Blog 104 – Why Not Universal Life For Infinite Banking? 

Pedro Isis Portrait Pictures

Infinite Banking is an economic concept developed by Nelson Nash. It is based on the principle that you “finance” everything you buy, since you either pay interest to someone else or if you pay cash, you give up interest you could have earned. IBC is all about how to create your own banking system so you can control 100% of your financing needs.

Permanent life insurance is designed to last the rest of your life and it may be whole life insurance – in existence for well over 200 years – or universal life – in existence for about 45 years. Universal life can be current assumptions, variable, or indexed. Of all permanent life insurance products, ONLY whole life offers guaranteed level premiums, guaranteed and increasing cash values and guaranteed and increasing death benefits. In essence, by selling universal life policies, life insurance companies transfer some of the inherent risks of insurance from them to the insured and at the same time, in general, the insurance producer earns a higher commission from selling universal life than from selling whole life.

Nelson Nash concluded with absolute certainty that the Infinite Banking Concept can ONLY be implemented with a properly designed dividend-paying whole life insurance policy. Properly designed includes the maximization of your cash values.

When we design for you a dividend-paying whole life insurance policy that satisfies the Infinite Banking Concept as described by Nelson Nash, you can be sure that that policy is the most-efficient whole life policy that can be designed for that insurance company and for the premiums that you are paying. We define “most-efficient” by the ability to generate the most cash value, not only in amount but also in time.

Don’t forget that the annual break-even of the cash value in your IBC policy is the year in which the increase in cash value in that year is equal to or greater than the premium paid to the policy in that year, and it can be as early as the second policy year. What this means is that from this point in time on, every dollar that you pay in premium translates into more than a dollar in cash value. Also remember, this growth is locked in, unlike the growth in a universal policy, or the growth in stock or real estate investments which fluctuates depending on market conditions.

Wouldn’t you like to own a financial contract called an IBC policy where at the end of the year the increase in cash value is greater than your premium contribution to the contract that year, guaranteed year after year? Now, if you own such a contract, wouldn’t you like to contribute to it as much premium as you can for as long as possible? We think you should.

If you would like to learn how you can grow a substantial amount of cash that you have access to at any time without penalties, is unrelated to the stock market, and will generate income that is not included in your tax return, visit our website at http://InfiniteBankingSimplified.com/  or feel free to email us your questions at ContactUs@InfiniteBankingSimplified.com or call us toll-free at 1-844-443-8422.

Isis B. Palicio, LUTCF, MBA
Pedro A. Palicio, MBA, Ph.D.
Infinite Banking Concepts® Authorized Practitioners

We are experts in designing high cash value dividend-paying whole life policies.

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