Alert
Close

Help Decide the Future of Aging. Join the White House’s Live Stream From Cleveland Monday. Learn more

Highlights

Open
Renew for 3 and attend Life at 50+ for free

Contests and
Sweeps

You Could Choose Your Dream Vacation!

Hawaii, the Grand Canyon or an Alaskan Cruise! No purchase necessary. Ends May 31. See official rules.


Driver Safety

Piggy bank on the road - AARP Driver Safety

Take the new AARP Smart Driver Course!

You Could Choose Your Dream Vacation
Happy African American couple

AARP Books

Visit the Money Section

Enjoy titles on retirement, Social Security, and becoming debt-free.

Jobs You Might Like

most popular
articles

Viewed

Inside E Street

Loan of Last Resort

Is a reverse mortgage for you?

Editor's Note: On Sept. 30, 2013, a federal trial court in Washington, D.C., ruled that HUD violated federal law when it did not protect surviving spouses of holders of reverse mortgages.

Over 600,000 reverse mortgages have been issued since the program started in the late 1980's. Available to Americans 62 and older, the loans help homeowners tap into their home equity to get needed cash.  But since they come with high fees, complicated rules and mandatory financial counseling, are they a good fit for eligible consumers?

Inside E Street profiles two different borrowers with two different outcomes.  Bennie and Caroline Simmons took out a reverse mortgage to help them pay their bills and have been satisfied with it.  Being able to put some money into savings and fix up their home, they concede that the reverse mortgage has changed their lives in a positive way.  However, Robert Bennett has a different story to tell.  Bennett and his wife, Ofelia, replaced their traditional mortgage with reverse mortgage in December 2008.  Unfortunately, Mrs. Bennett passed away a month later.   And since the mortgage was processed under her name, the loan required Mr. Bennett to come up with the cash or risk foreclosure.

Peter Bell, President of the National Reverse Mortgage Lenders Association and Susanna Montezemolo, Vice President at the Center for Responsible Lending join Lark McCarthy to explain what reverse mortgages really are and the circumstances that may serve the borrowers positively and negatively.

This episode aired in July 2011.


Sign up for the AARP Money Newsletter.

 

Topic Alerts

You can get weekly email alerts on the topics below. Just click “Follow.”

Manage Alerts

Processing

Please wait...

progress bar, please wait

Tell Us WhatYou Think

Please leave your comment below.

Advertisement

The Cheap Life

Jeff Yeager Cheap Life Ultimate Cheapskate AARP YouTube web series save money

Catch the latest episode of The Cheap Life starring Jeff Yeager, AARP's Ultimate Cheapskate. Watch

Discounts & Benefits

From companies that meet the high standards of service and quality set by AARP.

Credit safeguards with AARP® Identity Theft Protection from TrustedID®.

AARP Credit card from Chase

Members can get cash back rewards on purchases with the AARP® Credit Card from Chase.

Man using cell phone outdoors

Members save on monthly service & usage fees and get free activation with Consumer Cellular.

Member Benefits

Join or renew today! AARP members receive exclusive member benefits & affect social change.

Advertisement

Advance your skills. Transform your career.

Explore your learning possibilities.