent manner. Increased disposable income tends to get spent.

The reason being is the house is going to be the biggest store of cash for any of these individuals. If that is floundered away they could be in a real bind later on when something big comes along.

If the concern is for the event of a major financial mess then the borrower needs to be very prudent. Many want to pay off a mortgage and eliminate that payment. Waiting to do this may be a good idea.

Some have their home paid off and simply want to add to their income. These folks should use a line of credit. By doing so a very small amount of interest accrues against the equity of the home.

Serendipity of the line of credit is the unused portion of the money line accrues interest and actually grows. This has the net effect of growing the line of credit for use later.

As a guy who gets people these loans I know they are a real benefit. However, they can be misused and I implore you to use them with care.