Treatment of loan proceeds -- Effect on assistance eligibility.

Utah Code § 57-28-302, under Part 57-28-3: Reverse Mortgage Proceeds, Priority, Foreclosure, and Lender Default.

Utah Code § 57-28-302

57-28-302. Treatment of loan proceeds -- Effect on assistance eligibility.

For purposes of determining a borrower's eligibility and benefits for a means-tested program of aid to individuals:

(1) a reverse mortgage loan payment made to a borrower shall be treated as proceeds from a loan and not as income; and

(2) undisbursed funds under a reverse mortgage shall be treated as equity in the borrower's home and not as proceeds from a loan.