IndyMac owns Financial Freedom. Is it still safe to get a reverse mortgage with Financial Freedom?

Question

We are in the process of signing papers with Financial Freedom but I worry about them since the government seized their parent company IndyMac Bank. They say they can still make loans, but I worry if they will be able to continue the monthly payments. If I went with them, could I transfer to another lender at a later time?

Answer 1

I am told Financial Freedom is OK.  If you did want to switch at a later date,  you would have fees to pay.   I have used Financial Freedom, but prefer Bank of America. We have wholesale account with both of them, as well as with JB Nutter.

Answer 2

As long as you are going with the HECM product you have nothing to worry about. The beauty of the HECM reverse mortgage is that it is government insured. This means that if something were to ever happen to Financial Freedom the government transfers the loan and not only guarantees your payments but they also guarantee that you will get them on time. The government did a good job covering all possibilities with this one