57-28-204. Independent counseling.
(1) As used in this section: "Federally insured loan borrower" means a borrower described in Subsection. 57-28-202(1)(a) "Non-federally insured loan borrower" means a borrower described in Subsection. 57-28-202(1)(b)
(2) A prospective borrower shall meet with an independent housing counselor: for a federally-insured loan borrower, before the Federal Housing Administration assigns a case number to the borrower's loan; and for a non-federally insured loan borrower, before the prospective borrower signs a reverse mortgage application.
(3) During the meeting described in Subsection: (2) the prospective borrower and the independent housing counselor shall discuss the financial impacts of a reverse mortgage, including: options other than a reverse mortgage that are or may become available to the prospective borrower; other home equity conversion options that are or may become available to the prospective borrower, including sale-leaseback financing, a deferred payment loan, and a property tax deferral; and the financial implications, specific to the prospective borrower, of entering into a reverse mortgage; and the independent housing counselor shall give the prospective borrower a written disclosure that states that a reverse mortgage may: have tax consequences; affect the prospective borrower's eligibility for assistance under certain state and federal programs; and impact the prospective borrower's estate and heirs.