FrugalMe.com®
If you’ve recently refinanced, you probably think you have a great loan.
It’s time to think again.
Introducing the revolutionary Home Ownership Accelerator.
Compared to a traditional loan, you could save tens of thousands in interest, pay off years earlier, and all with no change to your current spending habits.
This is not a bi-weekly loan or a low-start-rate gimmick. The Home Ownership Accelerator is the first loan in America of its kind. So get ready to change the way you think about mortgages and your money.
First, we finance up to 90 percent of the value of your home with the Home Ownership Accelerator line of credit. Then, you deposit your paychecks into the new line of credit. This greatly reduces your principal balance each time you get paid.
When you need funds for any expenses, it works just like your old bank account: you write checks, use the ATM/Visa card, or use the free online bill-pay.
But, your money stays in your account while you’re not using it, keeping your balance lower, and saving you 5-6 percent in interest costs [instead of earning 1-2 percent (or less!) in your bank].
We all know how it works: With traditional loans, your principal balance is constant all month long. Then, it goes down a little when you pay your mortgage. But, with the Home Ownership Accelerator, your paycheck drives your loan balance down dramatically. Even if you spend most of your paycheck during the month, your average daily balance is much less. Interest is calculated on your daily balance, which is going to be less, so you save interest, which leaves more of your money for principal.
So, you just saved interest in two ways: first, the money you didn’t need, stayed in your account, keeping your balance lower; second, the money you did need for expenses even saved you interest while it was waiting around in your account to be spent.
Your interest savings roll into the next month in the form of lower starting principal balance. This effect compounds, month after month, so you can end up paying off years earlier compared to a traditional loan.
In fact, because your loan balance can be so much less, it can offset the impact of rising interest rates. And the best part is that you do all this with no change to your everyday spending! Your own money’s doing all the work for you.
The borrower has a net income after taxes and withholdings of $96,000 per year, they save 10 percent of their net income each month, and they have a $300,000 loan, fixed rate, at 6.5 percent for thirty years. With the Home Ownership Accelerator, they could cut over fourteen years off their loan payoff, and save nearly $180,000 in interest, all with no change to their spending habits.
What makes this loan so different and so effective? The key is that it is a line of credit, not a mortgage. With a mortgage, you’re only making a small, regular contribution to principal. With the Home Ownership Accelerator, you’re able to flexibly add all of your cash towards principal as soon as you get it, while still maintaining 24/7 access to funds for your expenses. With a mortgage, if you have leftover money at the end of the month, you could pay extra towards the mortgage, but because mortgages are closed-end instruments, any such prepayments are permanent — which is why most people are reluctant to do it (they might need that money down the road). So most people leave their money in the bank, waiting to be spent, earning nothing on it. With the Home Ownership Accelerator, you can put your entire paycheck to work saving you interest, until you need it. Your money is now effectively earning the same rate as your mortgage, because it’s saving you interest at that rate. Notice how with the Home Ownership Accelerator, you’re becoming the bank of you!
You can even “test drive” the loan with your own situation using the patent-pending interactive simulator. You tell it about your income, debts, and expenses, and it tells you how much interest you could save and when you could pay off. You’re certain to be a believer after that!
With today’s sky-high home prices, many of us have given up on the notion long held by our parents and grandparents: owning our home free and clear. The Home Ownership Accelerator is the first tool of its kind that gives your money the power to work for you, not the bank. Imagine how your life could change without a mortgage. Wouldn’t you like take the next step towards real financial freedom?
Apply online today. There’s no pressure and no cost. The only thing you have to lose is years off your mortgage.
Join the mortgage revolution today with the Home Ownership Accelerator!