ATLANTA, March 14, 2012 (GLOBE NEWSWIRE) -- CredAbility announced today that it will be a partner with Ohio State University on a new project funded by the John D. and Catherine T. MacArthur Foundation to analyze the use of reverse mortgages to preserve independent living for senior citizens. Mark Cole, executive vice president and chief operating officer for CredAbility, will serve as one of six co-investigators on the project.
Earlier this week, the MacArthur Foundation announced that a team of researchers led by Dr. Stephanie Moulton at Ohio State will receive a $427,000 grant over three years. The project will explore homeowners' decision-making processes in considering a reverse mortgage and evaluate the impact of a reverse mortgage loan on their financial, housing and physical independence.
CredAbility's data base of more than 30,000 reverse mortgage clients will serve as the primary source of data for this project. In addition, CredAbility will obtain additional credit records on all people who participate in the project and conduct surveys with 5,000 reverse mortgage homeowners who had been counseled previously.
Cole oversees all research at CredAbility, which is one of the nation's leading reverse mortgage counseling organizations. The nonprofit credit counseling and education organization has 22 reverse mortgage credit counselors and has been providing reverse mortgage counseling since 2006. Homeowners who are 62 and older can schedule a reverse mortgage counseling session 24/7 by calling 800.251.2227 or visiting www.CredAbility.org.
"We are excited to work with Dr. Stephanie Moulton and several other researchers on this project," said Cole. "Each day, we see the consequences of people aging with debt and the stress of facing an uncertain financial future. We are honored to be part of a groundbreaking project to establish research and outcomes that will help seniors enjoy secure and independent living."
Dr. Moulton cautions that the growth in demand for reverse mortgages is coupled with increasing concern about the potential vulnerability of seniors, particularly those facing retirement with significant financial shortfalls. "This environment creates opportunities for predatory practices and ill-informed decisions that can actually erode housing and financial stability, the opposite of the policy intent for reverse mortgages in the first place."
According to Dr. Moulton's proposal for the project, more than 500,000 reverse mortgage loans have been made since 2006 and demand is expected to increase since approximately 10,000 Americans are reaching age 62 each day. With demand expected to increase, Dr. Moulton argues that there is a critical and timely policy need for this research.
About CredAbility
CredAbility is one of the leading nonprofit credit counseling and education agencies in the United States, serving clients in all 50 states plus the District of Columbia, Guam, Puerto Rico and the US Virgin Islands, in both English and Spanish. In addition, we provide in-person counseling through our branch network of more than 25 offices located across the southeast.
Founded in 1964, CredAbility is a family of Consumer Credit Counseling Service agencies that includes CCCS of Greater Atlanta, CCCS of Central Florida and the Florida Gulf Coast, CCCS of Palm Beach County and the Treasure Coast, CCCS of East Tennessee, CCCS of Central Mississippi and CCCS of Upstate South Carolina.
CredAbility is accredited by the Council on Accreditation and is a member of the Better Business Bureau and the National Foundation for Credit Counseling (NFCC). It is also a HUD-approved national intermediary for housing and reverse mortgage counseling. Governed by a community-based board of directors, CredAbility is funded by creditors, clients, contributors and grants from foundations, businesses and government agencies. /CredAbility provides 24/7 service by phone at 800.251.2227 and online at www.CredAbility.org.
The CredAbility logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=11910
Contact:
Scott Scredon
404.653.8833 office
770.315.0745 cell
Scott.Scredon@CredAbility.org
John McCosh
404.260.3108 office
404.272.0010 cell
John.McCosh@CredAbility.org
