4. What will the session entail?
In reverse mortgage counseling, you’ll get information and advice based on an analysis of your budget.

More specifically, you’ll discuss why you want a reverse mortgage. You'll also review your current income, if any; debts, including an existing mortgage if you have one; your monthly expenses; medical expenses; planned home improvements; your current access to emergency cash and the possibility that you’ll move, either into a new home or a nursing home within a few years.

You’ll receive a projection of how much you can expect to receive from a reverse mortgage, Hunt says.  And you’ll compare which lenders and payout terms would be best for you.

Reverse mortgage counseling has to be done in person or on the phone.  It’ll take about an hour, or more if you have several questions.  If it’s over the phone, it may take more than one call.  (In North Carolina, counseling can only be done face to face.)

5. What do I need to bring to my counseling session?
“It’s a good idea, before your session is scheduled, to make some notes about how much money you’re making and how much your expenses are, including housing, utilities, food, transportation and medical expenses,” says Hunt.  You don’t necessarily need to provide your actual pay stubs or bills, she says.

You’ll also want to know if there are any liens on your house, she says.  In addition, although you don’t need an official appraisal yet, you may want to call a real estate agent who does business in your area, or visit Zillow.com to get an estimate on how much your home is worth, Hunt suggests.

If a lender has given you a projection of your reverse mortgage payout, bring it your counseling session as well, Hunt suggests. 

6. How much will it cost?
The fee for a reverse mortgage counseling session is usually $125, but it may be waived if you’re facing foreclosure, bankruptcy, an immediate medical crisis or another hardship.

If you’re not facing an immediate hardship, but you can’t pay the fee, your counselor is required to work with you.  A counselor with Consumer Credit Counseling Services, which offers reverse mortgage counseling nationwide, for example, may look over your income, debts and expenses.  If your expenses are more than your income, CCCS will allow you to pay your fee from your reverse mortgage payout.  If that payout is less than $7,500, the fee is waived, Hunt says.

Some counseling agencies, like the Catholic Charities of the Diocese of St. Cloud, Minn., provide free, independent reverse mortgage counseling.

“You’ll have to call and ask what their policies are,” says Bell.  That may mean calling everyone on the list you receive from your prospective lender.