The National Council on Aging is teaming up with seniors to protest a program cut that helped seniors understand reverse mortgages. The new budget deal which goes to Congress this week for signing eliminates $88 million dollars in funding for reverse mortgage counseling. Before a senior can obtain a reverse mortgage, which represents 95 percent of the market, they must first go through a HUD counseling program. The NCOA is one of the providers for this counseling, accord to PR Newswire.
The counseling is crucial to help seniors understand the risks and costs associated with reverse mortgages. Without this counseling they may not understand the process and could possibly face foreclosure if their spouse who holds the reverse mortgage dies, and need a foreclosure attorney. In these tough economic times many seniors must tap into their equity to make ends meet.
Foreclosures rates have decreased slightly but it is a dilemma many people still face. The prospect of losing a home is frightening especially if a person lives on a fixed income. Foreclosure lawyers work to keep their homes for the people facing this prospect. If people can get advice and information about their equity loans or the mortgages they take out then the number of foreclosure would likely fall. With no counseling seniors could face foreclosure, relief from which can be obtained with a foreclosure attorney. Knowledge is power, but finding information about reverse mortgages can be difficult for seniors who are losing a valuable program.
