Last reviewed: 2 October 2026
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Reverse mortgage marketing and scams: a verification checklist
The short answer: compare what you are told with what the federal sources say. A reverse mortgage’s balance goes up over time, it generally must be repaid when you sell or stop living in the home, and a HECM requires counseling with an approved counselor, with a list given at first contact.[1, 2] What this term means: a Home Equity Conversion Mortgage (HECM) is the most common type of reverse mortgage.[1]
A reverse mortgage is a loan for homeowners 62 and older, so a pitch that does not match the sources below is a reason to stop and ask questions before signing anything.
Pitch statements to compare with the sources
| What you hear or see | What the sources say | What to do |
|---|---|---|
| The pitch says you will never have to pay it back, or glosses over repayment | The CFPB says the amount owed goes up, not down, over time; the loan generally must be repaid when you sell or no longer live in the home; and it may have to be repaid sooner if you fail to pay property taxes or homeowner’s insurance or fail to keep the home in good repair.[1] | Ask the originator to state when repayment is due and what triggers it, in writing, and compare with the CFPB page. |
| The pitch says anyone 62 or older qualifies | The CFPB describes a reverse mortgage as a loan for homeowners 62 and older and says that along with age there are a few other requirements.[1] | Ask which requirements apply to you and where they are written. |
| No counselor list at first contact, or pressure to skip or rush counseling | At the time of initial contact the lender must give the borrower a list of names, addresses and telephone numbers of HECM counselors approved by HUD’s Commissioner. The borrower, any non-borrowing spouse and any non-borrowing owner must receive counseling; the counselor provides a certificate, and the borrower gives the lender a physical copy.[2] | Our suggestion, not a rule: pick a counselor from the approved list yourself. See how to find a HUD-approved counselor and the HECM counseling requirement. |
| A contract with an “estate planning service firm” that requires, or purports to require, a fee on or after closing that may exceed amounts permitted | The counselor must discuss whether the borrower has signed a contract with an estate planning service firm that requires, or purports to require, a fee on or after closing that may exceed amounts permitted, and the extent to which those services may not be needed or may be available at nominal or no cost from other sources.[2] | Bring any such contract to the counseling session. |
| A spouse who is not on the loan is not discussed | Where there is an Eligible Non-Borrowing Spouse, the counselor must discuss that the spouse must obtain ownership or another legal right to remain in the property for life on the last surviving borrower’s death, that failure to do so makes the loan due and payable without the Deferral Period, and that the property must be the spouse’s principal residence. For an Ineligible Non-Borrowing Spouse the Deferral Period does not apply and the loan becomes due and payable on the last surviving borrower’s death.[2] | Ask how your household’s situation is treated and get it in writing. |
| A borrowing amount quoted with no explanation | The CFPB says how much you can borrow depends on your age, the interest rate and the value of your home.[1] Our suggestion, not a rule: ask what figures a quote used. | Ask which age, rate and home value the quote assumed. |
How to verify this yourself
- Check the originator’s license and any disciplinary record: verification guide. For a reverse mortgage, our standard also checks whether an originator proceeds without a counseling certificate (point 10); see how we check.
- Read the CFPB’s reverse mortgage page, which has how-to guides and a list of key terms.[1]
- Complete the counseling that 24 CFR 206.41 requires.[2] Our suggestion, not a rule: pick the counselor from an approved list yourself.
- If something goes wrong, the CFPB says you can submit a complaint about reverse mortgages at (855) 411-2372.[1] See also our complaint guide.
Limits and unknowns
This page describes typical HECM features as the CFPB does and is not a list of known scams. It does not cover loan costs, proprietary reverse mortgage products, or reverse mortgages in Canada (see how Canada regulates them). It names no company. For lender-side steps see the HECM Financial Assessment and the Library.
When we update this page
We revise this page, and log the change, when 24 CFR § 206.41 is amended, the CFPB updates its reverse mortgage page, or a reader reports an error we confirm. If something here looks wrong, report an error; we review reports within 5 business days. This page explains rules and names no lender, servicer, originator or brokerage; it does not grade anyone. See how we check and the Register for how we assess individual originators.