Free Republic

This sleazy ad has been on cable news all day. Former presidential candidate and country bear Fred Thompson wants old people to get "Absolutely FREE," government-backed reverse mortgages. What do we know about this shady company Thompson is endorsing? ...Oh right, and they're government-backed! That's how investors get paid. (Fred Thompson, a true Fiscal Conservative, makes a big point of this "full government backup" in his terrible ad.) Reverse mortgages are available to homeowners who are 62 years old or older and own their homes outright or have a substantial amount of home equity, according to the HUD site. The...

OAKLAND, CA - More senior citizens are looking into reverse mortgage loans as a way to offset the income that has vanished as the result of losses in their investments. This is from data gleaned by Golden Gateway Financial here from usage data for its online reverse mortgage calculator. However, on the other side of the equation, the company said, homeowners are seeing their home values drop, as evidenced by changes in the S&P/Case-Shiller Home Price Indices. "For many older Americans, the time to act to stave off continuing losses is now," said Eric Bachman, founder and chief executive of...

...As consumers max out their credit lines and banks clamp down on lending, many older and middle-class Americans are resorting to pricey, often-risky alternatives to stay afloat. Some are depleting their retirement accounts, tapping 401(k)s for both loans and hardship withdrawals. Some new fast-cash options allow homeowners to squeeze equity from their houses -- without the burden of monthly payments. One new product offers a one-time payment. In exchange, the company gets up to 50% of any future change in the property's value, typically collecting its share when the house is sold. Americans are resorting to these more extreme measures...