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HWA

Joined: 01/05/2001 Posts: 5542
Likes: 1601


Eh. An offer is made, an offer is accepted (or not). Not really a scam.


Now, if you want to argue that some people are too stupid/naive to make large financial decisions, and we should "restrict" those people --- sure, that's a worthwhile argument.

But then you'd get just as many people complaining that they're "trapped" in their house, and unable to leverage the equity. Lend to dumb people? Ah, you're discriminating against dumb people. Don't lend to dumb people? Oh, that's discrimination too!

Many of the "scams" involve a situation where husband/wife take the Reverse Mortgage, but only one of them is named in the deal/paperwork. Guess what happens when the Named Person dies? Yep, the other person has no right to remain in the house.

But they certainly don't seem to mind when they take the money. And in many cases, only naming the one person allows them to collect *more* money (because of Life Expectancy calculations).

The balance comes due some day.

(In response to this post by vt90)

Posted: 02/18/2021 at 12:07PM



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