by NCLC
It is almost never a good idea to mortgage your home to pay off credit card and other unsecured debt. By trading in credit card debt for a mortgage loan, you risk the loss of your home if you continue to have financial problems. Refinancing an existing mortgage may make sense, but generally only if you are having difficulty with the current mortgage payment and the new mortgage will provide a lower payment and better terms.
A reverse mortgage lets older homeowners borrow on the equity in their homes, but is different than a traditional mortgage. Unlike a traditional home equity loan, repayment is not required until you sell your home, move out permanently, or die. The amount of money you owe increases over time because you do not make payments. The lender pays you the money you borrow either in a lump sum, in monthly installments, or as a line-of-credit. Reverse mortgage options may be confusing and there are many things to consider before deciding it can help. Before applying for a reverse mortgage, you should get counseling from an impartial housing counselor.

Kurt O’Keefe, Esq.

OFFICES IN WAYNE, OAKLAND AND MACOMB COUNTIES

Phone:  313-962-4630

Fax:  313-216-2999

email kurt@stopcreditor.com