CT SB00150

No entity (bank, credit union, or other lender) may accept a final reverse mortgage application or assess fees unless they have informed the applicant of counseling requirements and provided a list of HUD-approved independent housing counseling agencies

Lenders must receive a signed certification from the applicant or authorized representative proving they received in-person or telephone counseling from an independent housing counseling agency before accepting the application

Independent housing counseling agencies cannot receive compensation from the lender or any other party involved in originating or servicing the loan

Counseling certification must be signed by both the applicant (or authorized representative) and the counselor, include the counseling date, and contain contact information for both parties; lenders must maintain this documentation for the loan term

Violations are deemed unfair or deceptive trade practices under Connecticut General Statutes section 42-110b