Reverse Mortgage Lender to pay $83M for not playing by the rules

Financial Freedom, a major Reverse Mortgage Lender (HECM) has been fined by the U.S. Department of Justice for not properly following Reverse Mortgage procedures. “This settlement represents our office’s continued commitment to protecting the financial solvency of vital financial programs designed to benefit America’s seniors,” says Stephen Muldrow, acting U.S. attorney for the Middle District of Florida, in a statement. “HECM servicers must be held accountable for failing to adhere to FHA requirements that are designed to ensure the continued viability of the HECM program. We are pleased that Financial Freedom agreed to accept financial responsibility for these failures.”
If you are a senior or the heir of a senior who has passed, you should call CHC at 559-221-6919 to find out what options you have and to make sure your Reverse Mortgage Lender is playing fairly with you.