Financially Strapped Nebraska Seniors Reportedly Being Targeted As Reverse Mortgage Prospects

In Omaha, Nebraska, the North Platte Telegraph reports:

• An Omaha agency that helps homeowners facing foreclosure is concerned that senior citizens could be the target of a new wave of predatory lending that strips them of their home equity. Teresa Coleman Hunter, executive director and chief executive of Family Housing Advisory Services Inc. and Omaha 100 Inc., said that within the past week she has seen an increase in e-mails that appear to be from companies recruiting people to solicit senior citizens who are behind on mortgage payments but have equity in their homes. The companies purport to have “hot leads,” or data such as phone numbers, addresses, late payment history and loan-to-value ratios on senior citizens. The e-mails say little experience is needed for the job, and they promise commissions for each reverse mortgage secured.

• “It’s a recruitment to get in on the business of doing reverse originations on seniors,” Hunter said. “With the foreclosure crisis, that’s how people got into loans they couldn’t afford. Here it is again, with seniors that stand to lose a great deal. And I just don’t want it to happen.”

Source: Senior citizens urged to guard home equity.

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