Bank Statement for Reverse Mortgage (HECM) Financial Assessment

FHA Home Equity Conversion Mortgage (HECM) lenders conduct a financial assessment requiring 12 months of bank statements to verify income adequacy and residual income. Bank Statement Converter converts any bank statement PDF to Excel in 20 seconds, helping senior homeowners and their advisors prepare reverse mortgage documentation.

Key Benefits

• Prepare 12 months of statements for HECM financial assessment
• Document Social Security, pension, and retirement income deposits
• Show property tax and homeowner's insurance payment history
• Verify no sustained NSF or overdraft pattern in recent months
• Export to Excel for HUD-approved reverse mortgage counselor review

How It Works

1. Step 1: Upload 12 months of bank statement PDFs
2. Step 2: Select Excel (.xlsx) for detailed financial assessment documentation
3. Step 3: Download the structured transaction file
4. Step 4: Filter Social Security and pension deposits to show total monthly income

Frequently Asked Questions

What is the HECM financial assessment and why are bank statements needed?

The HECM financial assessment (introduced in 2015) evaluates whether a borrower has adequate residual income to pay property taxes, insurance, and maintenance. Lenders review 12 months of bank statements to verify Social Security, pension, and other income sources.

Do reverse mortgage lenders check bank statement payment history?

Yes. HECM lenders look for consistent payment of property taxes and homeowner's insurance in bank statements. Late or missed payments can trigger a Life Expectancy Set-Aside (LESA) — essentially requiring the lender to impound funds for these expenses.

Convert Statements for Reverse Mortgage