Reverse Mortgage Industry Campaign Aimed at Boosting Image

The reverse mortgage industry has a public affairs campaign aimed at dispelling some of the myths surrounding the loan products for seniors. Some individuals and groups have likened reverse loans to the sub-prime mortgage industry, while others say these loans are a godsend to seniors who need to supplement their income.

Marty Bell, Executive VP of Marketing and Communications for the National Reverse Mortgage Lenders Association, wrote in Reverse Mortgage magazine:

The propagation of untruths about reverse mortgages is unfortunate and probably hurting our industry, at least temporarily. But in the long run it is certainly not an insurmountable problem. We don’t need to fabricate. All we really need to do is all get on board behind the truth and spread it, widely, aggressively, creatively, and at some expense. But none of us can right this situation alone. It takes an industry to get a message out.

To spread that message, several reverse mortgage lenders have committed funds to the NRMLA’s public affairs campaign, which is to include educational outreach. Bell told Reverse Mortgage Daily that “our projected collections from just the companies that have already committed will provide us more than enough to proceed.” Members have committed $100,000 in cash.

So what can you do to get factual information about reverse loans?

1. Ask as many questions as possible when talking with a reverse loan counselor. Not only should a counselor discuss reverse mortgage guidelines, but he or she should be knowledgeable about alternatives to borrowing money.
2. Never sign paperwork that you don’t understand. An attorney can help you review legal documents that are confusing.
3. Never make important financial decisions based upon what your friend or neighbor did. Not everyone can be helped by getting a reverse home mortgage even if they qualify for one.

You can also begin comparing reverse mortgage quotes here.

This entry was posted on Monday, April 12th, 2010 at 6:26 pm and is filed under Reverse Mortgage . You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.