Frequently Asked Questions
With a traditional mortgage or loan, the homeowner pays monthly. With a Biweekly mortgage plan, a payment is due every other week. The Biweekly payment amount is one-half the monthly amount.
Fictitious Example: Fred and Wilma Flintstone purchased a $300,000 home with a 30 year mortgage debt. Their total mortgage payment is $1681.20 monthly. With our biweekly mortgage plan, they pay $844.55 (includes debit-fee of $3.95), every-other-week. After enrolling, they erased five years from their 30 year loan. Their new home is mortgage-free in 25 years. The Flintstones saved, approximately, $37,000.00 in avoidable interest payments. Enough to fund Pebbles college education.
Regulation E is a Federal statute that safeguards electronically transferred dollars. Every account holder is entitled to a 100% refund if funds are automatically transferred from your account without your authorization. Specifically, if your account transactions are serviced by an FDIC Member Bank. FDIC Member banks offer Insurance for EFT Clients up to $250,000.
The Mortgage Eraser, LLC & BWMA's preferred biweekly payment system allows borrowers to pay a little extra each debit towards their loan's principal. Commonly referred to as Mortgage Acceleration. Homeowners are amazed how a few extra dollars goes a long way in accelerating their early payoff. Many customers pay an extra $10, $15, $20 or more. Furthermore, every penny is applied to the principal balance of your loan. More importantly, to protect your interest, BWMA performs regular audits to ensure accuracy and lender accountability at your request.
You received this document at your Mortgage Closing. And like most homeowners, the Truth-In-Lending or TIL is, probably, still tucked-away within the big folder you received from the Closing Attorney. The TIL statement is a federal mandated document enacted to protect new homeowners from lender deception. In many cases, the interest rate you think you have is probably not the interest rate listed on your TIL statement. With that said, the Truth In Lending Act (TILA) of 1968 is the United States federal law designed to promote the informed use of consumer credit. By requiring disclosures about its terms and cost to standardize the manner in which costs associated with borrowing are calculated and disclosed.
The short answer is no! There will be plenty of interest to write-off your taxes. But ask yourself. Do you want a tax shelter or a home paid-off with cash-accessible-whenever needed? Remember, 100 percent of foreclosures occur on homes with mortgages. The Bible says; “That the rich rules over the poor, and the borrower is slave to the lender.” - Proverbs 22:7.
Some banks do, many don’t. For most who do, their often hidden costs tend to be higher. But, ask yourself. Would you put the Fox in charge of the Hen House? That is, precisely what happens when you make your lender your biweekly provider. You would be putting in charge the same entity that you are trying to protect yourself. There are no checks and balances. When you join The Mortgage Eraser and BWMA, we become your gatekeeper. We audit lenders on your behalf, not theirs.
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Perhaps? Many homebuyers try the D.I.Y. approach. Just as people cut their own grass. Remodel their homes. Fix their own cars. Well, you get the picture. The choice is yours. Yet, how long have you owned your property? How long have you been planning to do-it-yourself? Did you know that every month you procrastinate you lose hundreds by paying unnecessary bank interest you can never get-back? Furthermore, statistics show most people still lose thousands doing it themselves. We do it right the first time and with no bank hassle. Remember, to protect your interest (no pun intended) we perform regular audits to ensure accuracy and lender accountability at your request.
When you pay less than 20% down on a new home, the lender feels vulnerable that you may default on the mortgage loan. Therefore, you are forced to protect the lender's interest. PMI & MIP are essentially mortgage protection for the Lender. Any insurance policy that protects the lender in the event of a default on the mortgage loan is called PMI (Private Mortgage Insurance). For Conventional loans, or MIP (Mortgage Insurance Premium) for the government-insured FHA loans. Both calculate client insurance premium into the monthly payment. Most homeowners forget this fact and continue paying this insurance unnecessarily. We have seen costs around $300-$400/month. We alert you when you can eliminate that extra financial burden and provide alternatives to paying an Assessor to verify!
There is no catch! But there is a small enrollment fee. Also, you should be prepared to make two payments to start. You have your regular monthly payment. Then we debit two half-payments over the next 28 days. Our enrollment fees vary by the amount and terms of each individual mortgage. We do offer a popular “no money down” deferred payment option. Here you defer your Enrollment Fee over 12 months. Our SERVICER charges a debit fee of $3.95 per transaction. Either way, you get to live and retire debt-free and stress-free!