Reverse mortgages stoking controversy

As the population ages, reverse mortgages are increasingly popular. But the familiar mortgage problems that characterized the current bust are cropping up again, the New York Times reports. It notes, in particular, the case of Senior American Funding, which has been sued three times in the last 13 months. In some cases, people are pressured to put their loan proceeds into investments sponsored by the firm. In others, they do not explain that the principle on the loan can really grow. And the fees can be astronomical. State regulators will likely be keeping an eye out. They do not want to be caught flat footed again.  

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- here's the New York Times article

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