Potential of Reverse Mortgages for CUs Broached in First of Two New White Papers
Learn the inner workings of reverse mortgages and the potential of adding them to credit union lending offerings in the first of two new white papers from the CUNA Councils.
Currently, few credit unions offer reverse mortgages, and those that do generally outsource the servicing. “Reverse Mortgages: A Product Poised for Exponential Growth,” sponsored by the CUNA Lending Council, explores how these mortgages work, their market, and available options. It also looks at the product’s potential in credit unions and some pre-launch considerations, including the risks and the importance of member education.
Some credit unions feel that non-interest income and fees have become an economic necessity given the current economic environment. The second new white paper, entitled “Generating Non-Interest Income,” examines a variety of different views on the subject. The CUNA Chief Financial Officer (CFO) Council-sponsored paper also offers a member-centric philosophy and approach to fees by stating that the income directly benefits members in competitive savings and loan rates rather than bank shareholder returns.
CUNA Council members are entitled to complimentary copies of these white papers; non-members may purchase the white papers for a price of $50 per copy.
The papers are available online in the white paper section of each council site - select the “Lending” tab for the reverse mortgages paper, or the “CFO” tab for the non-interest income paper.