How this couple got ahead quicker, story continued...
It just seemed that another hole in the funnel would come after plugging another hole…it never seemed to end! They eventually found out that the average person has 34 % of their money going out in interest to lenders(home,car,credit cards,etc), 40% goes out to taxes and you get to keep 26%...what a deal….right?
Well, this couple took the typical road of just trying to stay ahead by paying off debt the best they could and putting more in their matched 401K. They were fearful of what the economy could do, but, they just stayed the course and kept going. Not too soon after this, they had lost more than half of their money when the economy turned.
They got tired of it. They wanted change in a good, solid way that would set their course without any worries.
The light turns on…
One day they bumped into a friend that showed them a concept of what all the banks have been doing for a long, long time…and the average person doesn’t even realize it. It’s called Self Banking or Infinite Banking. The concept is based on one thing…making your dollars do two things at once!
It’s a way to save and pay down debt at the same time. While your money is earning a good, solid interest in an account that only YOU control…your dollars are loaned back to you to pay off debt. And when you take out loans on your own money, it keeps growing and building as if it never left!
You see, most people think that “debt laddering” is the method that I’m talking about or some sort of “D. Ramsey” method that works to some degree. If I could say it in a baseball metaphor, it would be like high school baseball verses Major league baseball. The difference comes down to what is called “opportunity cost”.
You see, the problem with just debt laddering is that you’re just paying down debt (which is a good thing), but, you are losing OPPORTUNITY COST which is lost opportunity for it to grow somewhere else.
In the Self Banking Concept, the money that you have put in can be loaned back out to you (up to the 95%) to pay bills or whatever you need it to. The great thing about this is, unlike anything else out there, the money is loaned out AND CONTINUES TO GROW AS IF IT NEVER CAME OUT!
Did you get that? Your money that you lent to yourself, is going out to pay down debt and when you pay it back…the original money has kept on growing!!! It grows at about a 4-5% rate that is compounded each and every year and has added features that bring up the value even more! That’s really “multi-tasking” your money.
I love multi-tasking…don’t you?
I mean, I like anything(or at least, a lot of things) that serves multiple purposes: swiss army knives, cross training shoes, smart phones, fold-down seats in the van…etc. That’s what this type of concept can do. It can grow your savings and pay off debt at the same time, clearing out your debts and growing your retirement dollars like nowhere else! Other financial concepts out there only work to a certain degree because it does not have the two-pronged approach that the Self Banking Concept has.
In other financial concepts, the money has to be “parked” and does not create that “motion” that money needs to work best for you. That’s why banks utilize this and they love it!
By utilizing this, it would bring your interest charges down to 22%, your taxes down to 30% and be able to keep 48%!
Many people may think, ok, once I understand this…I’m just going to implement it myself. Well, it has to be done by a Self Banking licensed Teacher. Why? There are a lot of variables, including software, that the teacher uses to strategize the best scenario for you. Each person is different and there isn’t a general “template” that works for everyone.
The concept of Self Banking and the product it uses has to pass all 4 Phases of safe money: This is where the concept has been well thought out and strategized by the early creators to get the best results.
1. A Good Rate of Return: What is a good rate of return? Of course that changes from decade to decade, or year to year even. But, for the purposes of compounding money, it has to have the highest return without the risk associated to get that return. We don’t want to get into speculative things.
2. It’s got to be Safe: This is the money that you are using to pay down your debt and other loans that you will be making for yourself as well as your future savings…so, it better be into something that’s not shaky and could lose your shirt in! It better have a secondary fail stop as well if things “go off the rails” in our economy too.
3. It’s got to be Liquid: This means that we have to have access to it and it’s not “locked up” somewhere where we cannot draw it out when we need or want it.
4. It’s got to be Tax-Favored (or Tax-Free): This is where the Self Banking Concept really shines, because it is almost the perfect savings vehicle. Funds can be drawn out Tax-Free which can be found in no other vehicle without rules attached to it!
By having a 30 minute discussion with an authorized Self Banking Advisor, you will start to see what your possibilities would be by implementing this. You basically fill out a generic profile sheet and would come back with a plan in which you would know EXACTLY when your debts would be paid off and EXACTLY how much your retirement dollars it would build up to .
The average person will be able to pay off ALL their debts within 9 years, including their mortgage, have an additional $300,000 in retirement(with tax-free access), and throughout their whole life, they will have access to their money to help with things that come along the way like college, vacations, cars, etc.
Thousands upon thousands of individuals, families and businesses have used this method with flying colors over the last 100 years. Every bank on every corner of the U.S. have used it, along with many popular companies that got started with this including: Mcdonalds, Walt Disney, Pampered Chef and many others!
Why haven’t you heard about it before? Well, the advisor takes a 50-70% pay cut to do it. Most financial planners aren’t trained on it as well. But, CPA’s are usually one of the first people to “see the light” on it.
If only people would realize how much of a tax-time-bomb they are building with their retirement and how much uncle sam will get his returns back. And with the misnomer that deferring your taxes is doing you a great service. It’s a HUGE wake up call in the end for retirees!
My mission at Legacy Builders, which is based in Springfield, Missouri area (in Norwood), is all about helping free my clients from the slavery of debt. I want to help them grow their wealth with little to no risk and retire in comfort with zero reliance on Social Security.
Self Banking furthers my mission by helping my clients pocket the interest they would otherwise pay to financial institutions, take control of the death cycle through wise personal financing, And grow their wealth steadily and consistently, without the risk and volatility of the stock market.
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