WATCH THIS ? How To Pay off your Mortgage in less than 5yrs.

[UltimateBargains]

Pay off a 6% mortgage with a 12% credit line is stupid. Check my YouTube channel for my Power Debt Plan spreadsheet. You don't have to go deeper into debt to pay off your bad debt. Search YouTube for "money merge killer". Subscribe to my YouTube channel. The only way to pay less interest is to pay more principal; it's not magic just common sense.

[SeanVoge]

Hello, how this works is by paying your mortgage through the HELOC, in other words you will pay your mortage by pulling money out of the equity of your home. Example: pull out $15,000.00 and pay your $2500.00 mortgage with the $15,000.00. The reason you want to do this is because, when a $15,000.00 dollar payment gets calculated after each payment it affects the amortization table (how interest is calculated over the life of the loan) you will manipulate the interest and save thousands.

[rwalteru]

Requirement #1: You have to have more money coming in than you have going out. REALLY?

[mercurio0000]

(continue here) If I tell the you, "here get this $50 dollars" and give me back a $10 and two $20 twenties. Do I have to pay you interest for 30 years just for that? The federal reserve note is a NOTE. And so it the NOTE from your home.

The moment you signed for your home you created the money into existence. That is how valuable your signature is. Everything you sign is a contract too. Think!

[mercurio0000]

Why should you double pay for your home? Your signature created the thousands of dollars. You created with your signature "cash value" then the banker gave you the cash to pay for the home. All he did was money changed. Why should you pay for 30 for something you paid at the CLOSING. The account was balanced and CLOSE. It was an equal trade. (continue above)

[freshnewday]

Very interesting. You send your entire paycheck to the mortgage every month and pay your bills from a HELOC. Your expenses become a new loan in the HELOC. Two questions: Is HELOC interest tax deductible like mortage interest? Isn't a HELOC interest rate higher than standard mortgage loans? I see that the mortgage is paid early, but don't you end up with a huge HELOC loan to pay off?

[heightboosting]

@freshnewday Remember the key principle : interest is calculated on the daily balance.Lets say you have a 250,000 mortgage with a 6 % interest and monthly payment is 1,500 dollars. So instead of having to pay the interest of the balance of 250,000 you cancel that interest on the 250,000 balane by inserting your whole paycheck there and pay the interest on your daily balance on the LOC instead which is going to be much less than 250,000 dollars. Interest is calculated on the daily balance !

[freshnewday]

@heightboosting Thank you for your time and sharing that information with me. My loan happens to be a traditional loan, and the interest is calculated monthly. This is still a very creative strategy. It's great to think outside the box.

[vention4wh]

Ya this 3500 piece of software is a scam of course but the idea behind it is sound.

I'm only 12 days away from sending off my last mortgage payment. I just threw in whatever I could afford, always paying extra, and I finished my 30 year mortgage in 11 years.

The secret behind it is to live on what you earn and don't go further into debt for cars or credit cards. Pride yourself on being frugal. Debt is just another form of slavery and every bit you pay off makes you that much more free.

[TellinTheTruth]

jesus, just put more money into your loan in extra payments! not hard man,,,,,, far out!

[stevenabb]

"financial pixie dust". If you owe a mortgage, no numbers printed on a computer screen will magically make that debt disappear. Shuffling money around different types of debt does not reduce debt. How can you pay off your mortgage in record time, 2nd job, sacrifice, buying an affordable house. Desperate people are preyed upon by scammers. Webpages don't make money... These scammers want $3,500 dollars from you, that is all, end of story.

[nishkov]

Only way this system will work is.

If the person saves up a Big Ass DEPOSIT for the property they are buying. Then do double payment. Like for a 400k house the person puts 300k deposit and then does double payment. The newscast didnt say how much deposit that guy put into his property.

[altha2008]

actually if you make the next princpal pay each month

then at the end of the year make a hole exptra payment cuts it down

do a 30 year loan not a 15 year loan in case you do get in trouble

stop driving new suvs put that into your house payments

you do not need to pays these scam artist $3500 do it yourself.

do not pay bankers or these people to do it

[ir10031981]

oh man he actually paid $3500 for a software product? pfft... he could've bought Dave Ramsey's Total Money Makeover book for about $20 at Wal-Mart or Barnes and Noble. He could've read about the baby steps in that book. Baby step 6, pay off mortgage early.

