Reverse Mortgage Scam Pressuring Homeowners with Fraudulent Calls

A reverse mortgage scam targeting homeowners has been reported to TNS. The TNS Robocall Protection Team consistently report financial scam calls as the highest category of fraudulent robocalls targeting Americans, with this trend increasingly rapidly since April 2025. Reverse mortgage scam calls are financial scams and older homeowners across America are at risk of being targeted by the bad actors behind this scam. 

What is a reverse mortgage scam? 

The reverse mortgage scam uses robocalls to target American’s that qualify for a reverse mortgage – those 62 or over.  

Here is an example of a real attempt at a reverse mortgage scam:  

“Hi, this is Jessica Tooley. I’m calling about a possible issue with the setup of your reverse mortgage. It may impact your available funds. It’s urgent that we review this with you. Press one now to speak with a licensed reverse mortgage expert.” 

According to the FTC, a reverse mortgage is a loan where the amount you can borrow is based on how much equity you have in your home – allowing homeowners to access their equity without selling their house right away.  

How to identify a reverse mortgage scam? 

Reverse mortgage scams can be easily identified once the red flags to look out for are known. 

• Pressure: by claiming the issue may “impact your available funds” and it’s “urgent” that you speak to an expert, the reverse mortgage scam caller is attempting to place pressure on their target. 

• Too good to be true offers: reverse mortgage scam calls will likely make you an offer that seems too good to be true – because it’s probably a scam. Reverse mortgage scam calls that have been reported often pressure the target by promising very low rates or no closing costs.  

Another thing worth nothing is that a lot of these reverse mortgage scam calls stem from mortgage trigger leads. This happens when credit card companies sell their lists of who has recently applied for a loan to mortgage companies. Some of the recipients of these leads may be legitimate, however this practice, while legal, does contribute to the high volume of spam calls to consumers. 

How do I protect myself from a reverse mortgage scam? 

Reverse mortgage scam calls can catch people out, so it is important to stay alert to such calls. Doing your research, asking the right questions and protecting your personal information are all steps to avoiding the reverse mortgage scam. No legitimate mortgage broker will question your desire to do this – however, scammers will. 

• Ask questions: If you are contacted, ask the caller to provide their brokers license or check https://nmlsconsumeraccess.org/. Legitimate brokers will not be offended that you ask, nor should they refuse to provide you with this information.  

• Understand fees: Broker fees are typically paid at closing and are part of your closing costs. If a reverse mortgage broker contacts you asking for fees up front, this is indicative of a scam. 

• Do your research: If a reverse mortgage broker reaches out to you with no prior contact, do your research to find out if they are part of a reverse mortgage scam. Look the company up to see if they are a legitimate business or ask friends and family for their opinion before engaging. 

• Submit a report to the FTC: If you are a victim of a reverse mortgage scam, you can report it to the FTC. By submitting a report, you can help the FTC to track down the scams, prevent bad actors from targeting others and help raise awareness of the reverse mortgage scam. 

It is best practice to never engage with unknown numbers and report phone numbers being used by scammers to your carrier. If you believe you are the victim of a scam, you can report it to your local police, state Attorney General’s office and the FTC. 

Call-blocking apps, including those powered by TNS Call Guardian®, are also a great resource for reporting and blocking unwanted robocalls. 

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