Does Refi­nanc­ing to a Lower Inter­est Rate, Lower Your Debt and Save You Money?

We are taught to focus all our atten­tion on inter­est rates but by only look­ing at inter­est rates, we miss the fact that refi­nanc­ing often increases our debt load, not decreases it, like many believe. Let’s first look at the cost of a mort­gage. Why  is refi­nanc­ing pushed as a ben­e­fi­cial option? Why are 1st time mort­gages set up with higher inter­est rates that are encour­aged to be low­ered, via refi­nanc­ing, a few years down the road with entic­ing lower monthly pay­ments and inter­est rates? The link below por­trays a $200,000 mort­gage @ 6% over 30 years. Look at the first 5 years of the amor­tized sched­ule. Now look at the cost of this $200,000 mort­gage. It is $231,677,  which is an inter­est charge equal­ing approx­i­mately 116% of the amount bor­rowed over 30 years.

click to view full 200,000 mortgage amortization schedule
 More »

Click twice to Enlarge

http://www.visualeconomics.com/a-lifetime-of-debt-the-average-americans-financial-journey/

If you own the debt, how would this game of debt make you feel? A lit­tle dif­fer­ent, right. We are edu­cated to look at debt through the eyes of the borrower.

Debt makes the owner wealthy as it is an asset to them. They are earn­ing the inter­est and con­trol all the terms. So if you spend the time nec­es­sary to under­stand that there are other play­ers in the bank­ing game, you could turn your debt into an asset also.

There is a way where you can be the bank owner, the banker, the bor­rower and the saver/depositor. In this sce­nario, you are in con­trol, you make the terms, you earn the inter­est, you recap­ture the prin­ci­pal, you become wealthy.

Please con­tact me today so I can show how pos­si­ble, and actu­ally easy, it is to Become Your Own Banker.  Jen­nifer Hansen 845 – 649-7487

The ACT Auto­mated Cash­flow Tech­nol­ogy Soft­ware is a won­der­ful took for track­ing your IBC loans etc.

Click here to view video.

Call me today if you would like to see how using it can impact the qual­ity of your finan­cial life.

This is more than an awe­some debt elim­i­na­tion tool, it is a wealth man­age­ment and cash flow man­age­ment per­sonal finan­cial sys­tem. Jen­nifer Hansen 845 – 649-7487 Jennifer@DebtDiagnosis.com

Peter­son Perspectives Inter­views on Cur­rent Top­ics The Shadow Cast by US Debt Car­men M. Rein­hart dis­cusses how his­tory teaches that large pub­lic and pri­vate debt impedes eco­nomic growth, a les­son that the United States must heed in the years ahead. Edited tran­script, recorded Feb­ru­ary 18, 2011. © Peter­son Insti­tute for Inter­na­tional Eco­nom­ics. More »

Finan­cial Nav­i­ga­tion Solu­tion uses a team of pro­fes­sion­als to edu­cate clients how to multi-task their money. We delve into a client’s per­sonal finan­cial cir­cum­stances and see which of our strate­gies and/or sys­tems will make sure our client reaches their goals and beyond what they thought was pos­si­ble for them­selves. We design unique illus­tra­tions and pro­vide live demon­stra­tions of how the move­ment of their money makes all the dif­fer­ence to their cur­rent and future lifestyle. And then pro­vide guid­ance and sup­port dur­ing the clients process of learn­ing how to move and track their own money, with ease and joy. Ongo­ing edu­ca­tion and sup­port is a guarantee.

More »

WATCH VIDEO HERE

Make it to one of the live webi­nars dur­ing Novem­ber to check out the awe­some fea­tures of the new Money Merge Account ver­sion 5. Debt or no debt you will want this, espe­cially if you have mul­ti­ple accounts and or mort­gages to keep track of.

Click on logo above to find the live webi­nar links for every Tues­day and Thurs­day dur­ing Novem­ber. See you there.

Is 4% really 4%? Not accord­ing to bankers math.

More »

Click here to view video

For more infor­ma­tion about the Money Merge Account sys­tem please check out the videos and arti­cles I have writ­ten about the six bank strate­gies the soft­ware uses the guide you out of debt.

If the Talk Fusion Video is too blurry, go to this link

Obtain an instant quote NOW.

One Year Exam­ple of how to use your

Home Equity Line of Credit

to pay off your mortgage.