[capricious71]

Can't believe people are stupid enough to buy software to show you how you can pay it off early.

It's just overpayments and offsetting savings.

[cphansen]

@capricious71

Yes, but UFirst wants you to believe it is more complicated than that. Most people know that to pay down your mortgage early (if that is even a good idea for you), you have to live on less than you make, and send the extra to your mortgage every month with your regular payment. After all, that's all the MMA does, if you strip away the clunky software and the useless HELOC or other intermediate account, which conspire to slow you down.

[capricious71]

@cphansen

What made me laugh was that he paid $3,500 for the software.

I'm in the UK so I don't know what MMA or HELOC are but I get what you're saying. They're just complicating what is really quite simple.

Also, what made me laugh is that is supposed to look like a news programme. If it's really the news then someone's getting a few bucks for letting them advertise. Fantastic!

[EEECODE65]

whats LOC MMA HELOC

[kngsunny]

what is the website is that possibly i never

heard any thing about this type of payments in my life ,,

[giantslalom25]

Don't worry, you aren't missing much. They're just prepaying the mortgage, and hiding it all behind a new LOC that they think is saving them money, but actually serves no useful purpose. As they say, you can't borrow your way out of debt.

It will eventually pay off your mortgage and other debts, but you can do so on your own, faster and cheaper and with less work, with a simple DIY apprach like the "debt snowball" (but order debts by higher interest first).

[FANTASTICKISS]

YES "millimonthUsername" is right you don't need to pay the 3500.-...I am doing it myself all I did is I got this "Transform debt into wealth system" by john M.Cummuta ( audio CD set) and some booklet..its super easy if you are willing to focus on a budget.

[giantslalom25]

By far, a budget is the most important tool to reduce debt, but people don't like to feel restricted by a budget. The MMA is marketed with hardly a mention of the word "budget", and one of their claims is "mortgage free in 1/2 to 1/3 the time with little change in lifestyle". That's a lie, of course, as coming up with the money for the MMA to do that would put a serious cramp in your lifestyle.

[stnick777]

@FANTASTICKISS Just for grins, I built an Amortization Spreadsheet with additional payments and I'd like to run your scenario on my spreadsheet and also an analysis from uFirst to see how the MMA compares.

Are you game?

[aljernon805]

cphansen, sorry for the delay. very busy. as to the math i have seen it. i will not try to claim to know all the formulas that go into the program. i believe it will take personal experience to see the benefits of it. the only "scenario" i care to speak towards is my own. most months i am in the red but this program found money i could use. not magic just very thorough. once you get past the learning curve its easy. all my accounts in one location! this is my last post on this subject.

[cphansen]

You said, "actually i have done the math" just 6 days ago. Now, you have "seen" the math. You lied like most UFF agents do.

I'm glad it found your money. Was it between the sofa cushions? The best the MMA can possibly do is direct money from the HELOC to pay of credit cards so you don't have monthly minimums, freeing up some cash. That $3500 fee would have been better applied to the cards, and anyone can tell you to convert high interest debt into a lower interest LOC.

[MillionthUsername]

I read your comments and understand the criticisms regarding the $3500 fee, but forget that for a minute because it isn't necessary to pay someone a fee!

Why do the critics say that it's ONLY applying more discretionary income? I thought it was lowering the daily balance of the mortgage, thus saving interest compounding over the years. And the HELOC interest is kept low because you deposit all your income into it and pay down the balance for a good part of the month. Isn't that right?

[cphansen]

First, mortgage interest doesn't compound, unless it's a NegAm mortgage.

The HELOC mechanism is called "leverage" by the agents, but that's a lie. It's "float". You're floating your income, which results in a few bucks worth of savings per month. Usually less than $20.

Almost all of the savings generated are by the HELOC transfers to the mortgage. The MMA float is a precarious and unnecessary step. [Checking Acct Balance (minus) Contingency = Prepayment] will beat the MMA every time.

