NewRetirement Retirement News Digest : Reverse Mortgage Counseling Industry Leaders Announce Launch of National Housing Counseling Association
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Reverse Mortgage Counseling Industry Leaders Announce Launch of National Housing Counseling Association

BusinessWire, March 24th, 2008

A coalition of reverse mortgage counseling agencies and elder care experts announced today a collaboration to launch the National Housing Counseling Association (NHCA).

NHCA will act as an independent organization to support HUD-approved 501(c)(3) housing counseling agencies in the delivery of reverse mortgage counseling services. Its principle goal is to support education initiatives and provide resources to improve the operational efficiency, consistency and financial sustainability of reverse mortgage counseling programs nationwide.

The association will build on existing best practices in the reverse mortgage counseling industry and will offer membership to all HUD-approved housing counseling agencies that provide reverse mortgage counseling and are prepared to meet HUD Home Equity Conversion Mortgage (HECM) counseling network standards and abide by the NHCA code of ethics.

The association was created to ensure the availability and quality of reverse mortgage counseling for seniors, said Chuck Stanley, NHCA spokesperson. With the near exhaustion of available HUD funds for HECM counseling, and the delay in HUD's borrower pay regulation, many counseling agencies are being forced to cut back on counseling services. NHCA has developed an industry-wide approach to accessing additional grant funds without the perceived conflict of interest associated with direct contributions by individual reverse mortgage lenders. We believe this approach will be a win-win for all reverse mortgage counseling agencies, their clients and the reverse mortgage industry as a whole.

Participating agencies will have the benefit of accessing industry-leading "DirectConnect Reverse Mortgage Counseling Services" software, which will be used to gather counseling session data for use in grant reimbursement and research purposes.

Jay Greenberg, executive vice president of the National Council on Aging (NCOA), added, We are excited to assist the NHCA in increasing financial transparency and maximizing the value of the counseling and education experience for seniors.

NHCA is currently endorsed by many HUD-approved counseling agencies, and agencies from each of the credit counseling trade organizations, American Association of Debt Management Organizations, Association of Independent Consumer Credit Counseling Agencies, and the National Foundation for Credit Counseling. These participating agencies are responsible for providing more than 80 percent of reverse mortgage counseling sessions done today: By Design Financial Solutions, Consumer Credit Counseling Service of Forsyth County, Consumer Credit Counseling Service of San Francisco, National Foundation for Debt Management, Lutheran Social Services of Duluth, Springboard and Money Management International (and its 120 CCCS branch offices throughout the country).

About National Housing Counseling Association

NHCA pledges help and support the delivery of high quality counseling to seniors, ensure the delivery of consistent, reliable counseling services meeting the business needs of lenders, and develop a sustainable source of revenue for counseling agencies to offset the cost of providing this much needed service. To learn more, or join the association, contact NHCA at info@nhcounselingassociation.org.

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Published Monday, March 24, 2008 8:48 PM by jberman
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