I am not sure but are these plans available starting at 55? If so a person could live to ninety. I believe the normal maximum loan is fifty percent of valuation. In Canada they cannot take your physical home in many circumstances as you age. To pay nursing home bills for example.

I talked with an income tax employee of the Canadian government. He told me they commonly get you to sign this right way. After some thought they do take all your other income streams in a nursing home for the average person. .

So how are you going to support the house in that situation anyways? There are property taxes and maintenance issues and the place needs heated so the electric bill is also retained. Remember you have to maintain insurance as well on the property.

I just remember if you go to a nursing home the contract is finished. Their money is due. If the contract specifies if one goes the other is no longer protected under the terms possibly. You cannot for example rent it out that would be a breech of contract. Your physical presence is required.

You break the contract in any way probably occurs frequently. Basically I see it a calculated risk by lenders. On average the person forced into taking this equity type loan is more likely to default in some fashion than not. In my mind at least and as someone mentioned you should have money to engage one of these deals. If so why would you engage it?

At fifty eight I was diagnosed with cancer. It was not looking that good. We had paid the bank a huge pile of charges over the years while in business. So I went to the bank and asked for them to finance an insured loan with me putting 10k down on a new car. The loan person just bluntly said. You are just financing a car? Do not tell me the reasons.

As soon as I knew I would not be dead in less than three months I just paid it off. I had mixed feelings about doing it at the time. At the same time it was an attempt at recovering some portion of money they had cost me in their errors over the early years. It does not justify it but I could have taken that insured loan into far more substantial dollars. I just cannot do certain things though.

I lost on that fortunately. From an ethical perspective that was semi difficult for me. If they had not basically ripped me off and probably very seldom pay out on those short length term insurance policies. I would not have done that. The loan officer had picked up on my breaking old habits instantly. In Canada the big banks are by far the wealthiest entities in Canada.

The bank I use is by far the largest in Canada. I keep things in reserve. I never informed the branch here that our oldest daughter is married into the family that semi controls this bank. Although the daughters father in law has passed away now. It might have been usable if needed years ago.

I tend to be a slow thinker. This lady has a daughter that is always getting money out of mom. When she really does not have it. The lady might be able to rent the house out and move to a much cheaper rental location or situation for herself.

I forgot how the dynamics in families are all over the place. Technically she should have a child that is helping her rather than making her life more difficult. Far too many issues are just a byproduct of the human condition. There is usually not much change possible. Everyone has their own visions. There is the old adage as well. You cannot really help a person that does not want to help themselves.