Frequently Asked Questions

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The primary risk with this strategy lies in the user’s ability to manage their increased cash flow. Homeowners may suddenly have access to more funds than they’ve had in some time, and not everyone finds it easy to exercise the self-discipline required to handle this responsibly.

While we don’t micromanage our clients’ spending (nor do we have access to your accounts), our system offers clear indicators to help you stay on track. If you find it challenging to control your spending, this program might not be the right fit for you at this time. We can refer you to our Dave Ramsey coach, who specializes in helping individuals with compulsive spending habits. We understand that now might not be the best time, but we’re here to support you whenever you’re ready.

For those who commit to following our recommended processes, the risk is minimized. However, if the recommended steps are not followed, the service may go unused. Rest assured, we take every measure to ensure the success of each client.

Yes. When people set up any kind of account, we use banks. Banks are FDIC insured and highly regulated. We do not have control of any of your money. 

Also, this is not a securities product. These have nothing to do with the stock market and therefore have no Stock Market risk.

No, you typically don’t need to replace your current mortgage. At Fire My Mortgage®, we offer seven different strategies tailored to various situations, and we usually only recommend a replacement if you have a high interest rate. We understand the importance of interest rates, but our approach is designed to be effective regardless of them. We evaluate each household on a case-by-case basis to determine the best strategy for your unique circumstances. You'll be informed about the strategy that fits your situation and whether a mortgage replacement is necessary.

Interest rates have minimal impact on the effectiveness of this strategy. Banks often train consumers to focus on interest rate points, leading people to pay extra closing costs just to lower their rate by 0.5%. However, the key factor in financial growth or loss isn’t the interest rate—it's time. Changing the time frame has a far greater effect than adjusting the rate.

Consider this: Would an investor earn more with an 8% return over 8 years or a 3% return over 30 years? Time and the power of compounding reveal that a longer period yields significantly higher returns, even with a lower interest rate. For a mortgage, however, the borrower is not the investor, the bank is. Therefore, the name of the game is to keep the pay period as short as possible. 

This illustrates the difference between the APR (Annual Percentage Rate) and the TIP (Total Interest Paid), both of which are detailed in your mortgage documents. Time enhances the power of investments, making it beneficial to invest as long as possible. Conversely, time is detrimental when borrowing, so it's advantageous to pay off debt quickly—unless you're leveraging debt through arbitrage for additional gains.

Here are some key points to consider:

1. It's not the percentage rate that impacts your financial plan significantly; it’s the total amount paid in interest.

2. When inflation is high, paying off debt quickly is often the best strategy.

3. In the early years of a traditional mortgage, most of your payment goes toward interest rather than principal. Getting deeper into the amortization schedule quickly is the only way to win.

4. Traditional mortgages use amortized interest (reverse compounded), while our recommendation is to use simple interest. Comparing 7% simple interest to 3% amortized interest is like comparing Fahrenheit to Celsius—it's not a straightforward comparison.

 Many people wonder if this strategy will work for them. We’ve found that 8 out of 10 people achieve outstanding results with it. For the remaining 2 out of 10, we don’t move forward with the advanced strategy but are happy to refer them to our Dave Ramsey coach for additional support. Often, these clients successfully adopt a more advanced strategy once their financial foundations are solid.

The key factor for success is your commitment to making a positive financial change. To assess if this strategy is right for you, we conduct a side-by-side comparison of your current situation versus the potential benefits of implementing our strategy. 

All exploratory meetings are complimentary and confidential, ensuring you receive clear and personalized insights without any obligation.

Fire My Mortgage® operates independently, allowing us the freedom to choose from any company that best meets our clients' needs. We don’t answer to shareholders or a board of directors—our clients are our only priority!

Fire My Mortgage® is a fiduciary organization, which means we are committed to placing our clients' needs above our own. We will never make recommendations that could cause harm; every decision is made with our clients' best interests at heart.

