(Not the first) posting on the Money Merge Account/ MMA-

kenl314

Hello all- Merry Christmas to the MF community!
There's been a fair amount of opinions and discussions within the consumer and the mortgage industry regarding the MMA (equity accelerating product) offered by United First Financial. There are also a handful a competitors out there pitching the same thing.
I've done some research on the matter, and I've written a new article on my mortgagefit Blog.
Please check it out, and I'd like to get feedback or comments from other industry professionals about what they think about these programs, etc. Thanks,
Ken

brad · Posted: Wed Dec 26, 2007 8:27 am Post subject:

I am a Lender here in south florida and we have been approached multiple times regarding the MMA. We haven't begun to sell it as of yet because I haven't seen any success stories. How was your experience with this product?

jenkin7 · Posted: Thu Dec 27, 2007 5:51 am Post subject:

Hello Kenl,

I have checked your blog. I think it will really help people to decide whether they should opt for MMA or not. The points that you have mentioned for individuals who may benefit from this program is important.

Caron

Hi,

This is to Ken and Brad - is the MMA and CMG's mortgage accelerator quite similar? Well, I think they are but this issue seems to be controversial. We've had a lot of discussions about mortgage accelerator program and what most people say is that it's not as helpful as one thinks it to be. There are lots of good thoughts on the MMA and I too feel, in a way considering the financial situation of a borrower, the MMA or Homeownership accelerator as you say, would suit only a section of the borrowers.

Any thoughts?

kenl314 · Posted: Fri Dec 28, 2007 11:31 am Post subject: on the MMA and others-

Hello Caron and the other readers- Quick notes and thoughts-

Brad- Numerous people have approached you because each one of these people has $$ to be made if you sign up and start selling the MMA software to your own clients/borrowers. It's part of the whole MLM deal with UFF. I don't know all the specifics, but I believe there could be 3 different people each making about $600- $700 for each edition of the MMA software sold. Not a bad sales incentive. Everyone's in business to make money primarily, so I'm not condemning them for it....
Caron- Yes, the CMG product is very similar in how it operates and functions and outcomes, etc. But the CMG product, called the Home Ownership Accelerator, IS an actual loan. It is a mortgage from a mortgage lender- CMG. The MMA and other similar items are NOT loans; they are just a "tutorial" and mathematical formula about how to pay off your mortgage much faster- using their techniques. It would be "easier" for most borrowers to just get a mortgage via CMG than go thru the learning curve needed with the MMA software, etc. That's my theory on it. Note I don't work for or represent any of these companies.
Thanks,

Ken

Caron · Posted: Mon Dec 31, 2007 6:36 am Post subject:

Ok Ken, I got it and I know you not into representing any of these companies, you're a cool guy.

Have a great new year ahead! Smile

Posted: Wed Jan 02, 2008 2:25 pm Post subject:

Your blog post seems to be just another version of the same old sales pitch. I understand you are not selling for them but have you done the math and seen for yourself that their programs (either of them) actually save any money (in comparison to just prepaying with some of your own extra money).

These programs only "appear" effective when compared to a straight up 30 year mortgage payoff structure. If you simply apply any extra money you might have, when you have it, you pay off your mortgage the same way. I have yet to see 1 real example where interest is "cancelled" in the way these companies promote it.

AlaskaDES · Joined: 04 May 2008 Posts: 28 12.75 Dollars($)

I do understand the concept of interest cancellation.

If you have a credit card between 9 and 30%, when you have a balance at the end of the month, you are charged an average daily balance finance charge based on your balance at the time.

When you pay off that account, and do not keep a balance, you do not have a finance charge, effectively canceling your interest.

[Edited promotional texts as per forum guidelines]

In my opinion the time, money, and dedication spent on crunching and analyzing interest rate cancellations can be spent better in other areas that produce more leverage for homeowners. They all seem kind of convoluted (sp?), like you almost have to be into punching calulators and number crunching.

People like things that are simple. Not saying people are stupid, but that in this day and age things need to provide an immediate benefit and be simple enough to where you dont need to take a day off of work to understand it.

Also understand that paying off your mortgage does not end your financial difficulties. Putting all of your energy in one basket will cause you to become off balance.

