Money Merge Account Math Example:

The following math example is derived from the Money Merge Account overview video presentation as provided by United First Financial. To watch the video, click here and use the link on the bottom of the page entitled "Money Merge Account Overview". United First Financial has requested that we not link directly to the video from independent web sites.

These examples are offered as a courtesy only. Individual results will vary based on each persons specific financial situation and their ability to follow the Money Merge Account program. To find out how the Money Merge Account program will work specifically for you, request your own analysis using the links below or by filling out the form at the end of the presentation video.

We are assuming monthly expenses (including standard mortgage payment) of $4000 and monthly income of $5000.

Month	Expenses	Income	Funds Transfer From HELOC	HELOC Month Ending Balance	HELOC Average Daily Balance	HELOC Interest
1	$4,000.00	$5,000.00	$11,983.86	$10,983.86	$10,617.73	$75.05
2	$4,000.00	$5,000.00	0	$10,058.91	$10,091.71	$73.71
3	$4,000.00	$5,000.00	0	$9,132.02	$9,164.88	$66.94
4	$4,000.00	$5,000.00	$2,784.30	$10,983.86	$10,922.33	$74.63
5	$4,000.00	$5,000.00	0	$10,058.49	$10,090.75	$73.70
6	$4,000.00	$5,000.00	0	$9,132.19	$9,165.62	$64.79
7	$4,000.00	$5,000.00	$2,786.88	$10,983.86	$10,926.22	$79.81
8	$4,000.00	$5,000.00	0	$10,063.67	$10,097.00	$71.37
9	$4,000.00	$5,000.00	0	$9,135.04	$9,167.30	$66.96
10	$4,000.00	$5,000.00	$2781.86	$10,983.86	$10,983.86	$79.81
11	$4,000.00	$5,000.00	0	$10,063.67	$10,097.00	$71.37
12	$4,000.00	$5,000.00	0	$9,135.04	$9,167.30	$66.96
Totals			$20,336.90	$9,135.04		$865.10

As a result of using the Money Merge Account software, this example client has achieved the following in the first 12 months of being on the Money Merge Account program.
 

• Beginning Balance on 1^st Position Mortgage was $200,000.00
• Ending Balance on 1^st Position Mortgage is $176,319.65 at the end of the first year.
• Ending Balance on HELOC is $9,167.30 at the end of the first year.
• Total Interest Paid on HELOC for the first year was $865.10.
• Total Future Interest that can never be charged on the 1^st position mortgage is $77,524.00
• Months remaining on 1^st Position Mortgage at the end of the first year is 267 (total # of payments are 279)
• Note that the Money Merge Account Activation Fee is not included in the above numbers and must be subtracted from any savings made for a true savings analysis.
   

An argument that seems to be popular in many of the blogs and forums by people who don't really understand how the Money Merge Account program works is that the system just has you transfer all of your discretionary income to your primary mortgage, which one could easily do on their own.  As we can see in the above example, that is not the case. In the first year of this example, additional principle payments made to the 1st position mortgage totaled $20,336.90.
 

It is important to note that these principle payments to the first mortgage did not come from the client's discretionary income.  They actually came from transferring long-term, closed-end debt to short-term, open-ended debt, where the interest rate could then be minimized on a daily basis.  These "Funds Transfers" are then paid down using a portion of the discretionary income.
 

Comparing this example with a client who was just sending their $1000.00 of discretionary income toward the 1st position mortgage shows the following:

• Beginning Balance on 1^st Position Mortgage was $200,000
• Total of additional principle payments made to the 1st position mortgage was $12,000.00
   
• Ending Balance on 1^st Position Mortgage is $185,208.41 at the end of the first year.
• Total Future Interest that can never be charged on the 1^st position mortgage is $49,552.64
• Months remaining on 1^st Position Mortgage at the end of the first year is 297 (total # of payments is 309).
   

As you can see, the Money Merge Account client is 30 months ahead and has already canceled $27,106.26 more in future interest as a result of being on the Money Merge Account Program.

$77,524.00 - $865.10 - $49,552.64=$27,106.26

To achieve these results, the Money Merge Account client simply updated their income and expenses each month and followed the software's prompts while using their ALOC as their primary checking and savings account.
 

If you'd like to see if you qualify and exactly how the Money Merge Account system can benefit you, request your own analysis. It's FREE and comes with NO OBLIGATION. It will show you a worst case scenario of the exact month and year when your mortgage and all other debts you list could be paid off. The report even tells you how much mortgage interest you'll save (to the penny). There are three ways to get your FREE NO OBLIGATION analysis.
 

A) You can download and print a Money Merge Account Worksheet, fill it out, and fax it to us at 213 559-0538

The only information needed is your property information, income, liabilities (balance and payment amounts on your mortgage, credit cards, vehicles, etc.) and your discretionary income (what you have at the end of each month, if any, that's not always spent). By gathering only that information we can analyze exactly whether or not this program will benefit you and whether or not you qualify for it. If you do qualify to use the Money Merge Account system, there are some additional documents which United First Financial requires to set your software up for you. To see the additional documentation that will be needed to activate your Money Merge Account program, click here.