When you put your money in a Conventional bank – they immediately put that money to work, for them, not you!
Banks need you way more than you need them! Think about it – why do banks exist? Yes, you can deposit your money there, and it is a reasonably safe place to keep your money, but banks are not in business to help you – banks are in business to make money, just like any other company. And they are making money for their shareholders, not you!
When you put your money in a bank account, the bank turns around and loans out (sells) your money! They put the money to work by lending it out for houses, cars, businesses, etc. Banks can’t loan money without you. Let’s talk about this a little more; as a depositor, you are a liability to the bank. What? Yes, when you deposit money into a bank, they must pay you interest. But then they take your money and loan it out; they receive interest on the loan (way more than what they are paying you for the privilege to use YOUR money), so a loan is a bank’s asset!
For simple math, let’s say the bank pays you 4% interest on your savings with them. Now the bank can take your money and loan out nine dollars for every dollar they receive in deposits; this is called fractional lending. Here is an excellent explanation of fractional lending and how it came to be. So the bank makes several loans – 5% on a mortgage, 8% on a car loan, and 7% on an interest loan. You made 4% interest on your savings, and the bank made 20% interest on their loans. So I ask you- how much more did the bank make than you? Most people say 16%, but most people would be wrong. They made 500% more than you! 20% is 5 x more than 4%. Crazy, right?
Don’t you want to be the banker? You can – by implementing the Infinite Banking Concept. With IBC, you take control of the banking function in your life, so the money starts flowing to you and your family, not to the conventional bank’s shareholders! You can learn all about IBC by reading the book “Becoming Your Own Banker” by Nelson Nash.
You can use many tools to “Become Your Own Banker,” but as Nelson Nash taught us, the most efficient place is in a properly designed, High Cash Value, Dividend paying, Whole Life Insurance Policy.
Let’s be clear; we are not talking about a brick-and-mortar building or a federally regulated business. We are talking about using the strategies outlined in Nelson’s book. To build a pool of cash you control that you can borrow against that grows, guaranteed, uninterrupted 24 hours a day, 7 days a week, 365 days a year.
Instead of depositing money in the bank, you make deposits (pay the premium) to a Mutual Insurance Company. Why is a Mutual Insurance Company important? Because they do not have shareholders – they have policy owners. You become a fractional company owner when you purchase a whole life policy from the Mutual Insurance Company. Your policy grows, you build cash value, you receive interest on your money, and as a co-owner of the company, The Insurance Company will pay you a dividend if they make a profit, which they have done every year for over 150 years!
The Insurance Company contractually guarantees your policy’s cash value; it can never be reduced or changed.
You have the contractual right to borrow money from the Insurance Company against your cash value. This is an important point – you borrow against your policy, not from your policy. Your money continues to grow, and you can use your loan to pay for an expense or an investment. Now your money is doing two things at once!
Doesn’t it make sense to put your money where it works to grow your wealth and not bank shareholders?
You pay back into your own system, not someone else’s! So instead of the banking process working against you, you can have it working FOR you!
It is your money – take control of it! Would you like to learn how to make the banking process work for you and your family? Give us a call and let us answer your questions and help you get your bank started!
