Performance Car Reviews, News and Parts for the Car Enthusiast

This is an actual case study of someone who put the Infinite Banking Concept into practice as described by R. Nelson Nash in his book Becoming Your Own Banker.

A 45 year old male

Paid an annual premium of $30,000 into a participating whole life insurance policy which had a face value of $567,000

Two weeks later he borrowed $12,000, of the $22,000 of available cash value, from this policy

He took his loan of $12,000 and used it to pay his tax bill. Next he drew up a schedule for repaying his policy from which he had borrowed.

His repayment schedule specified that he would pay back this loan over a course of 36 months with a monthly payment of $390. At the end of this time he had paid back $14,040 and now had this money available in addition to the $10,000 of cash value that did not loan from his cash values originally.

Over a 36 month time frame he paid two additional annual premiums of $30,000.

After paying the second premium of $30,000 his cash values were increased by $24,000.

His third paid premium increased his cash values by yet another $34,500

At this point, he had $82,540 of cash value and over $801,000 of face value. Because he had only paid $90,000 in premiums up to this point, his comparative cost has only been $208 per month or a total of $7,460.

Compare this to a term policy with an $800,000 face value; his cost for this would have been $323 per month or $11,628 for an equal time period.

This continues to improve because remember the $10,000 of cash value that this man left inside his policy when he took out the $12,000 loan?

That $10,000 added to $20,000 which he had on hand, he used to purchase a car. The monthly amortization schedule, for the car, outlined payments of $667.33 per month for 36 months. Therefore after the 36 month period outlined above, this man at age 48, has the $82,540 plus an additional $24,042 in cash values, added together that makes $106,564 this registers as $16,564 more than he has expended in premiums!

Summary:

This man has $16,564 more than he paid in premiums. This is money he would not have had if he had not followed The Infinite Banking Concept.

He also has $801,000 of death benefit through his life insurance policy with technically no expense.

Also, he took care of a $12,000 bill to the tax department and purchased a $30,000 automobile.

And, in just two more years, he will have accumulated another $16,016 simply by maintaining the repayment schedule he has already set up on the automobile.

By practicing The Infinite Banking Concept his death benefit (face value) is now $812,424.

Because he learned to control the banking equation, he has received, tax free, all the profits which would have gone to the banking and financial institutions.

After reviewing this case study, it is quite evident that “The return of your money is more important than the rate of return on your money.”

The Infinite Banking Concept is obviously a fact not fiction.

Dr. Tom McFie of Life Benefits, Inc. Is a widley sought financial coach. He helps people and business owners recover 30-35% of the money they are currently spending through the practice of the Infinite Banking Concept as described in the book Becoming Your Own Banker