HUD has published the long-awaited HECM counseling protocol. We’ve summarized some of the important parts and provided a copy to download. At the bottom of the memo is an update published by FHA that noted some inconsistencies in the protocol.
In a memo to counseling agencies, the Department of Housing and Urban Development clarified that there is no cap or maximum amount that can be charged for HECM … more HUD Reiterates Policies on HECM Counseling Fees
Massachusetts’ Division of Banks confirmed with NRMLA’s outside legal counsel that those seniors who received counseling on or before July 31, do not have to be re-counseled in-person.
NRMLA submitted comments to HUD requesting that HECM counselors be exempted from new examination requirements that will assess a housing counselor’s competency guiding consumers through the homeownership process.
NRMLA is disseminating the following notice to members as a reminder of the counseling safeguards that HECM counselors and lenders must follow when meeting with prospective clients.
In an email sent to HECM Counselors, HUD clarified the meaning of non-recourse and promised to update the HECM Counseling Protocol in Handbook 7610.1.
HUD sent a similar notice this week to all mortgagees advising them not to steer clients, participate in counseling sessions, or inappropriately prep clients in advance of counseling.