Fire My Mortgage® is primarily operated by James Murphy, who holds the following credentials:

Public Notary

Certified Notary Signing Agent

Property and Casualty Insurance Licensed

Life, Health, and Annuity Insurance Licensed

Certified Professional Coach

FINRA Series 6, 7, 63, and 66

Licensed Minister

Prepaid Legal Representative (not a license)

While licenses don’t define a person, they do allow us to discuss matters that those without them cannot. Additionally, we have an Advisory Group comprised of professionals who specialize in specific areas.

(See Disclaimer in the footer.)

This is not an investment or insurance product. If a client wishes to compare insurance rates, we can assist, but we will always be transparent when we are "changing hats."

Our approach is a strategy based on superior math and logic. We often utilize bank products that consumers are already familiar with.

(See Disclaimer in the footer.)

The process of reviewing our clients' financial details is both complimentary and confidential. You will never find yourself committed to anything without your consent.

Fire My Mortgage® does not receive compensation from lenders. We are independent coaches, and our services are provided for a one-time fee, which is determined by the client’s specific needs and goals.

We have discovered that there are seven different strategies to accomplish this same goal of paying off the home and all other debt. Because of this, the out-of-pocket cost varies by client, and we will never quote a fee unless we are confident that significant time and interest savings will be achieved.

 We have great respect for Dave Ramsey and Suze Orman, but we don't believe in living on beans and rice! A strict budget can feel like a crash diet—effective in the short term but often unsustainable over the long haul. (That’s why, out of the hundreds of thousands of listeners, only a few end up calling in to shout, "We’re debt-free!!!")

We typically don’t ask our clients to cut back on spending. Instead, we work with their numbers based on their current lifestyle, without demanding drastic changes.

However, with this strategy, clients may find themselves with more cash on hand than they’ve had in a long time. Just as we don’t ask them to spend less, we also encourage them not to spend more just because the funds are available. Everything in moderation.

This strategy works for both larger and smaller homes. Typically, those with more expensive homes have higher incomes and greater expenses, while those with smaller homes have lower incomes and costs. In other words, the strategy scales naturally.

That’s why we tailor our approach to each household, considering their unique income, expenses, debt, cash flow, and future purchases.

Yes. Amazingly so. 

We call that conversation "Fire My Mortgage®  2.0." 

Yes, in most cases, we can apply this strategy to business debt.

For businesses, we begin by gathering Profit & Loss statements and details on existing debt. If we identify a solution that can have a significant impact, we will present the potential results of implementing the strategy. However, the full process will be explained only after the business has subscribed to the service.  

Once all decision makers have approved, Fire My Mortgage® will assist with introductions, applications, and the execution of the strategy.

Yes, usually we can. If we’re unable to implement the strategy "right out of the gate," we’ll gladly connect you with a mortgage lender who offers the best plan for your situation. Once that new loan is in place, we can immediately apply our strategy.

We are not lenders, brokers, nor do we work for one. We never receive compensation from lenders, nor does Fire My Mortgage® pay the lender.

We are Financial Planners and part of a network of homeowners who have discovered a better way.

 No, it’s definitely not new.

This strategy has been employed by the wealthy since the 1880s and has been available to everyday homeowners since 2004.

We didn’t invent this approach, but we’ve gathered insights from various strategists. We simplified it where it was overly complex and made it more relevant by integrating new technology for a better experience. Ultimately, we’ve improved and made this strategy more accessible in every way.

This strategy has been widely used in Great Britain, New Zealand, and Australia, and in the United States since the 1880s, but it didn’t reach mainstream America until 2004.

Big banks have done an excellent job convincing people that the traditional mortgage is the only way to buy a home. They profit significantly from traditional mortgages, which trap borrowers in a lifetime of interest payments. There’s no incentive for them to change their message any time soon.

In the United States, only a handful of companies offer this specialized conversation. Fire My Mortgage® is grateful to be one of the nation's leaders and is the only company utilizing all seven strategies. 

Just because you know something doesn’t make it true, and just because you don’t know something doesn’t make it false. We simply ask people to objectively examine the math and logic using their own numbers and decide for themselves if it makes sense.

