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Code of Conduct:
We strictly adhere to the National Reverse Mortgage Lenders
Association Code of Conduct.
Members of the National Reverse Mortgage Lenders Association are
mindful that the soundness, usefulness, prosperity, and future of
our industry depends upon the honor and integrity of all persons
engaged in the business. We too also agree to observe and maintain
the following standards of conduct in dealing with the senior
community and their families:
·
Treat
all clients with respect and dignity.
·
Protect the client’s privacy and confidentiality and not distribute
personal financial information to any third party without permission
from the client.
·
Encourage clients to discuss the loan transaction with family
members and/or other trusted advisors.
·
Inform clients at no charge about all of the member’s reverse
mortgage programs and assist each client to determine the program
most suitable for his or her needs.
·
When
estimating potential reverse mortgage benefits, clearly and
accurately identify all costs.
·
Take
reasonable steps to check out the background and procedures of third
parties before accepting referrals of business from them, and refuse
to accept referrals from those that are found unacceptable. Members
shall disclose to clients any third party with a financial interest
in the reverse mortgage transaction.
·
Not
imply to a borrower that he or she is obligated to purchase any
other product or service any other company in order to obtain a
reverse mortgage.
·
Pay
all loan proceeds directly to the borrower, except to retire
existing debt, pay a contractor from the borrower’s repair set-aside
account, or pay property taxes or hazard insurance premiums from the
borrower’s set-aside account for taxes and insurance.
·
Employ individuals who have passed a background check and are found
to be of good moral character.
·
Report any suspected violations of the Code of Conduct to the
National Reverse Mortgage Lenders Association, and cooperate with
all their investigations.
·
Make
a good-faith effort to resolve concerns received from clients about
a reverse mortgage transaction.
·
In
all of their loan origination arrangements, comply (with the advice
of qualified counsel as appropriate) with all applicable regulatory
requirements including: (i) provisions of the federal Real Estate
Settlement Procedures Act barring referral fees; (ii) state mortgage
regulatory provisions requiring licensing by loan originators, if
applicable; and (iii) with respect to FHA-insured HECM reverse
mortgage loans, FHA provisions requiring licensing and restricting
employment arrangements.
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