Guru Goddess

With the current recession in full swing and unemployment rising, the quest by unscrupulous predatory lenders to take advantage of seniors is on the rise.  One of the areas in which they are particularly insidious is in selling reverse mortgages.

There are a host of reverse mortgage scams that are plaguing our senior citizens, and steps are being taken to stop it.   In this article, we will try to highlight the main things you need to watch out for when it comes to reverse mortgages.

According to HUD, deceptive practices and allegations of high-pressure sales tactics are being more frequently encountered as senior citizens are being taken advantage of under the guise of a helpful and legitimate reverse mortgage.

Borrowers also run the risk of being steered into inappropriate loans and annuities by sales agents and insurance brokers who could be working together without disclosing that relationship to the borrower. They are all in it for their percentage, and since greed is what got America into the current credit crisis, it will certainly not get us out. Common sense will.

A reverse mortgage can be of real benefit to people who truly need it, since it frees up equity in your home. Unfortunately, reverse mortgage scams were on the rise even before the current economic crisis hit.  A case in point is California:
According to the Oakland Tribune dated Sept. 6, 2006, “Gov. Arnold Schwarzenegger signed a bill into law that adds protections against scam artists offering reverse mortgages.”

The new law requires that before getting a reverse mortgage, people must receive independent advice about the pluses and minuses from a certified counseling agency that does not have any profit motive.  This shows you how profitable reverse mortgages can be, so buyer beware.

The law also requires that mortgage documents be translated into the language in which the loan was negotiated, ensuring that a borrower who doesn’t speak English has full access to the complex financial information.  This reverse mortgage law also blocks the questionable practice of requiring people to buy annuities they may not need.

For more information on reverse mortgages, visit HUD at: http://www.consumerlaw.org/initiatives/seniors_initiative/tips.shtml.

Our seniors are particularly vulnerable these days to the scams that pervade our society.  They have seen their retirement funds asvested in 401ks virtually vanish, and greed run rampant. They have seen higher taxes, and their children lose their homes to foreclosure. They have lost jobs, or are now reluctant or unable to retire.

Given the fact that so many seniors may be in financial trouble now, and are feeling more and more desperate, they become victims of relentless individuals and companies that seek to prey on their immediate financial concerns by offering seeming good advice and a quick fix to their problems.

But remember, buyer beware, and if it sounds too good to be true, it probably is.

If your parents or grandparents are considering a reverse mortgage, make sure you get involved as a back up person. By all means accompany them when they seek advice from a counseling agency so that you can assist them with any and all questions relating to reverse mortgages.  Take notes, read the fine print, and get independent advice from a non-profit source.

Look up reverse mortgage scams online. Stay informed, and stay safe. Again, a reverse mortgage might be a great idea for some seniors depending on their situation, but beware of reverse mortgage scams now, to avoid disaster later.

Except for seniors who require long-term care, most are fiercely independent.  Many seniors who feel they might be a burden to their family are opting for a reverse mortgage.

With seniors living longer than ever before, and baby boomers dealing with their own financial and senior issues, and possibly having to take on the added responsibility of caring for their older parent if they become ill, many older people would rather take out a reverse mortgage than submit their children to this fate.

According to statistics, approximately 40% of long-term care is paid for by seniors.  If there are those who cannot afford to do so, the children are forced to pay for these services.  This poses a problem for a senior who wishes to live out his or her life independent of their children.  It also raises issues among the children such as who will care for mom or dad, and other sibling issues.

One woman writes, “My parents are 86 and 87 respectively, and both living alone now.  If either one or both became ill and needed financial assistance, it seems to me that a reverse mortgage is a viable alternative in these difficult economic times.  My sister and I agree that we would never put them into a nursing home.  Their independence is crucial to their mindset and way of life.  To deny them that independence would be cruel. At the same time, though, we need to worry about our own families, college, and making ends meet. A reverse mortgage, when done correctly, can make all that possible.”

Reverse mortgages alleviate the burden felt by seniors and their children.  Imagine living in a home most of your adult life, and then suddenly becoming ill and discovering that you cannot afford to pay the bills or other expenses associated with home ownership any longer.

One of the things some of us fear, and seniors in particular, is change.  Our parents usually have a schedule they live by.  They receive their monthly social security and pension checks and try to stick to their budgets.  They treasure every moment of life in ways only they can appreciate. But any bump in the road financially can threaten all that.

They ask for nothing other than being allowed to live out their lives in comfort and financial stability.  However, if they become ill and cannot afford medical expenses or prescription drugs, their world can turn topsy-turvy.

