E130: How to Decide What's Best: Pay with Cash OR Use IBC Policy
10/26/21 • 27 min
In this episode, we discuss one of the most commonly asked infinite banking questions. When should I use my policy to pay for something, and when should I use cash?
~ Access our Masterclass FREE to podcast listeners here:
https://livingwealth.com/secretbanking/
~ Get resources and transcripts from this episode by visiting:
Topics Discussed:
- Should I borrow from my whole life insurance policy or use cash?
- Can I borrow from my whole life insurance policy?
- What it means to become your own banking and why it matters
- Understanding the two basic ways you pay for something
- The fundamental problem Infinite Banking attempts to solve
- The real costs of paying cash
- Is cash really king?
- How money in motion makes more money
- Why compound interest is like magic
- Example expenses you never thought you could use policy to pay for, but can
Episode Resources:
Gain access to our Beginner's Course now FREE to listeners of the podcast here now https://livingwealth.com/beatinflation/
What is Infinite Banking? We make it simple in this article https://livingwealth.com/infinite-banking/
Who was Nelson Nash? Find out in this article https://livingwealth.com/who-is-nelson-nash/
In this episode, we discuss one of the most commonly asked infinite banking questions. When should I use my policy to pay for something, and when should I use cash?
~ Access our Masterclass FREE to podcast listeners here:
https://livingwealth.com/secretbanking/
~ Get resources and transcripts from this episode by visiting:
Topics Discussed:
- Should I borrow from my whole life insurance policy or use cash?
- Can I borrow from my whole life insurance policy?
- What it means to become your own banking and why it matters
- Understanding the two basic ways you pay for something
- The fundamental problem Infinite Banking attempts to solve
- The real costs of paying cash
- Is cash really king?
- How money in motion makes more money
- Why compound interest is like magic
- Example expenses you never thought you could use policy to pay for, but can
Episode Resources:
Gain access to our Beginner's Course now FREE to listeners of the podcast here now https://livingwealth.com/beatinflation/
What is Infinite Banking? We make it simple in this article https://livingwealth.com/infinite-banking/
Who was Nelson Nash? Find out in this article https://livingwealth.com/who-is-nelson-nash/
Previous Episode
E129: What Happens When You Cannot Pay Your IBC Whole Life Premium
One of the most common questions we receive from our clients is what happens if I can't pay my premium? In this episode, we review and explain the different ways a policy can pay for itself and what options make the most sense depending on your circumstances.
~ Access our Masterclass FREE to podcast listeners here:
https://livingwealth.com/secretbanking/
~ Get resources and transcripts from this episode by visiting:
Topics Discussed:
- How long do you normally want to be putting money into premium?
- What is the least timeframe to see dividends and benefit from compounding interest?
- How to understand when something is not a true liability or money loss from payment
- Why your money should always be in motion rather than stagnant
- When to use an automatic premium loan
- Can an IBC Policy pay for itself?
- How long do we typically pay a premium?
- How should we consider premiums?
- What are the options if I do need the policy to pay for itself?
Episode Resources:
Gain access to our Beginner's Course now FREE to listeners of the podcast here now https://livingwealth.com/beatinflation/
What is Infinite Banking? We make it simple in this article https://livingwealth.com/infinite-banking/
Who was Nelson Nash? Find out in this article https://livingwealth.com/who-is-nelson-nash/
Next Episode
E131: New IRS Rules Impacting IBC and How to Best Navigate Them
This episode discusses the new changes to the IRS rules on designing life insurance policies and how those changes impact the infinite banking concept.
~ Access our Masterclass FREE to podcast listeners here:
https://livingwealth.com/secretbanking/
~ Get resources and transcripts from this episode by visiting:
Topics Discussed:
- Basics of IRS code as it relates to whole life insurance
- The goal of IBC
- Using is life insurance policies with mutual paying companies
- A brief history of life insurance
- The impact of Section 7702 of the Internal Revenue Code
- Understanding the modified endowment contract (i.e., MEC)
- What happened with a base guaranteed interest rate of 4%
- Cash values vs. death benefits
- The "big change is coming," marketing tactic tickling some ears
- Increasing the flexibility and consumer-friendly nature
Episode Resources:
Gain access to our Beginner's Course now FREE to listeners of the podcast here now https://livingwealth.com/beatinflation/
What is Infinite Banking? We make it simple in this article https://livingwealth.com/infinite-banking/
Who was Nelson Nash? Find out in this article https://livingwealth.com/who-is-nelson-nash/
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