Are you learning all you can about Infinite Banking ... and wondering if you're ready for Infinite Banking?
https://www.youtube.com/watch?v=3pygSVCXpYI
Today, we'll talk about what's probably going on for you as you make this decision. We'll discuss:
The problems you're looking to solve
The mindset you need
How to know if you're not ready yet
How to go from interested to securing your first policy
So if you want to know if you're ready for Infinite Banking... tune in now!
Table of contentsIs Buying Life Insurance a Big Life Decision?Is Life Insurance a Good Investment?How to Make Good DecisionsThe Advantages of Infinite BankingThe Right Mindset to Be Ready for Infinite BankingYou’re Not Ready for Infinite Banking If…Book A Strategy Call
Is Buying Life Insurance a Big Life Decision?
[4:05] “I would say this is a medium life decision. And the reason I say that is, obviously, there’s nothing more important than your family.”
By this, Bruce means that choices that affect your family and your income are probably “bigger” life decisions. However, buying life insurance isn’t a small decision by any means. Having a death benefit in place gives you the freedom to live your life a little bit differently. It’s like car insurance. You’re going to drive much differently if you don’t have car insurance. So, it’s generally a good idea to have it.
Life insurance helps you to live life without reservations. It also acts as a great place to store and build your cash reserves so you can enjoy your money.
[4:45] “You’re not living your life to the maximum unless you know that your lifetime income is protected for your family.”
Is Life Insurance a Good Investment?
[7:20] “If you’re looking at this as an investment, it’s not a good investment. Because the internal rate of return on [whole life insurance] is not going to be great when you consider external rates of return on [actual investments].”
The thing is, life insurance isn’t an investment, and we encourage you not to think of it like one. On top of being an insurance product, it’s also an efficient savings tool—that’s it. And when you apply the principles of the Infinite Banking Concept, you create a pool of capital that works harder than a typical bank account.
Cash value of life insurance is not an investment. It’s not going to make you a high rate of return. However, it can protect your wealth, your family, and make it easier for you to invest in cash-flowing investments down the line.
How to Make Good Decisions
Life insurance can be a big decision. You must consider the costs of having insurance, the costs of not having insurance, and a dozen other small decisions in between to find the right fit for you and your family. It’s not a simple decision to be made overnight.
To make the best decision possible, it’s wise to consider the logical aspect AND the emotional aspect. The logistics are all about what type of policy, how much you’re going to fund the policy, if it’s a good fit for your family, how you’re going to make payments, etc. You also want to compare it to other places you can store your cash, and ask: is this the best place to store it? Thinking from a logical standpoint is going to help you decide if whole life insurance is something you can commit to fully.
On the other hand, the emotional side is determining how it’s going to help or hinder your peace of mind, whether it will make you feel more secure, etc. You want to feel good about the decision you’re making emotionally too.
Once you’ve weighed these details, you should come to a decision with full commitment. This is a lifelong decision if you choose to buy whole life insurance. And while you might not pay on it for your whole life, depending on how it’s structured, it’s something you’re going to keep using forever. Don’t go into the decision with a contingency plan, or you’re not truly making a full commitment.
The Money Advantage Podcast