mma: Money Merge Accounts: More Misleading Information - 05/20/09 03:12 AM
It is hard to believe that I have been talking about these programs for more than two years now,  bringing to light the misleading, even false, information presented by the Money Merge Account sellers.  Don’t get me wrong, these bits of misinformation spread out on occasion to other mortgage acceleration product sellers, but the United First Financial (UFF) agents are the worst offenders from what I have seen thus far.  The company even encouraged the presentation of skewed realities at the beginning, and I suspect they still do in a “non-public” fashion as they allow agents to continue spreading the crap, … (3 comments)

mma: Your Mortgage: Liability or Asset? - 01/30/09 09:40 AM
Most of you reading this would answer the above question quickly and label your mortgage as a liability. After all, it is a debt, isn't it? But if there was more to it than that, or even if your mortgage could become one of your greatest assets. You may think I am crazy, but think about the concept for a while, then read on.
Traditional thinking places the mortgage clearly as a liability, a debt that should be paid off. Some even think that financial freedom cannot occur with a mortgage looming overhead, possibly because of the monthly payment required to … (2 comments)

mma: Money Merge Accounts: Abusing Einstein’s Quotes - 01/28/09 01:27 AM
I have seen this repeatedly in marketing materials from United First Financial (UFirst Financial/UFF) and their agents, another example of the misleading material provided to sell their product, the Money Merge account (MMA). Throughout the history of this company, they have provided nothing but false and/or misleading statements into their advertisements, many of which I have already exposed here and in my previous ActiveRain blogging.
Now, let's look at another one, this time using a quote by one of the foremost figures of intelligence in history, Albert Einstein. The quote that they use is:
"Insanity means doing the same thing over … (38 comments)

mma: It is With Great Sadness That I am Writing This - 09/17/08 01:21 AM
If you have been reading the Florida Mortgage Report for a while, you undoubtedly have read some of the posts about home equity and how easily it can be wiped out in a disaster. Every year as hurricane season approaches, I inform readers to make sure their home equity is prepared and protected, something that is not on any other emergency preparedness list out there.
Yesterday, just prior to jumping on the airplane to return to Miami, Florida, I learned that a Captain I flew with last month lost his home to Hurricane Ike. His home WAS located in Galveston, Texas. … (3 comments)

mma: 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)

mma: 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)

mma: 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)

mma: Really Simple Currency Investing Creates More US Money - 11/29/07 03:17 AM
Ok, as promised, here is what would have happened with your $10,000 investment when converted back to today's USD during the same time as my previous post's housing comparison. 
For a quick overview, this chart is based on you simply converting $10,000 USD to another currency and switching it back to USD today.  There are numerous ways to add additional rates of return (safely) in those other currencies and you would be even further ahead.  It is also not adjusted for inflation.
As you can see, a fairly good hedge against the devaluing of the USD, and your home is by investing … (6 comments)

mma: 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)

mma: 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)

mma: Money Merge Accounts: Are You Dealing With a Professional? - 08/07/07 01:35 PM
OK, I was not going to post anything tonight as I need to get some sleep, but this just had me cracking up.  Many of you know that I like this type of product (not a big fan of the seller of the Money Merge Account itself, rather utilizing similar products).  The reason I started posting "case studies" was to show how these things are being marketed in a very biased and misleading fashion, without comparing it to other possible solutions.  Please keep in mind that there is no "magic pill" nor is there any "one size fits all" mortgage program, … (11 comments)

mma: 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)

mma: The Asher Institute Report: Fact, Fiction, or Distorted Reality? - 07/23/07 04:43 AM
Many of you may have heard about the report titled "Profiting from the Banking Industry's Biggest Secret" released by the Asher Institute for Consumers.  If you have, hopefully you saw through some of the so-called facts portrayed in this report and did not succumb to its fallacies.
This report provides an ingenious mix of both fact and fiction to ultimately sell a product.  This report has been used by numerous Money Merge Account and other Mortgage Acceleration program agents as a way to get people to buy their products.  While there is some truth to it, which we will get into, people … (8 comments)

mma: 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)

mma: 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)

mma: Mortgage Interest Tax Deductibility - How to Exceed the $1.1M Limitation - 06/25/07 08:14 AM
Let me start off by saying I am not a tax advisor, I am a Certified Mortgage Planning Specialist and that this post, like others is based on my level of knowledge and expertise and may or may not apply to your specific situation.  This is derived from tax codes and simply shows the possibilities you may have to deduct mortgage interest beyond your current limitations.
OK, quick recap on mortgage interest deductibility...
Acquisition Indebtedness (AI) - As implied by its name, it is the debt at which you obtained the home originally.  If you pay down (or off) your mortgage, it is reduced.  … (2 comments)

mma: WARNING: Category 5 Hurricane Approaching Florida (What if?) - 06/25/07 05:56 AM
As most readers of my blog posts know, I am a different kind of mortgage professional.  I employ a wide variety of strategies to help Florida families build their wealth over time.  One of the ways I differ from most others is that I talk a lot about how a hurricane, or any other distater for that matter, can wipe out your home equity, possibly never to be seen again.
So, are you fully prepared for this hurricane season in regards to protecting the equity you have "trapped" in your home.  If you have rushed to pay off your mortgage as quickly as … (4 comments)

mma: 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)

mma: 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)