Mortgage Accelerator Protects Family Retirement Savings
Mortgage accelerators do more than save money
Mortgage accelerators do more than save money. They also have a crucial additional benefit that can make a huge difference in a homeowner's financial future. They reduce or eliminate the risk of having long term debt in later years.
Most people don't consider that, in future years, they may risk the loss of employment. In fact, people who are the most secure financially in their twenties or thirties have not considered the implications they would face if they lost their job sometime in their forties or fifties. These people are the most vulnerable to finacial setback if such a thing should happen, 15 or 20 years after they take out a mortgage.
In today's global economy, it is a rarity for a job or career to provide long-term security until retirement. Most people realize that a job is usually temporary, as are the benefits attached to it.
With this fact being common knowledge, it is important to realize that when a job loss or loss of income does occur,it is usually at a time of vulnerability, for one reason or another. Often, it can happen when the person is in their 50's. At that age, there is intense competition to find another source of income. Regardless of laws that prohibit age descrimination, this is a common occurance.
Consider an example of a homeowner with a conventional 30 year mortgage who has been making payments for 15 years, and suddenly loses their income. Not only is he or she obligated to continue making high monthly payments, but most of the principal still exists. Over the years, most of the monthly payments have gone for interest.
After losing their job, most people would apply for and receive unemployment assistance while seeking a new source of income. Unemployment benefits are a valuable finacial lifeline, but they are designed to provide basic financial support, not replace a living or maintain lifestyle.
Because the homeowner must pay the mortgage each month, the unemployment benefits can only pay a portion of the family's needs. To make up for the difference the homeowner must tap into their retirement savings.
When money from a retirement account is withdrawn, there are tax implications. These can be chilling, because not only are regular taxes due on the money withdrawn, most likely there will be an additional 10% penalty for early withdrawal. The overall effect is that for each dollar that is taken from a retirement account, the homeowner receives only about 65 cents. Worse yet, because the mortgage is usually several thousand dollars each month, and unemployment can last for a year or more in today's economy.
People who unfortunately find themselves in this situation often deplete their retirement funds, and then lose their home to foreclosure as well!
This is all too common - but it is also avoidable by using a mortgage accelerator!
It is precisely what a mortgage accelerator can prevent! A homeowner who uses a mortgage accelerator will have paid off their mortgage in about 12 years. The monthly burden of paying several thousand dollars in mortgage expense would not be a part of the family's budget. A homeowner in this situation would be able to mostly or fully survive on unemployment benefits alone, and would not need to withdraw money from retirement savings. Their retirement plans would not be impacted. Nor would they lose their home to foreclosure. In due time, when a new job becomes available, the family would be back on track, with minimal loss to their financial future.
A mortgage accelerator like the Mortgage Magic System is the key to avoiding this scenario.
There are several companies selling mortgage accelerators, and some of them charge thousands of dollars. Still, they are all based on the same arithmatic model and so all will work, so you don't have to spend more than a few hundred dollars.
One of the best values is the Mortgage Magic System.
The Mortgage Magic System lets you use the bank's money to your own advantage.
Using this System, you will owe less money to the bank each month, and more of your monthly payment will go toward your yourself, by paying down your loan - it's like making money on your own mortgage.
Here's how it works: you are going to use your regular income to offset your mortgage loan by having your income reduce your mortgage balance. For every dollar of income, you will owe a dollar less on your mortgage.
By using your regular income to offset your mortgage balance, you owe less on your loan. As a result, you owe less interest for the period! But you also need your income to pay bills and pay for my daily needs. No problem, because you have access to it anytime you need it to pay your bills.
You should be excited about a system that protects you from financial loss, but there's more. You see, if you can pay off your largest debt (your mortgage) in 10 or 12 years, you'll have all those extra years where your discretionary income will increase by thousands of dollars each month. You'll be able to quickly grow your retirement savings over those years, instead of paying all that money to the bank each month!
You think this sounds too good to be true, but it's not, and there's absolutely no risk of using a mortgage accelerator. So, if you want to save money on your mortgage, protect yourself from future loss of income, and generate a larger retirement account, use a mortgage accelerator.
by: Marv Eisen
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