Today we see many different (one time) celebrities selling our elderly on the concept of a reverse mortgage. The idea that they can enjoy the equity they built up in their homes with no payments while they live in the house. The trouble is that a mortgage company is a company out to make money as soon as possible. So what happens is the original mortgage company will sell the mortgage to another company and so on. I can’t speak for every company. In the last four years sense my mother signed up for a reverse mortgage she has worked with at least 4 or 5 companies. Each one does the same thing.
1. Call and insist she send her insurance information
2. Send a letter and or call insisting her insurance information was not adequate and if she could not prove insurance than she will be in violation and forfeit the house.
3. After 3 or 4 faxes and calls from her insurance company they drop it or start it all over again insisting they did not receive any info.
4. Then they insist she has not paid the taxes which is a violation of the agreement. She is on a payment plan and is all caught up on the taxes but like with the insurance it takes official papers from the state to prove the taxes are all paid up. One paid the taxes then sent her a bill with a large fee and a threatening letter saying (essentially) pay or forfeit the home.
It seems that this company wants to trick her out of her home and at one point almost did. Has anyone run into this or has it been smooth sailing? Please post your experiences.
There are most definitely scammers out there. While it is reasonable to want to verify insurance, I think the best way is to send it return receipt mail and then ignore whatever else they send except perhaps a phone call to tell them they already have it. Keep a copy of everything. If they sue, file a counterclaim for fraud, harassment or whatever else you can think of - she should be well covered.
I'm sorry for your Mom. I knew this one was rotten right out of the box. They want a reverse mortgage? 30 years with all of the fat up front,just like they got.
Having a lawyer on retainer may help. There are some elder lawyers that can help keep the wolves at bay and keep her stress free.
Sorry she has to deal with this.
Another option is to sell the house?
I would have an easier time convincing her to shave her head than speak to an attorney. And the house was her parent’s home (bought in the 1940’s) where she grew up. There is a saying that once you live in the village (Lakemore) you never really leave. It’s like Mayberry (as long as you over look all the Meth labs and people barricading themselves in their homes. A meth Mayberry.
by Toby A. Shahin 8 years ago
What happens after death of occupant in home that has a reverse mortgage?Am drawing Last Will and Testament. What happens to my house? Does it merely stay with the bank?
by Demas W Jasper 18 months ago
Can two families that inherited a home do a reverse mortgage, if each lives in the home 1/2 the year
by Virginia Kearney 5 years ago
What is the most outrageous driving violation you've ever witnessed?Simone's Weekly Inspiration made me remember the wackiest driving moment my husband and I ever witnessed. On an eight lane road in Florida, we were stopped at a stop light when suddenly, the person in the FAR RIGHT lane...
by Eric Dierker 5 years ago
Boy Scouts. Why are people forcing them to accept gay members and leaders? I get gay rights. I wish we could get along on the issues of gay marriage or something equivalent. I became a Life Scout and loved the experience. I was in Order of the Arrow and JLTC. But I do not get why the two need to be...
by Beth Perry 5 years ago
What insurance icon do you most wish would be permanently retired?Insurance icons are often so over-used people become sick of them quicker than the line moves at the claims office. If you had the power to get rid of just one, which insurance icon would you ax from ad world: the Geico...
by LoliHey 22 months ago
Doesn't freedom of speech mean that there are no consequences?Lately we hear about people losing their jobs for stuff they tweet and post. People say, "Well, freedom of speech does not mean freedom from consequences." I beg to differ, though. You're supposed to be able...
Copyright © 2018 HubPages Inc. and respective owners. Other product and company names shown may be trademarks of their respective owners. HubPages® is a registered Service Mark of HubPages, Inc. HubPages and Hubbers (authors) may earn revenue on this page based on affiliate relationships and advertisements with partners including Amazon, Google, and others.
|HubPages Device ID||This is used to identify particular browsers or devices when the access the service, and is used for security reasons.|
|Login||This is necessary to sign in to the HubPages Service.|
|HubPages Traffic Pixel||This is used to collect data on traffic to articles and other pages on our site. Unless you are signed in to a HubPages account, all personally identifiable information is anonymized.|
|Remarketing Pixels||We may use remarketing pixels from advertising networks such as Google AdWords, Bing Ads, and Facebook in order to advertise the HubPages Service to people that have visited our sites.|
|Conversion Tracking Pixels||We may use conversion tracking pixels from advertising networks such as Google AdWords, Bing Ads, and Facebook in order to identify when an advertisement has successfully resulted in the desired action, such as signing up for the HubPages Service or publishing an article on the HubPages Service.|