Watch soft­ware demon­strat­ing this in action

The way mort­gage inter­est is cal­cu­lated ver­sus the way a home equity line of credit inter­est is cal­cu­lated is a major rea­son why one can actu­ally use a home equity line of credit to pay off a mort­gage much faster while can­celling boat loads of inter­est charges as well.

Below is a list of 5 dif­fer­ences in the make up of these two home loans. More »

Inter­est — Rate vs Cost using 6% Mort­gage and 10% HELOC.

 

1. WHEN CAN YOU BORROW MONEY BUT NOT BE IN MORE DEBT? I am a strong advo­cate of get­ting out of debt as soon as pos­si­ble and stay­ing out as long as pos­si­ble. The dia­gram below shows how by bor­row­ing $5,000 from a home equity, per­sonal or busi­ness line of credit to use as a principal-only pay­ment to help pay off the bal­ance owing on a mort­gage, you aren’t really get­ting deeper into debt. You are really just repo­si­tion­ing the debt dif­fer­ently. Don’t you still owe the same $200,000 amount  but in a dif­fer­ent con­fig­u­ra­tion? Why do this? Keep reading.…..

 

More »

Who’s Who of Who gives excel­lent finan­cial advice

****************************************************************************************************************************** ****************************************************************************************************************************** 12. G. Edward Grif­fin Here is an arti­cle writ­ten a few years ago by G. Edward Grif­fin, author of  The Crea­ture from Jekyll Island, A Sec­ond Look at the Fed­eral Reserve.  ****************************************************************************************************************************** More »

‘Finan­cial GPS’ Best Describes Our Finan­cial Nav­i­ga­tion Solution

After enter­ing your start­ing point into any Global Posi­tion­ing Satel­lite Sys­tem, it knows where you are at all times. After you enter your des­ti­na­tion, it directs you, one step at a time, how to reach it.

If you make a wrong turn, if you decide to visit Aunt Jemima, if you stop off for lunch along the way, the GPS instan­ta­neously recal­cu­lates your posi­tion and then redi­rects you so you get back on track till you reach your final destination.

What do you think it would be like hav­ing a Finan­cial GPS Sys­tem that worked exactly the same way? What if your final des­ti­na­tion was set to zero debt and no mat­ter what you did along the way it also instan­ta­neously recal­cu­lated your finan­cial posi­tion so you would stay on track to reach that final des­ti­na­tion in the fastest time pos­si­ble for you.

How­ever, as well as recal­cu­lat­ing, what if it showed you the con­se­quences of your finan­cial choices before per­form­ing them in real time, just like a reg­u­lar GPS shows you your route ahead of time.

Wouldn’t this mean you could actu­ally be edu­cated about whether the deci­sions you are mak­ing with your money are direct­ing you to end up closer to your goal or tak­ing you fur­ther from it?

More »

Bank Strate­gies Used By The Finan­cial Nav­i­ga­tion Solu­tion System

When a soft­ware sys­tem is pro­grammed to incor­po­rate at least 6 bank strate­gies that when united together work­ing in uni­son, become an awe­some debt elim­i­na­tion, wealth build­ing finan­cial nav­i­ga­tion solu­tion, you would be amazed at the speed you can pay off debts.

What are those 6 bank strate­gies? Inter­est can­cel­la­tion, inter­est accu­mu­la­tion, inter­est float, time value of money, repo­si­tion­ing and max­i­miz­ing idle money and advanced strate­gic payoff.

There is a high-tech finan­cial solu­tion, a dynamic, real-time tool that is pay­ing off debt, strate­giz­ing money, build­ing wealth, track­ing finances and gen­er­ally edu­cat­ing it’s users, while at home, with their own money. It is truly like hav­ing a finan­cial coach in your own home when ever you need one. This sys­tem is not a the­ory or a book or box of CD’s full of ideas. It is an actual real-time finan­cial gps tool.

More »

After learn­ing about the GPS sell­ing sys­tem at the United First Finan­cial DC Regional event last month, and then refresh­ing my mem­ory with a Todd Avery webi­nar two Saturday’s ago, I had the oppor­tu­nity to actu­ally use it with a client. I felt uncom­fort­able ask­ing the ques­tions that are part of the script but I asked them any way. To my sur­prise the clients were happy with the ques­tions and even com­mented on how they appre­ci­ated them. More »