A reverse mortgage can free their minds from worry, since it will help them secure day to day living expense. However, it is good to check out the latest options first before pinning your hopes on a reverse mortgage as the solution to your difficult problems. Given the current economic climate, the credit crunch is affecting even this area of the market.

However, if your parents or grandparents are struggling to make ends meet, it is an alternative that is well worth investigating.

Candle making is a tradition that stretched back centuries. 

Hanging wicks and dipping them in wax until the candle is the correct consistency was something we also did in art class when we were young. 

This year, why not get the family together and teach the kids how to make beeswax candles.

Beeswax candles can be made with beeswax sheets.  True beeswax candle makers don’t use these sheets, but for homemade candles, beeswax sheets are easy and safe for children to use.

The wax is pressed into sheets for use in making different shapes of candles.

Beeswax is a clean-burning candle wax.  It cleans the air and removes odors as it burns.  Beeswax also melts away until almost gone.  Any that is left can be molded with more beeswax to create new candles to burn.

Before making beeswax candles, prepare by getting all of your supplies together and setting up an area to work undisturbed.

To make these candles you will need:  beeswax sheets, scissors or a knife, candle wicks, and a cutting board or other hard surface for cutting.

When purchasing the supplies in a craft store or online, check to see that the wicks do not contain any lead or other chemicals.

Beeswax usually comes in a light pale color which is the color of the wax.  Adding color introduces chemicals into the wax that can be burned off in the flame.  You can get beeswax candles in different colors, but they may not burn as cleanly, and are not good if you wish to have a toxin free home.

If your children are helping, make sure that you do any cutting that needs to be done and keep the knife pointed away from the body. 

Work on the kitchen table with them high up enough so the kids can lean as they work.

One of the mainstays of aromatherapy is candles.  Candles put us in a good mood.  The flicker of the flame mesmerizes and relaxes our mind.    But, most candles are made of paraffin wax, from fossil fuels.   There is another alternative-all natural beeswax candles. 

Beeswax candles are made by, you guessed it, bees.  Bees work to make the honey for the wax. Beeswax candles have many advantages over paraffin candles. 

Paraffin is the wax that comprises most of the candles on the market.  It is made from vegetable, animal, and petroleum wastes.  Most people don’t read the labels on candles to discover just how bad they can be for the environment. 

When you burn these substances, toxic substances can be given off in the flame.  Have you ever seen black smoke coming from a candle flame?    It occurs when the candle is getting close to being burned out because there is no more wax to burn.  These are chemicals being released into the air. 

Decorative candles of this type do not burn cleanly.  When the wax re-hardens, you will see the black residue in the wax.  The wax creates a pitting phenomenon in the center of the candle, and the wax also drips down the side and ruins the look of the candle. The more the candle gutters, the more toxins you release into the air. 

A little known fact is that candles which are not all natural have wicks that contain lead.  The metal button that holds the wick can also be dangerous.   When burning the wick, the lead can be released into the air as well.  As we burn candles, we are actually polluting the air around us.  

People with respiratory problems should never burn paraffin candles. The alternative is beeswax candles.   However, many people pass them over as a fad.  They cost more, so why buy them when there are cheaper better smelling candles on the market?

But the cheaper the candle, the more full of toxins it is likely to be.  Beeswax candles are environmentally safe.  They burn cleanly, with no toxic fumes.  That means no pollutants are released into the air.  The air is actually cleaner because the beeswax actually works to eliminate odors and other pollutants from the air. 

You are also supporting the environment by supporting the bees and the beekeeper. With the rapid and alarming, and unexplained disappearance of a  huge percentage of the once robust bee population of the world, bees could well become a protected species soon, and so the more we keep an  eye on them and help them to thrive, the better. For people who like the way that their candles look, beeswax candles do not pit when the wax is burned.  In fact, the wax burns out towards the end of the candle.  It doesn’t drip over and look ugly or make a mess all over the place.  Beeswax candles continue to burn until there is nothing left.   

Beeswax candles are not scented artificially.  They do give off a smell of sweet honey.  The color of the candle is the natural color of the wax.  We suggest avoiding scented candles because of the potential allergens and even toxins released into the air in your home. Beeswax candles burn longer than paraffin wax candles.  For about twenty dollars, you will get over 100 hours of candle burning pleasure.   

So, it is great to use candles for aromatherapy and setting the mood, but clean the air and freshen your home in the process with beeswax candles, not paraffin based ones. As always, keep all burning candles well out of the reach of children and pets, and burn only in a safe place without any draft.  Never leave a candle burning unattended.