Should I use a reverse mortgage to consolidate my debts?
It depends. Talk to a HUD-approved reverse mortgage counselor before consolidating your debts with a reverse mortgage.
A HUD-approved reverse mortgage counselor can:
- Advise you on managing your money and debts.
- Help you develop a budget.
- Give you free educational materials or workshops.
- Discuss the risks of consolidating unsecured debts (credit cards, etc.) into a loan backed by your home.
Avoid people and businesses who claim that they will help you lower your debts but ask for big fees upfront or make unrealistic promises – like restoring your credit or repaying your debts for pennies on the dollar.