Complaints about mortgages are the second most common among American seniors according to figures from the CFPB
.jpg)
Complaints about mortgages are the second most common among American seniors according to figures from the CFPB.
The bureau says that since it started accepting complaints in 2011, more than 103,000 complaints have been made from those voluntarily providing their age as 62 or older.
The most complained about financial service or product among seniors in March 2017 was debt collection with 496 complaints.
Mortgages came next with 486 complaints and they were also the subject of 26% of all complaints from older consumers since 2011. This is 10 percentage points higher than those voluntarily giving their age as under 62.
“Older consumers who may be on a fixed income are at a greater risk for financial trouble if they encounter problems with financial products or services,” said CFPB Director Richard Cordray. “The complaints submitted by older consumers are important for the Bureau to ensure we are properly looking out for this segment of the population.”
Reverse mortgages or Home Equity Conversion Mortgages, exclusively available to those aged 62 or older, were the subject of 2,800 complaints to the bureau as of April 1, 2017.
The most common problems for reverse mortgage complaints have been:
There were also complaints regarding reverse mortgage servicers being slow to respond to requests to
remain in the home from a non-borrowing spouse of a deceased borrower.
The bureau says that since it started accepting complaints in 2011, more than 103,000 complaints have been made from those voluntarily providing their age as 62 or older.
The most complained about financial service or product among seniors in March 2017 was debt collection with 496 complaints.
Mortgages came next with 486 complaints and they were also the subject of 26% of all complaints from older consumers since 2011. This is 10 percentage points higher than those voluntarily giving their age as under 62.
“Older consumers who may be on a fixed income are at a greater risk for financial trouble if they encounter problems with financial products or services,” said CFPB Director Richard Cordray. “The complaints submitted by older consumers are important for the Bureau to ensure we are properly looking out for this segment of the population.”
Reverse mortgages or Home Equity Conversion Mortgages, exclusively available to those aged 62 or older, were the subject of 2,800 complaints to the bureau as of April 1, 2017.
The most common problems for reverse mortgage complaints have been:
- Problems when unable to pay (modification/collection/foreclosure) – 39%
- Making payments (loan servicing/payments/escrow accounts) – 33%
- Applying for the loan (application/originator/mortgage broker) – 16%
There were also complaints regarding reverse mortgage servicers being slow to respond to requests to
remain in the home from a non-borrowing spouse of a deceased borrower.
