Items Tagged with 'counseling'

ARTICLES

  • HUD Updates Counseling Guidance

    The Department of Housing and Urban Development (HUD) has released a new mortgagee letter offering new guidance regarding the administration of HECM counseling.   Mortgagee Letter 2011-31 presents five separate updates or guidance to HECM counselors and lenders as it relates to the HECM counseling protocol and certificate: Revisions to the Certificate of Counseling (HUD form 92902) - adds a specific data field for the attorney-in-fact holding a Power or Attorney name and signature, add the HECM Saver as an option to be presented by counselors, replaces the Agency Tax Identification Number with the Agency Housing Counseling System Identification
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  • HUD Adds Intermediaries to the Counseling List

    The Department of Housing and Urban Development (HUD) has added three intermediaries to the list of counseling agencies required to be provided to prospective borrowers. Mortgagee Letter 2011-26 (ML 11-26) lenders are required to included HUD-approved intermediaries that are awarded HECM counseling grant funds by HUD. This list is updated each year, typically in January. HUD noted that updates could be added at other times, as well, as awards are given. It is the lenders responsibility to ensure they update the current contact information for intermediaries and agencies. With the inclusion of the three new intermediaries to the existing
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  • Allow Lenders to Fund Reverse Mortgage Counseling

    With counseling funding cut from the federal budget, but counseling remaining a requirement for reverse mortgage borrowers, Tom Kelly columnist for The Spokesman-Review in Spokane, Washington, is calling for private lenders to be allowed to fund reverse mortgage counseling.   Current funding for reverse mortgage counseling is expected to fund agencies through September 30, 2011.  Following that, free counseling for reverse mortgage clients is expected to dry up, other than for those meeting low income thresholds mandated by HUD.  The costs for the counseling sessions are also expected to increase as a result of a recent mortgagee letter.  The
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  • HUD Updates Counseling Guidance

    The Department of Housing and Urban Development (HUD) released Mortgagee Letter 2011-09 to update guidance of the counseling documentation and fee requirements, including provisions that allow for increased counseling fees. In regard to fees, the letter clarifies documentation and record keeping requirements for agencies that charge fees, including waiver requirements for certain low income clients.  Counseling agencies are required to waive a counseling fee when they have sufficient documentation to demonstrate the client's income is below 200% of the Federal Poverty Level. Such documentation must be in the form of Social Security payment stubs, income tax returns for prior
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