01.10.2024 Liability Repayment
Mastering the Art of Liability Repayment Techniques
Presented by John Thompson, CDLP, CLA and Todd Ballenger
In this webinar, financial advisors learned about " Prepayment Analysis", an approach to improve debt management techniques. The presentation, delivered by liability experts Todd Ballenger and John Thompson, covered a practical demonstration using real-world case studies, emphasizing balance sheet neutrality in debt prepayments and understanding Effective Percentage Rate (EPR™). Todd and John also discussed the emotional factors that impact customers' decision to prioritize debt repayment over possibly better-performing options.
Attendees Comments:
A few comments from listeners when they were asked what the learned from the webinar:
Be sure to analyze all debt sources (if it is possible to find out from the client) as it is not always the highest interest rate loan that needs to be paid first.
- John P.
Getting clients to change how they think about debt. For example, rather than pre-paying your mortgage, we can create an account dedicated to reducing the same debt at some point in the future.
- Mike C.
I like the idea of having the next one with an Advisor who has used the tools and can discuss from their perspective.
- Christopher P.
Mortgage loan officers are a good source as they have a more accurate picture of client's debt than what client shares with an advisor. The whole area of liability advisor is new to me, very interesting topic and niche.
- Jacqueline B.
Side Fund for mortgage payoff - this is a great idea - can't wait to bring the idea up with clients.
- Charles M.
There are tools out there to figure out how to pay off your mortgage to your target date
- Wendy B.
5T in credit card debt - 27% interest - it's not that people don't like debt, it's that they don't like debt service.
- Ann Marie F.
"The wide-spread level of debt held by the American population.
This, in turn, makes the current course a more critical area of learning."
- Mark Z.
Be sure to analyze all debt sources (if it is possible to find out from the client) as it is not always the highest interest rate loan that needs to be paid first.
- John P.
Getting clients to change how they think about debt. For example, rather than pre-paying your mortgage, we can create an account dedicated to reducing the same debt at some point in the future.
- Mike C.
I like the idea of having the next one with an Advisor who has used the tools and can discuss from their perspective.
- Christopher P.
Mortgage loan officers are a good source as they have a more accurate picture of client's debt than what client shares with an advisor. The whole area of liability advisor is new to me, very interesting topic and niche.
- Jacqueline B.
Side Fund for mortgage payoff - this is a great idea - can't wait to bring the idea up with clients.
- Charles M.
There are tools out there to figure out how to pay off your mortgage to your target date
- Wendy B.
5T in credit card debt - 27% interest - it's not that people don't like debt, it's that they don't like debt service.
- Ann Marie F.
"The wide-spread level of debt held by the American population.
This, in turn, makes the current course a more critical area of learning."
- Mark Z.
Be sure to analyze all debt sources (if it is possible to find out from the client) as it is not always the highest interest rate loan that needs to be paid first.
- John P.
Getting clients to change how they think about debt. For example, rather than pre-paying your mortgage, we can create an account dedicated to reducing the same debt at some point in the future.
- Mike C.
I like the idea of having the next one with an Advisor who has used the tools and can discuss from their perspective.
- Christopher P.
Mortgage loan officers are a good source as they have a more accurate picture of client's debt than what client shares with an advisor. The whole area of liability advisor is new to me, very interesting topic and niche.
- Jacqueline B.
Side Fund for mortgage payoff - this is a great idea - can't wait to bring the idea up with clients.
- Charles M.
There are tools out there to figure out how to pay off your mortgage to your target date
- Wendy B.
5T in credit card debt - 27% interest - it's not that people don't like debt, it's that they don't like debt service.
- Ann Marie F.
"The wide-spread level of debt held by the American population.
This, in turn, makes the current course a more critical area of learning."
- Mark Z.