[aljernon805]

actually i have done the math. you have completely missed the boat on that one. actually, the number you use are what the numbers from the mortgage company look like. i have to ask if you have ever seen a presentation of the mma software? of course i could do it the way you mention, its my option. the mma software is only useful if you use it!  to get the results you listed, i would have to purchase the software and then ignore it for the rest of my life. it remains my option.

[cphansen]

Excellent - you claim to have done the math.

Show me. Explain how the savings are achieved. With numbers. Use any sample scenario you want, so long as the rates are realistic.

[cphansen]

aljernon805,

I just got back from a weekend trip, and it seems you logged on 5 minutes ago yourself. I'll be messaging you to please respond to this comment and explain the basic math behind your claim of extra savings by using the MMA.

I don't think you understand the math at all. If you don't respond, I'll explain it myself (and back it up), but I'll give you first crack at it and the opportunity to dig yourself a deeper hole.

[aljernon805]

you are correct the faq does say that. i just looked it up. but you are wrong about the interest since that is based on the daily average outstanding balance which is reduced each time you deposit your income. as for the interest you do pay, i think its worth it to reduce the amount of mortgage interest you would normally pay if you didn't. if the mma will not work for you, or in this case me. you are advised of that upfront.

[cphansen]

Have you even done the math on the savings? You're saving perhaps $20 each month with the MMA money movements IF your HELOC or CC rate is near your mortgage rate.  It is higher for most, and much higher for some, turning the savings into a loss right there. Now consider that the monthly interest cost from the $3500 fee at 6% APR equals $17.50.

In this favourable case, the MMA is saving you $2.50 per month. It'll take 116 years to pay for itself. In common cases, it costs about $10,000 more.

[aljernon805]

if the money comes from your bank account doesnt that mean that you are in fact changing your normal spending behavior? didn't you state that the mma uses the heloc to reduce the mortgage? i dont believe in magic. i do believe using the heloc (or the banks) money to pay my mortgage off is better than using my savings. at least, it sounds fair to me.

[cphansen]

You aren't paying your mortgage with the bank's money - you're paying it with borrowed money. Money you are paying interest on every day. In the best case situation, you can get a HELOC at a lower rate than your mortgage, but you'll still struggle to recoup the $3500 cost of the MMA, compared to simply prepaying your mortgage.

That's why if you don't make more than you spend, the MMA will not work for you. UFF says so right in their FAQ.

[MissFunkentelect]

Also, you can cut down the years drastically by making and extra mortgage payment or two a year.

[aljernon805]

where did the extra mortgage payment come from?

[cphansen]

Your bank account. If you think the HELOC or the MMA is magically coming up with thousands of dollars, you're mistaken. UFF agents will give you a great story about timing, but in truth, the MMA can only save a few bucks a month under optimal conditions of a low HELOC rate. Substitute a credit card, and even those meagre savings disappear. The MMA works by applying you extra "discretionary" income to the mortgage - that's it. You can do that yourself without the work or risk of the MMA.

[IntegrityLivesOn]

Gee, this is great!

[rydar1978]

I know, Im going to share this video occasionally with the people on my friend list

[Magyc12]

I hope to god this was not a real newscast.

[ItalianWarrior777]

This is amazing!

[cphansen]

Amazing? Just use the $3500 to prepay your mortgage and keep prepaying as much as you can every month, and you will beat this "system".

[Diggin4u]

What happens if you dont have any extra money?

[giantslalom25]

Then the $3500 MMA software won't work either. From the UFF FAQ page:

"If you do not make more than you spend, the Money Merge Account system is not the right option for you."

The MMA requires "extra money". If you take the same amount of extra money you pump into your HELOC, and instead apply it directly to yiur mortgage, you will beat this software. No HELOC, no $3500 expense, and your interest savings are greater than with the MMA.

[cphansen]

Diggin4u - why did you delete my comments to your video two weeks ago? The same video that is a response to this one. The replies of "payitofffast" are now hopelessly out of context. They were incoherent 2 weeks ago, and they make no more sense now than they did then.

[cphansen]

...and the response by Diggin4u? He removed his video response to this video. His video with heavily moderated comments is at /watch?v=2EI3_8IhZGc

And if he was really "digging for you", the least he could have done is show that the UFF software can't beat a simple DIY approach to debt reduction, which saves you the $3500 MMA fee.

