money merge account: Just How Hard Is It to Make Money? - 06/06/08 09:35 AM
You know I am an advocate of investing versus paying off your mortgage, at least until you have your entire financial and investment plans fulfilled.  You know that the reasons come down to liquidity, safety and rate of return, the latter being the point I am going to target today.
Most Americans, and especially those falling prey to the glamour of a paid off mortgage through mortgage acceleration programs such as the Money Merge AccountTM from United First Financial, do not realize the true cost of their financial decisions.  They fail to realize that Everything is 100% Financed!!!  Yes, even when … (4 comments)

money merge account: Mortgage Acceleration: Is the Latest Fad Right for You? - 04/19/08 06:37 AM
Many of you know that I contribute over at Agent Genius, and that is what this particular post is about.  I added a post with the above title over at AG and rather than repeating the same content, I decided to just inform you about it and supply this link.  Take a moment and go read it, you find it worthwhile.
… (5 comments)

money merge account: Money Merge Accounts: My Sincerest Apologies to Those With MMAs - 01/15/08 02:24 AM
I have some regret that I have to admit to about these programs.  I feel like I failed consumers by allowing them to be misled for far too long.  The truth of the matter is that I have done some more calculations, many of which I should have done back before I even posted my first blog about the subject way back in February 2007.  The bottom line is that I have now done those calculations and it is time to let the truth out.
Once again, I have simply taken the information from United First Financial's own presentation on their Money … (19 comments)

money merge account: This is a "Be Careful What You Wish For" Post - 12/04/07 01:37 PM
Recently, I began asking for more testimonials, something I usually do not do as I would like to think I would receive them when my services warranted.  Then I read something, somewhere that showed statistically that if you do not ask, you will not receive.  Well, being the numbers kind of guy I am, I realized quickly I needed to start asking.
Well, I have not mastered the art of asking for testimonials, but decided to ask one of the many non-clients that have come to me for advice to provide a testimonial if he chose to.  To say I was blown … (9 comments)

money merge account: Would You Rather Spend $6 to Save $4 or Spend $4 to Earn $6? - 11/28/07 05:57 AM
When you look at these numbers, it doesn't seem to really matter, does it?  After all it is only a difference of a couple of dollars.  Yet, look closer and you will see that in the first scenario you are losing $2 while in the second scenario you are gaining $2.  OK, still small potatoes, but now it is $4 (a fancy cup of coffee at Starbuck's). 
Think it is still no big deal? 
OK, let's multiply that by 1,000.  Still think it is small potatoes? 
Now, let's compound the problem over 30 years.  The difference clearly gets magnified over time.  … (5 comments)

money merge account: I am an Idiot, at Least That is What My Competition Wants You to Think. - 09/14/07 04:07 AM
Below is an email sent to me by someone (most likely a United First Financial Agent who sells the Money Merge Account, or MMA) as a response to my posts from my blog on ActiveRain.  It proves that they have little understanding of "mortgage planning" and how beneficial these strategies can be. 
Please keep in mind that there is no "magic bullet" strategy nor is there a "one size fits all" one.  Additionally, this individual, much like other opponents, believes that equity harvesting and other mortgage planning strategies are proposed to keep homeowners in debt and make lots of money, showing a … (12 comments)

money merge account: Equity Harvesting, Money Merge Accounts and the Benefits of Using Both - 08/30/07 05:56 AM
Yes, you heard me right, utilizing both as strategic tools can provide major benefits.  I am not talking about using the MMA software per se, but rather the special HELOCS allowing you to use them as a checking account to provide interest cancellation.  This strategy is not for everyone, but may provide huge benefits for those who decide to use it.
First off, strat yourself off correctly, lock in your acquisition indebtedness so you stop wasting money.  You can do this by utilizing an interest-only loan to stop the "bleeding".  Why?  Because home equity is not a good investment, so why not … (40 comments)

money merge account: How to Borrow Money at 4.875% and Fairly Conservatively Earn up to 12.0% - 07/27/07 04:35 PM
Opponents of proper equity management, as well as those who push mortgage acceleration programs, argue about the ability to earn even 6% tax-free in conservative investments.  I will show you how spreading your horizons and investing in CDs based on World Currencies can do that and more, with fairly little risk if you know what you are doing.
I have talked a little about the Icelandic Krona and how a 3-month CD based on that currency is yielding over 12%.  Since CDs are about as conservative an investment as they come, I doubt many would argue about using this as a … (13 comments)

money merge account: Money Merge Accounts: Are They Really Worth It (Another Case) - 07/19/07 09:14 AM
A UFF agent placed the following scenario of a client he was putting into a Money Merge Account on one of my blog posts...
The client had just closed on a $244,000 mortgage at 6.875% Fixed for 30 years, which creates a $1,602.91 monthly payment since it is fully amortizing.  I wish I had talked with this client before he closed as I could have saved him thousands.  The client makes $4,616 per month, of which $1,000 is said to be discretionary.
The UFF agent goes on to provide a fairly accurate representation of what the client could do on his own versus … (17 comments)

money merge account: When Ben Stein Speaks, People, Well They Probably Should Listen - 07/14/07 02:44 AM
Chances are you know who Ben Stein is, but in case you don't..."Bueller...Bueller".  That's right, he played the Economics Teacher in Ferris Bueller's Day off.  He also ran a game show on Comedy Central called "Win Ben Stein's Money".
You may remember these shows, but his background goes much deeper than  just his "humor side".  Things you may not know are that he is a lawyer, economist and commentator on finance.  He runs a bi-weekly column in the New York Times, has been a longtime contributor to Barron's, and a columnist and editorial writer for the Wall Street Journal.  He even has … (10 comments)

money merge account: Money Merge Accounts Vs Equity Harvesting: Harvesting Wins by Over $1.5M - 05/16/07 03:14 AM
This is actually another look at the whole Money Merge Account, Mortgage Acceleration post I did a while ago that spawned a lot of debate.  Click the link below to see that post if you have not already read it.
Money Merge Accounts: Are They Really the Best Thing for You?
Now for the real "blow your mind away" data that really proves that Money Merge Accounts (MMAs) and other mortgage acceleration products are going to cost you in  the long run.  The truth is that Equity Harvesting can generate tremendous wealth for those families that are able to follow the plan.  … (43 comments)

money merge account: Money Merge Accounts: Are They Really the Best Thing for You? - 02/21/07 01:37 AM
This revolutionary product is a good product for some, but the reality is that it may prove more costly to you over time.
Money Merge Accounts, or whatever else companies would like to call them, are good loan products for certain families.  However, if you are a disciplined family and want increased safety and rate of return for the long run, these products will ultimately cost you considerably over time.  A family who came to me to ask about these programs and if it was best for them ultimately realized they could do better.
This particular family is what I would call the … (141 comments)