There are other ways to leverage yourself better that are much simpler but its hard for me not to get promotional because I do these things myself and also recommend them to my clients. Really you need to do a few things simeotaneously, its a concept developed by my practice called the Golden Square. (Sorry moderators, i couldnt help it!) Smile

But anyway it consists of Income, Credit, Protection, The Banking Function, and Health. Conceptualize it as Income , Credit, Protection, and The Banking Function each on one corner of the square with Health in the middle of the square.

Each of these ties directly into your finances. If one is off, the others will follow, guaranteed. However if all components are progressing upward at the same time then a kind of synergy happens. You can look at the different points in the model of the Golden Square and analyze where you are in your life with it, and you will see a direct reflection.

If your credit, income, health, and protection are at high levels along with you being in control of the Banking Function, your lifestyle will directly reflect high standards of living. On the flip side if any one points are off you will see it in the way you live. Your goal should be to lift each of the corners and the middle to the INTH degree, the sky is limit. Many, including myself, have experienced the bottom, now its time to see the top.

Where the real secret or magic lies is to integrate each of the points into your lifestyle seamlessly without a bunch of "thinking".

goldenprops · Posted: Tue May 13, 2008 7:09 am Post subject:

forgot to sign in before posting above...

larry · Joined: 27 Jun 2007 Posts: 3328 474.61 Dollars($)

Hi goldenprops,

I agree with you in that "paying off your mortgage does not end your financial difficulties. Putting all of your energy in one basket will cause you to become off balance." Really in this financial crunch it is very difficult to maintain the finance

goldenprops · Posted: Wed May 14, 2008 7:13 am Post subject: money merge comments

hello larry, yes its hard for many to maintain finances, that is why adhering to the concepts of the golden square make sure you have all of your bases covered at the same time. You have everything balanced and moving in a forward direction at the same time. You can see almost instantly if you are deficient in an area and address it.

People must get out of the habit of just trying to pay bills and be more comprehensive and proactive with their whole lives as far as finances are concerned. That means making a lifestyle change. You MUST change something to get different results. The actions that got you where you are not did not work, so you must implement new actions. Initially it requires a drastic change if you have alot of debt to deal with, and honestly the reason most dont want to make the initial lifestyle change is because they dont want to look "broke" to people, its an ego thing. But the thing is is its only the beginning phase, alot of people cant see past that. You reap what you sow, so if you are sowing seeds for riches you will reap riches. There are two steps there, sowing and reaping. You dont just "reap riches". Its about like expecting a tree just 'being' there without there ever being a seed planted. Alot of people who believe you can just "reap riches" play the lotto. NOT SAYING that its not fun to play or whatever, but some people dont want to address their lives as far as making money so they just give their hard earned money up to the greatest borrower of all time called "Chance". Chance is VERY stingy and has bad credit, he probably has a FICO score of 250, he doesnt like to give money back. Think about all of the money "Chance" has borrowed with lottery tickets, slot machines, card tables etc, verses how much he has paid back. But he so much dang fun to hang out with people cant help themselves! (Some kind of poetic metaphors if you will..lol) Again not saying its all bad but balance and direction are keys.

What good is making alot of money if you get disabled and arent covered by insurance to keep your income rolling in? What good is making alot of money if your Health is terrible because of bad habits and you cant qualify for insurance - leaving your income open to attack? What good is making alot of money if you always have to go to an "outside source" for loans and credit? (see credit forum) What good is having good health and insurance protection if your credit and income is unstable and lacking? There has to be balance on every point with almost perpetual forward progression.

Niicss · Posted: Thu May 15, 2008 2:32 am Post subject:

Hey goldenprops.

Well said. the balance is very much needed but it is hard to find. Now that is true if you live within your means then you will not face much of problems but I feel this sorts of products (money merge) will just not help.

Guest

The MMA program can be very beneficial to all types of borrowers with all different types of loan programs. The amount of interest saved through this program can be tremendous and probably would not be achieved by one's own financial steps taken. Most home owners don't have lots of extra money to apply to the principle balance to achieve such savings so this tool will guide them there with no hassle. For persons that aren't that financial savy it will sharpen your skills with your finances.

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