HECM Test 100% Correctly Solved 2024

HECM Test 100% Correctly Solved 2024 A Counseling Agency's failure to follow all basic requirements required by HUD could result in which of the following: A. Termination of agency's HUD approval B. Suspension of agency's HUD approval C. Forfeiture of remaining federal grant funds D. Fines and or imprisonment E. a , b , and c F. all of the above - Answer- E. Termination of agency's HUD approval Suspension of agency's HUD approval Forfeiture of remaining federal grant funds T/F A counseling agency must offer and provide face-to-face counseling to clients that prefer this format whenever possible. - Answer- True All of the below statements are requirements that each agency must follow EXCEPT: A .In cases where an agency does not offer unique services requested by the client, the agency must refer the client to another participating agency, preferably in the client's area. B. An agency must maintain a national license and a separate license for each state in which services are provided. C. An agency must make reasonable efforts to provide language assistance to persons who are Limited English Proficiency (LEP). D. An agency must notify HUD and provide a copy of the updated Work Plan prior to implementation of any changes to the agency's Work Plan - Answer- B T/F Reverse Mortgage counselors must discuss an action plan during each counseling session. - Answer- False All of the following are true of the client's required "follow up" EXCEPT: A. The follow-up must be completed by a Certified HECM Counselor B. verbal attempts must be made to contact the client for follow-up C. A written letter to the client must request the client contact the agency within 30 days of the date of the letter. D. Issuing surveys to assess housing outcomes does not fully meet the requirement for the client follow-up and hiring a third party agency to conduct the follow up is not prohibited. - Answer- D. Which of the follow best defines a Reverse Mortgage: A. A federally insured loan that allows borrowers 62 years and older to convert the equity in their home into available cash and which will be paid by heirs of the borrowers upon their passing. (HECM) B. A mortgage available to those with 100% equity and a home in good condition that requires no repairs. C. A mortgage product that pays a homeowner loan proceeds drawn from accumulated home equity and that requires no repayment until a future time. D. A refinance of an existing mortgage only for borrowers 62 years or older. - Answer- C T/F Agencies are permitted to conduct marketing and outreach including providing general information about housing opportunities and raising awareness about critical housing topics. - Answer- True An agency's staff will be required to have an up-to-date knowledge of which of the following: A. All FHA Single Family mortgage programs B.Lender product availability and rate offerings C.Mortgagee letters D. HUD's website for information on products and guidelines () E. a , b , c F. a , c , d - Answer- F T/F To receive a FHA HECM loan, a borrower must first receive One-on-One Counseling from a certified HECM Counselor. - Answer- True T/F A reverse mortgage counseling agency may charge a fee that exceeds the actual cost to provide the service but only clients and related parties that are able to afford the fee. - Answer- False T/F Clients must not be turned away because of an inability to pay counseling fee - Answer- False All are true of entities eligible to provide Reverse Mortgage Counseling EXCEPT: A.An agency must have an affiliating lending institution in order to stay updated with updating lending practices. B. An agency must be have an Active Status on the HECM Roster C. An agency must receive continuing education every two years