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Dec 7, 2023
AARP Foundation Joins Class Action Lawsuit Against Reverse Mortgage Companies for Unlawful Practices that Added Unwarranted Servicing Fees to Vulnerable Older Homeowners’ Reverse Mortgage Balances

WASHINGTON—AARP Foundation attorneys have joined a proposed class action lawsuit against Compu-Link (Celink), the largest reverse mortgage subservicer in the U.S., and Reverse Mortgage Funding (RMF), formerly the largest reverse mortgage servicer nationwide. The suit alleges the two companies added various types of unlawful loan servicing fees that violate reverse mortgage contracts and federal and state laws. The case was filed by Tusa P.C. and Giskan, Solotaroff & Anderson, LLP on behalf of Sheila Dancy-Wilkins and her mother, Flora Mayweathers, age 93, and a nationwide class of similarly situated homeowners, in the Eastern District of New York.

According to the suit, Plaintiffs secured a HUD-approved reverse mortgage (HECM), which are loans that allow older homeowners to convert part of their home equity into cash without having to sell their home or make monthly mortgage payments. After RMF acquired their loan and hired Celink, both allegedly added unlawful fees for appraisals, inspections, property preservation, and attorneys’ fees or costs.

The lawsuit also claims that Celink and RMF did not provide the required notices before filing a foreclosure lawsuit. The foreclosure was eventually dismissed, but not before the allegedly unlawful fees were added to Plaintiffs’ reverse mortgage loan.  The complaint alleges that the companies continue to charge extra interest and fees on that wrongfully inflated loan balance every month.

“Older homeowners worked hard to pay their mortgages. When they borrow from their home equity so they can age in place, they deserve fair treatment and protection,” said William Alvarado Rivera, Senior Vice President of Litigation for AARP Foundation.  “Protecting the home equity of vulnerable older homeowners from deceptive and unfair practices is one of AARP Foundation’s strategic priorities.” 

Federal and state laws and regulations require that servicers and subservicers of HECM loans, like Celink, give a detailed, written notice to borrowers before filing a reverse mortgage foreclosure. U.S. Department of Housing and Urban Development regulations further prohibit adding specific foreclosure-related fees to borrowers’ HECM loan balances, including unreasonable attorney and trustee fees, fees for appraisals done after loans are declared due and payable, and unnecessary inspection fees when the home is still occupied by the borrowers. 

Plaintiffs seek to stop reverse mortgage lenders and servicers from adding unlawful and unreasonable fees and costs to older homeowner’s reverse mortgage loans. Plaintiffs also seek to remove the unlawful and inflated fees, interest, and insurance charges from the loan balances of borrowers whose loans were serviced by RMF or Celink. The lawsuit remains ongoing.

For information on how to join the class action lawsuit, please contact Julie Nepveu at


About AARP Foundation

AARP Foundation works for and with vulnerable people over 50 to end senior poverty and reduce financial hardship by building economic opportunity. As a charitable affiliate of AARP, we serve AARP members and nonmembers alike. Through vigorous legal advocacy and evidence-based solutions, and by strengthening supportive community connections, we foster resilience, advance equity and restore hope. To learn more, visit or follow @AARPFoundation on social media.


For further information: Madison Daniels,, 202-531-9026