A public hearing in Massachusetts will be held to clarify the opt-in and counseling certification requirements for in-person reverse mortgage counseling, the state Division of Banks has announced. The hearing, scheduled for September 14, will also establish the eligibility, procedures, disclosures and counseling requirements for the reverse mortgage program.
There may be changes made to the requirements based on public hearing testimony or public comments, which the Division of Banks is collecting currently. The comment period will be open through September 21.
Massachusetts is one of only a few states to require face-to-face reverse mortgage counseling. A new law passed in the state last August required the in-person counseling for those borrowers who do not meet certain income and asset thresholds. The legislation is now scheduled to go into effect on August 1, 2012. Similar legislation in Georgia would also require counseling in person, and North Carolina currently requires it.
Written by Elizabeth Ecker