Radom Questions
You can put a Reverse Mortgage on a rental?
What is False. The property needs to be an owner occupied property.
When is the reverse mortgage due?
What is Date of sale or transfer
180 days after death of last borrower
1 year after last borrower moves into long term care or retirement home.
Upon default
What is ILA?
What is Independent Legal Advice (ILA)?
Where do I find Customizable marketing material?
What happens at the interest rate reset?
What is There is no requalification, no appraisal needed, and no additional fees.
The client will select their new preferred term and rate.
Who gives the best Mortgage advice ?
What is A Mortgage Broker
What is Prepayment Priviledges
What is
Prepay up to 10% of the principal once a year*
Prepay accrued interest once per month
After 5 years, pay outstanding balance within 30 days prior to interest rate reset, with no prepayment charge
After 10 years, pay the entire balance without a charge
Closing Process with using the "One Lawyer" solution?
What is FCT Platinum + ILA
Our closing service provider, First Canadian Title (FCT), will facilitate the closing of the mortgage + provide title insurance
ONE lawyer to provide Independent Legal Advice (ILA)
Does Equitable Bank have a online calculator?
What is Yes
Is a reverse mortgage portable?
What is YES!
Subject to the new property meeting our eligibility requirements.
What are the names of Equitable Bank's 3 Products for Reverse mortgages?
What is Flex,Flex Plus, Flex Lite
What the Payout charges from Year 1 to Year 6?
What is
Year 1; 5 Months’ Interest Amount for prepayment charge
Year 2; 4 Months’ Interest Amount for prepayment charge
Year 3 to 5; 3 Months’ Interest Amount for prepayment charge
Years 6 to 10: The Prepayment Charge is 3 Months’ Interest Amount, unless you provide 3 months’ prior written notice in which case there is no Prepayment Charge.
What is the closing Process with "Two Lawyers' ?
What is Client’s Closing Lawyer + ILA
Client's closing lawyer to facilitate the closing of the mortgage
FCT to provide title insurance
ONE lawyer to provide Independent Legal Advice (ILA)
If I had to call for file support, I would call the CEO of the Bank?
What is False! Call a RCM or BDM/RBM's
Can clients make payments?
What is Yes!
Although no regular payments are required until the reverse mortgage becomes due, the client has the benefit of prepayment privileges.
What is a Grey Divorce?
What is Grey divorce refers to couples aged 50 and older ending their marriages after decades together. It’s the fastest-growing segment of divorce in North America, and in Canada, it now accounts for about one in three divorces. The number of divorced Canadians over age 65 grew by nearly 80% from 2010 to 2020
What is a No Negative Equity Guarantee ?
What is As long as the borrowers meet the mortgage obligations; the amount they pay will never exceed the fair market value* of their home.
*The amount that would be paid on the open market, on the applicable date, to buy the property assuming there are no legal claims against the property.
Why is ILA needed?
What is It's Required, among other reasons, for the client's benefit, to ensure they understand the terms and conditions of the reverse mortgage, are of sound mind and judgement, and that they are not being pressured to sign the mortgage documents
How do clients pull out an advance after funding?
What is They would use the online portal or they can call customer services.
Common misconceptions:
They Can’t Pass On Your Home
What is FALSE.
Another myth is that their heirs won’t be able to inherit the customers home if they get a reverse mortgage. This is not the case as their heirs will always have the option of keeping the property by paying off the reverse mortgage after the borrower passes away.
What is the new trending word that Equitable Bank uses for Reverse Mortgages ? Hint: Accumulation
What is Decumulation
What is Equitable Bank Minimum property Value?
What is Min Property Value is $250,000
What are the clients draw options?
What is
Lump sum
Scheduled advances i.e. monthly, quarterly
Ad-hoc, as requested
OR, a combination
Equitable Bank regulary Monitors the posted rates of competitors? True or False?
What is True!! We will offer you the best rate. All applications are subject to Equitable Bank’s standard lending guidelines, practices and approval criteria. New originations only.
Common misconceptions :
They Will Owe More Than The Value Of Their Home
What is FALSE.
Equitable Bank reverse mortgages come with a “No Negative Equity Guarantee”. If the homeowner has met the required obligations, the amount they will have to pay on the due date will not exceed the fair market value of their home.