Part 2 (Your thoughts after…)
Last month (September 11th) brought the implementation of the Financial Interview Tool & Benefits Check Up (BCU) as part of HUD counseling for all reverse mortgage applicants.
Please give us your thoughts (positive or negative) on this new protocol and questions to be covered. We want your perceptions now that the protocol is in effect and you and your clients have had some experience with the new protocol.
Let your voice be heard and post your comments below.
PS: Dont forget that you can view and “instant replay” our webinar last week on this subject.
5 Comments
I have had clients that have completed the new counseling and have nothing good to say about it. It was tolerable before. Now they say it was 2 hours in length and that the questions were invasive, demonstrated lack of respect of one’s privacy, and if they had known it were to have been that long might not have completed it. I prepared them extensively and told them that they did not have to take the BCU if their income requirements were within limits. Did not matter it was still 2 hours long. HORRIBLE situation. Just do not tell your clients I guess about how long it will take. I know that this is another government not having enough to do. Absolutely unnecessary mismanagement of time. incredibly stupid.
Comments back to me were that of the ‘Big Brother syndrome” I have made my own descisions all my life I don’t need asnyone to hold my hand,and I just wasted a lot of time.
l tell the clients to get comfortable . Have a beverage nearby, a list of expenses, utilities car gas food etc l usually provide the list for them to fill in
But it still gets negative feedback .. one client told me they asked her if she ever fell and hit her head….l suspect that because she had a filipino accent and took awhile to register the questions the interviewer must have got impatient. But we need to do whatever to adjust to this setback in order to help the seniors.
“This is just another cover up for the mess Dodd & Frank and their give away philosphy created.” The wrong people are being punished for Government missmangement.Seniors do not need this intrusive action.My suggestion is a balance sheet and budget form to be submitted with the application that the LO can provide,similar to a forward application.The real purpose of counseling is to determine if one understands the Reverse Mortgage and it’s implications and not be grilled about how they spend their money.
My recent client not only had a very long phone call but received a three part proposal from an unnamed source. She was also counseled that she could a loan with either no points or no MIP. Inasmuch as I was providing a no cost version for the client, there was not an issue but what if the chosen lender or product could not be a low cost? The FHA counselor also worked for another “advisory” non-profit group. It is clear that she had an agenda and a friend in the industry. She also was asked if she had considered all other options instead of a reverse mortgage.