How Tom Selleck’S Spokesperson Career May Tarnish His Blue Bloods Good Guy Image
Tom Selleck’s Controversial Role in Reverse Mortgage Ads
Tom Selleck, best known for Magnum P.I. and Blue Bloods, is facing criticism for endorsing reverse mortgages—loans that allow seniors to borrow against their home equity but come with significant risks.
Since 2016, the 80-year-old actor has been the face of American Advisors Group (AAG), now Finance of America, promoting these loans in TV ads.
While Selleck assures viewers that a reverse mortgage isn’t “some kind of trick,” many critics argue otherwise.
Backlash and Legal Issues
Selleck’s involvement has sparked controversy, with social media users calling the ads “predatory” and accusing him of misleading seniors.
The Consumer Financial Protection Bureau (CFPB) penalized AAG in 2016 for deceptive practices, fining them over $1 million for false claims about homeowners keeping their houses. In 2021, the company faced further scrutiny for inflating home value estimates in its marketing.
Reverse mortgages carry major financial risks, including high fees, increasing debt, and the potential loss of government benefits like Medicaid. About one in ten ends in default or foreclosure, especially during economic downturns.
The Costs and Risks
Reverse mortgages, particularly Home Equity Conversion Mortgages (HECMs) backed by the Federal Housing Administration (FHA), come with costly origination fees, insurance premiums, and real estate closing costs. While federally regulated HECMs have a cap of $6,000 on origination fees, private lenders often charge more.
Many seniors receive their funds in a lump sum, which can disqualify them from benefits and accelerate financial struggles.
Since interest accumulates over time, borrowers may owe more than their home’s worth, leaving heirs burdened with debt or forced to sell the property.
Although federal law mandates HUD-approved counseling for HECM borrowers, other reverse mortgages lack such protections.
Selleck’s Endorsement and Hollywood’s History
Selleck, who has lived on a 60-acre California ranch for decades, is unlikely to need such loans. His decision to promote them follows a history of celebrity endorsements, including Jerry Orbach, Robert Wagner, Pat Boone, Bill Medley, and Henry Winkler, all of whom lent their reputations to reverse mortgage ads.
Despite criticism, Selleck continues promoting Finance of America, claiming trust in the company. Neither he nor the lender has responded to media inquiries.
Meanwhile, Selleck, fresh off Blue Bloods’ cancellation, is set to return in a new Jesse Stone project. However, his most talked-about role remains his involvement in one of America’s most controversial financial products.
