SECU Reverse Mortgage Plan Makes a Difference to Senior Lives
SECU (State Employees’ Credit Union) a North Carolina lender is increasingly being seen as a consumer-oriented reverse mortgage solution provider. The SECU has funded more than 50 reverse mortgages totaling above $5 million since August 2008 when the program was introduced.
A reverse mortgage is a loan provided to qualified home-owning American seniors (above 62 years of age). The money derived from reverse mortgage can be used for any purpose by the borrower.
SECU’s loan is somewhat different from the standard reverse mortgage because the Credit Union provides a fixed and stable interest rate, an accrual method with simple interest, a low origination fee of 1%, no MIP (mortgage insurance premium) and nil monthly service fees.
The Credit Union had consulted with the North Carolina Housing Agency, AARP (American Association for Retired Persons), and Resources for Seniors - a group for counseling reverse mortgage applicants.
With a SECU reverse mortgage, seniors can pay off bills and use the rest of the money for any purpose that they want. There is no need for the senior to make monthly re-payments on a reverse mortgage loan.
Seniors typically use the money from a reverse mortgage to pay off outstanding bills and lead a comfortable living as they please. The money is an additional income for them as they don’t have to pay a regular mortgage repayment any more.
