HUD-Approved HECM Counseling
Reverse Mortgage Counseling
Understand how a Home Equity Conversion Mortgage works before you make a long-term decision about your home. Money Fit provides independent counseling on costs, borrower responsibilities, alternatives, and what the loan can mean for you, your spouse, and your heirs.
Housing counseling support hours are Monday through Friday, 9:00 AM to 7:00 PM Eastern Time.
Request a counseling session
Submit the form so Money Fit can review your request and follow up with scheduling and preparation details. Requesting counseling does not obligate you to obtain a reverse mortgage, use a particular lender, or enroll in another Money Fit service.
Your information stays with Money Fit. Money Fit uses the information you submit for counseling-related follow-up and documentation. Avoid including information you do not want in your counseling file. Review the Privacy Policy.
HECM counseling explains the loan before you decide whether to use your home equity
A Home Equity Conversion Mortgage, or HECM, is an FHA-insured reverse mortgage for homeowners age 62 or older. The loan allows a qualified homeowner to borrow against home equity without making the monthly principal-and-interest payments required by a traditional mortgage. Interest and loan charges are added to the balance over time.
Prospective HECM borrowers generally must complete counseling with an approved HECM counselor. The session explains how the loan works, its costs, the conditions that can make it due, your continuing responsibilities as a homeowner, and alternatives that may fit the same need. Counseling provides information and a certificate when the requirements are completed. It does not approve the loan or recommend a lender.
Counseling through a HUD-approved nonprofit agency
Money Fit is operated by Debt Reduction Services, Inc., a nonprofit housing counseling agency approved to participate in HUD’s Housing Counseling Program. HECM counseling is educational and independent from the lender. The counselor helps you examine the loan, alternatives, and household circumstances without making the borrowing decision for you.
Money Fit does not lend money, originate reverse mortgages, receive loan proceeds, or require you to choose a particular lender. Review additional HECM information through the U.S. Department of Housing and Urban Development.
What reverse mortgage counseling covers
The session is designed to give you enough information to understand both the immediate transaction and the long-term effect on your household and home equity.
How a HECM works
Review the basic loan structure, payment options, available proceeds, interest, mortgage insurance, and how the balance changes over time.
Costs and home equity
Understand the upfront and ongoing costs and why a growing loan balance generally leaves less home equity available later.
Ongoing responsibilities
Discuss property taxes, homeowners insurance, required maintenance, and the rule that the home remain your principal residence.
Repayment and loan maturity
Review events that can make the loan due, including selling the home, permanently moving, or the death of the last surviving borrower.
Spouses and heirs
Consider who will be a borrower, whether a spouse may be an eligible non-borrowing spouse, and what family members may need to do later.
Alternatives and resources
Compare other ways to meet the financial need, including available benefits, expense changes, downsizing, refinancing, or another housing plan.
Responsibilities that continue after closing
A reverse mortgage changes how the loan is repaid, but it does not remove the ordinary responsibilities of owning the home. Failing to meet these requirements can cause a HECM to become due and payable.
Pay property charges
Property taxes and homeowners insurance must remain current. Other charges, such as flood insurance or association fees, can also apply.
Maintain the home
The property must be kept in good repair and meet applicable loan requirements. Required repairs remain the homeowner’s responsibility.
Use it as your principal residence
The home must remain the borrower’s principal residence. Extended absences or a permanent move can affect the loan.
Plan for later repayment
The loan will eventually need to be repaid, commonly after the home is sold, the borrower permanently moves, or the last surviving borrower dies.
What to expect after submitting the form
The counseling process is separate from the lender’s underwriting and approval process.
Money Fit reviews the request
The housing team confirms that HECM counseling is the appropriate service and explains any documents or participants needed for the session.
The session is scheduled
Counseling is generally completed by phone or video when available. Most sessions take approximately 60–90 minutes.
You meet with the counselor
The counselor reviews the loan mechanics, costs, responsibilities, alternatives, and your questions in a private educational session.
The certificate is issued
Money Fit provides the HECM counseling certificate after the applicable counseling requirements are completed. The certificate confirms counseling, not loan approval.
What to have ready for counseling
Start with the information available to you. Complete documents can make the session more specific, but you can still request counseling if you are waiting for part of the lender package.
- The lender’s reverse mortgage information package and loan comparison materials
- Your current mortgage statement and estimates of the home’s value
- Recent income information and a practical estimate of monthly household expenses
- Property tax, homeowners insurance, association fee, and major home-repair information
- Information about a spouse, co-borrower, or other person whose housing may be affected
- Your questions about proceeds, costs, repayment, moving, long-term care, heirs, or alternatives
Removing a monthly mortgage payment is only one part of the decision
A HECM can improve monthly cash flow for some homeowners, but the loan balance grows while property taxes, insurance, maintenance, and everyday living costs continue. The decision also affects the equity that may be available for a later move, long-term care, or an estate.
Counseling creates room to compare the immediate benefit with those longer-term tradeoffs. A useful session should leave you clearer about the loan, the alternatives, and the responsibilities you would be accepting.
Request reverse mortgage counseling
Share the information you have now. Money Fit will review the request, explain what to prepare, and help schedule the appropriate HECM counseling session.
Frequently asked questions
What is HECM counseling, and why is it required?
HECM counseling is an independent educational session for prospective borrowers considering an FHA-insured Home Equity Conversion Mortgage. The counselor explains the loan, costs, responsibilities, alternatives, and long-term considerations. Most prospective HECM borrowers must complete counseling before moving forward with the loan.
How long does a reverse mortgage counseling session take?
Most sessions take approximately 60–90 minutes. The actual time depends on the borrowers, documents, financial circumstances, and questions that need to be covered.
How much does reverse mortgage counseling cost?
Money Fit charges $159 for reverse mortgage counseling. A fee waiver may be available for households with income at or below 150% of the federal poverty guidelines. Ask about waiver eligibility during follow-up.
Can reverse mortgage counseling be completed remotely?
Money Fit generally provides HECM counseling by phone or video when permitted by applicable program requirements. The housing team will explain the available format when scheduling the session.
Does my spouse need to participate?
Participation requirements depend on who will be a borrower, the spouse’s status, property rights, and HECM rules. Tell Money Fit about any spouse or other person whose housing may be affected so the housing team can explain who should attend.
What documents should I have ready?
Bring the lender’s reverse mortgage information, your current mortgage statement, available property information, income and expense details, and estimates for taxes, insurance, association fees, and major repairs. Start with what you have if some documents are still pending.
When will I receive the HECM counseling certificate?
Money Fit issues the certificate after the applicable counseling requirements are completed. The certificate confirms that counseling occurred. It does not approve the loan, guarantee lender acceptance, or confirm that a reverse mortgage is suitable for every household.
Does Money Fit provide or recommend reverse mortgages?
No. Money Fit provides independent housing counseling. It does not lend money, originate or broker reverse mortgages, choose a lender for you, or receive the loan proceeds.
