Perfect Debt Solution Plan and Review

What do you do when you have a legitimate need to know how to get out of debt? Do you know any proven methods for paying off debt faster…methods that actually work without the burden of a higher payment or unreasonable expectations? I’d like to invite you to read my review of PWM and the Perfect Debt Solution Plan.

PWM, The Perfect World Marketing is a company with a pretty in-depth debt reduction product called The Perfect Debt Solution. They have a comprehensive and cutting edge pre-payment plan that is worth looking at if your goal is to pay your home (or other debt) off early. Could this be the answer to your money woes or will you be expected to pay a higher payment, make unreasonable cuts to your budget, or make balloon payments you can’t afford?

In this review, I’m going to work backwards to how I normally do. I’m going to first explain how it works, and then I’ll get into the company/compensation information.

How’s it work? Using banking algorithms to snowball principal reduction in the borrowers favor, this payment plan can essentially pay off debt in half the time or more.

A simple way to think about it is like this: The banks have created a very complex system using something called compounding interest. It’s a great concept, but unfortunately, it works for the banks and against us, there-by keeping us in debt for years. Not to mention the thousands of dollars wasted in interest.

PWM claims that by working with the banking algorithms and applying the steps provided by the borrowers financial analysis, you could essentially reverse the compounding interest in your favor, cut the amount of interest you pay by thousands of dollars, build equity much faster, and achieve a pay-off in 1/2 the time or more.

Well, that makes sense, but does it work?

Ah, I’m glad you asked. So did I, so I ran my information and used one property that I own with my financial data.

So here are the results of my analysis:

• I currently owe a little over $110,000 on the house.
• My interest rate is 3.75% adj. rate based on the monthly treasury (MTA loan)
• My payments are about $716.00 per month.
• Paying the traditional way (if I do nothing), my mortgage will be paid off in 24 years.

The Perfect Debt Solution For My Scenario:

• My payments remain the same.
• Using the banking algorithm as recommended, I will pay off my loan in 12.64 years.
• I will save almost $34,000 in interest.
• My “effective” interest rate is right about 1.6%.

It’s hard to believe that simply changing how and when you pay what, you could save so much time and money. After running my information twice,I really feel that this plan is as cutting edge as it gets. In addition, PWM also offers a home based business opportunity for individuals looking to make extra income from home while helping people get out of debt.

Should you use this plan for your own finances? That depends. Although the plan is solid and looks like it will work, it will not help you if:

You are a space-cadet…meaning…

• You don’t pay bills on time and never balance your check book.
• You are either at a negative (income) at the end of the month or consistently spend more than you make.

The key to their debt solution plan is not adding money to your monthly payment, but you do need to be in the positive (at least a few bucks) per month.

Their Goal: To provide a solution to individuals, families, and businesses to “win the rat race” and gain control of their financial freedom.

The Beginning: They hired MIT graduates, in other words…”brainiacs” to comprehend and dissect the banking algorithm for credit. Once they had a handle on how that works, they put together a pre-payment system that attacks the debt by using that algorithm and snowballing principal reduction in the borrowers favor.

No doubt, we all need help in this area, and if used as suggested, this plan could be very beneficial.

Oh, and by the way, the Perfect Debt Solution Plan does not require auto pay or any third-party authorization. What that means to you:

• You maintain complete ownership and responsibility for payments.
• You get a customized debt elimination plan that is flexible, based on your needs.
• If you follow the plan, you will pay off your debt early, as they state, and will save literally thousands in interest charges.

In closing, this company has a valid and attractive alternative to a costly re-finance with the benefits of a lower effective interest rate, yet it doesn’t start the loan term over at 15 or 30 years.