New mortgage question- money merge acct?

[Bimmerbill]

My little brother is buying a house and his real estate lawyer told him about this. Its some sort of plan where your paycheck gets deposited into a home equity line of credit, which in turn pays your primary mortgage. They claim it pays off your primary mortgage much faster.

I remember reading something about it, somewhere. But of course, now that my brother asked, I can't remember where.

His info is from U First Financial, something called the Money Merge Account.

Anyone have a link to a write up, reveiw or something? Wish I could remember where I saw it...

 

[maddythebeagle]

What UFF / MMA WON"T tell you:Free analysis of how to beat their plan-United First Financial, Money Merge Account scam

 

[innova]

Whats that old adage.. if its too good to be true...

 

[jazz4cash]

You could look up the Mortgage thread on scam.com. I know there is a long thread there and many others. This scheme goes by several names like Autralian Mtg Plan, etc. From the very limited bits I've seen, the scam complaint is more due to various fees to sign-up, purchase software, etc. I am pretty sure you could work the plan without any formal program.

Basically, you open a HELOC with checkwriting fees and use your full paycheck to pay it down. Then you xfer money from the HELOC to your checking account to cover monthly expenses including accelerated first mortgage payments. I heard Ray Lucia say he used this type of mortgage reduction plan, though he was not particularly endorsing it. Probably google 'australian mortgage reduction' and you get a ton of sites.

here's one.........Australia's unique twist on early mortgage payoff - Boston.com

 

[FinanceDude]

My little brother is buying a house and his real estate lawyer told him about this. Its some sort of plan where your paycheck gets deposited into a home equity line of credit, which in turn pays your primary mortgage. They claim it pays off your primary mortgage much faster.

I remember reading something about it, somewhere. But of course, now that my brother asked, I can't remember where.

His info is from U First Financial, something called the Money Merge Account.

Anyone have a link to a write up, reveiw or something? Wish I could remember where I saw it...

I think the charge for their "service" is $3600 or something............

 

[maddythebeagle]

I think the charge for their "service" is $3600 or something............

pretty much and has questionable benefits anyway...if the OP's brother sends me an email, I can setup the system for him for just 3000

 

[Bimmerbill]

Hah, thanks! I told him if he can't understand it, then don't do it.

 

[ChemEng]

Its easy to understand without paying $3500 for their software.

Heres the secret: Additional principle payments pays your house off earlier.

There you go--I just saved him $3k (as I only charge $500 for this advice). Checks in the mail, right?