California. Legislation establishing stronger protections for elderly reverse-mortgage borrowers has been sent to Gov. Arnold Schwarzenegger for signature. Authored by state Sen. Joe Simitian, D-Palo Alto, the bill would protect the mostly elderly reverse-mortgage borrowers who are cash-strapped but have substantial equities in their houses. A reverse mortgage is a loan against the borrower’s home. It requires no payment for as long as the borrower is alive and occupies the property. Under existing state law...