 We do not recommend pulling money out of the stock market to pay down your home. The only time it makes sense to withdraw funds from an investment account is if cash is sitting in a brokerage (non-retirement) account, and the investor has no immediate plans to reinvest it in the market.

We never advise withdrawing money from retirement accounts due to the potential taxes, penalties, and loss of growth opportunities. Similarly, we do not suggest pulling equity out of your home to invest in the stock market. These two should remain separate on the balance sheet.

(See Disclaimer in the footer.)

 Consider a scenario where a homeowner is laid off or becomes disabled and can’t pay their bills. Under a traditional mortgage, the bank typically begins the foreclosure process after 120 days of missed payments. In such a situation, even finding a rental with no income and a recent eviction on record can be nearly impossible. What’s a family to do?

With the strategies we teach, homeowners have more flexibility and options in times of financial crisis. Instead of facing immediate foreclosure, they can gain valuable time to recover or make necessary decisions without the pressure of losing their home.

This built-in buffer provides the opportunity to get back on their feet if the situation is temporary or to sell from a position of strength rather than desperation if the situation is permanent.

People with fluctuating incomes find this strategy particularly helpful. Their financial experience often shifts between periods of abundance and scarcity.

Through the strategies we teach, homeowners can maintain a consistent budget, even when their income varies. This approach helps ensure that, over the course of a year, they’re spending within their means, leading to quicker mortgage payoff and a more balanced household budget.

Account holders have full access to their cash.

The strategies we teach provide complete flexibility, allowing money to flow in and out at any time, without restrictions. The account owner has full control over their funds and can transfer money as easily as with any other account.

There are no penalties for how often the account is used, and no rigid structures to follow. This flexibility allows homeowners to manage their monthly budget effortlessly, while still being able to access funds for future purchases, emergencies, or regular expenses.

When you sign up, we provide comprehensive support to help you pay down debt. We start by thoroughly analyzing your financial situation through several meetings to ensure the accuracy of our recommendations. Our coaching service guides you step-by-step through the process, supported by budgeting tools, spreadsheets, checklists, and a comprehensive video library, all of which you’ll have lifetime access to.

We assist in establishing the right account needed to implement the strategy and direct you through the application process. Because we are independent, we have no conflicts of interest—our only goal is to see you succeed. We’ll be with you until you’re 100% debt-free, offering ongoing coaching through complex situations.

Additionally, we’re licensed to assist with a wide range of financial planning needs. If needed, we can connect you with a member of our advisory group for specialized, focused service.

A fixed-rate mortgage ( FRM) is a fully amortizing mortgage loan where the interest rate on the note remains the same through the term of the loan, as opposed to loans where the interest rate may adjust or "float". 

Revolving credit is a transactional bank account. The borrower may use or withdraw funds up to a pre-approved credit limit. The amount of available credit decreases and increases as funds are borrowed and then repaid. 

Temporarily depositing cash into a loan to reduce the amount owed, whereby decreasing interest paid. 

The legal practice of placing expenses on a credit card during the period when no interest charges accrue and then paying it off prior to interest charges or late penalties. 

A period in which a debt is reduced or paid off by regular payments.

Annual or annualized percentage rate, typically of interest on loans or credit.

Here's a great definition on Bank of America's website. Clicking here will take you there. (Don't forget to come back!) https://bettermoneyhabits.bankofamerica.com/en/home-ownership/mortgage-debt-to-income-ratio

Here's a definition  of Loan to Value (LTV) on Investopedia Bank of America's website. Clicking here will take you there. https://www.investopedia.com/terms/l/loantovalue.asp

Total interest paid is calculated by subtracting the loan amount from the total amount paid. 

These allow you to use money in linked mortgage accounts to effectively reduce (offset) the amount you owe and, therefore, the interest you pay each time. Used wisely, they can save money and help you repay your mortgage faster. 

With these you don’t repay any principal, you just keep paying interest on the full amount each time. Interest-only loans are usually available with a fixed or floating interest rate.