[slobomotion]

I was a registered rep and worked for a very reputable insurance company years ago. When I pitched this to people, they thought I was nuts! All my clients did well and I sleep fine at night. Everyone should listen!

[EdZep123]

What the heck is that software?! All you need is an overpayment calculator off the web - cost... $0.00 !!! He could have used that $3500 to bring his mortgage down!

[pbl1]

its all bullshit, just like the fake newscast!

[leoenterprise]

Please explain i would like to know what you mean by its fake .. i have be on this program and not only saved hundreds and thousands of Dollars in interest but shaved of 22.3 years off my MORTGAGE Payments and that over 260 monthly payments i dont have to pay now .. So please explain what you mean? Thanks

[tyrell92]

does this work?

[cphansen]

Yes, it will pay down your mortgage, but the useless HELOC and the $3500 fee will combine to delay your potential mortgage payoff.

All you have to do is apply discretionary income to your mortgage every month to beat this system and save your $3500. You can use a free online mortgage calculator to see how much every dollar you spend today will cost you down the road. The MMA will do that for $3500. Your choice.

[tyrell92]

I apply an extra $200 a month extra to the principal every month. I hope this will do it. 156, 000 left on mortgage at 5.75%

[cphansen]

You're doing fine. Realize that the more you can apply to the principal, the faster the payoff. That's it. Good UFF agents are under the impression that software can change your spending habits and create more discretionary income (if it can, try Quicken). Clueless UFF agents think the HELOC and MMA software "cancel" interest and magically create more money to pay your mortgage with. The savings from the HELOC shuffle are a few bucks a month, and wiped out by the interest on the $3500 fee.

[jizzmonger]

I was to understand that you are use your equity account like a checking account and applying your full paycheck to your primary mortgage then writing checks for basic expenses out of the equity account?

Help me out here.

I make a double payment every month.

Should I be applying this to my equity loan at 6.5% or the primary 5.75%?

[cphansen]

If you're doubling your mortgage payment, you certainly don't need this HELOC-based money merge account. If you have an equity loan, pay it off quickly, then keep applying that extra payment to your primary. You obviously understand the effects of extra payments against principal.

The MMA is strictly for people who don't know that extra payments drastically reduce the length of their mortgages, don't want to know, and are happy with UFF hiding basic prepayment behind a do-nothing HELOC.

[jeffreymendenhall]

You should call me and I will show you how it's done. You are looking at things from the frame work of what the bank has told you. Really your interest rate does not matter. Money against it does. Call me and I will explain everything.... I was a Mortgage Broker now I only help people avoid Brokers and Banks and Help them win!

[cphansen]

If you're a UFF agent, you collect a nifty commission of between $450 and $1575, and your uplines collect the balance of the $1575, plus bonuses. On the sale of a MMA, you win, your uplines win, and the client loses $3500 and the $10,000 or so that $3500 represents at the end of their mortgage. Plus, they get years of being told to make bad decisions with a pointless HELOC with a high interest rate that does matter.

If you used to be a broker, I think I know why you aren't one now.

[jeffreymendenhall]

This "HOPE" you have will not work... you must have a plan and U first has the plan and a software to guide you. Trust me not your banker. Most of the people who say you can do it your self think that U fist is a magic pill. It's not a magic pill it's a plan a financial plan - pay them $3,500 or pay your bank thousands more. It's your choice. Choose wisely.

[cphansen]

tyrell92? He pays an additional $200/month to his mortgage. If he gave that same amount to the MMA, it would first take him 18 months to pay off the $3500 fee before his net debt could be lowered, and then he would have the balance of the mortgage to watch the MMA mismanage the dangerous and nearly-pointless HELOC shuffle.

I'd say he already chose wisely.

[msfullroller]

Amen!

[cphansen]

I think that's the first time I made a comment, anywhere, and somebody who agreed said "Amen".

[parkash911]

yeah its called a virgin one account

[actingood]

Thanks

[actingood]

This Is Awesome, I have always wanted something Like this,and Now I see the Light at the end of the Tunnel please let me now what I need to do to get started Thanks so much for bringing this out to my attention!!....ACTIN GOOD