Read the story here. Advertise at Before It's News here.
Profile image
Story Views
Last hour:
Last 24 hours:

Becoming Your Own Infinite Banking System

% of readers think this story is Fact. Add your two cents.

How fanciful this idea is to become your own bank and have an infinite banking system for life. we probably love this awesome banking system which allows for the maximization of your cash and assets. And all this can be possible with Infinite Banking which is not an idea but a whole policy to enable you to become your own bank.

Infinite banking, although it has been around for at least a century, didn’t become a popular concept until 2000. The growth of this idea is in thanks to the book “Becoming Your Own Banker” by Nelson Nash.

Infinite banking has taken on a lot of other names, such as family banking concept, bank on yourself, perpetual wealth strategy, becoming your own bank and perpetual wealth system, among many others.

Understanding what infinite banking means a daunting task can be, but worthwhile to the right person. It may not be for everyone but learning the core values of infinite banking should be on your investment list of things to know.

So, let’s have a look at what infinite banking is, breaking down the core concepts and if going down this path is right for you.

The Basics of Infinite Banking

The idea behind infinite banking is for you to be your own banking system through “dividend-paying, permanent life insurance.” Instead of an institution or an individual having control over your finances, you take back control of all the banking functions you do every day. Infinite banking is a strategy that allows people to both borrow money and save money.

Infinite Banking and Life Insurance Policy

But before continuing, you must understand what permanent or whole life insurance is. This type of policy is lifetime coverage if you continue to pay the monthly premiums. Because of that, your premiums are more expensive than term life insurance since the insurers are at a higher risk of having to pay out the death benefit.

A whole life insurance policy that has a dividend-paying portion adds cash value to the policy, almost like a savings account. These dividends are paid to the policy holder by the insurance company. It is almost like you are investing in the insurance company. Usually, the amount of dividends paid helps offset the higher monthly premium payments. You must qualify for this type of policy to use the infinite banking concept.

Realize the whole life insurance is also very expensive especially compared to term life insurance policies. One of the biggest drawbacks of this policy is that insurance salesmen can mislead the pros and cons, simply to earn a commission on the insurance.

How Does Infinite Banking Work?

Once you understand what is involved in infinite banking, you can start to learn how it all works. Your personal bank comes from the cash value of the insurance plan. Insurance companies guarantee a minimum return rate on the cash value that is usually between 3 and 5 percent. On top of that, each year your policy gains an annual dividend based on the company’s performance. This is considered an “overpayment of premium” that is exempt from taxes.

Where the banking comes into play is through borrowing against your policy. You can take money from your cash value and use it for something else. The bonus is your cash value continues to earn dividends. Ultimately you are mimicking how a bank operates with borrowing a loan, just with your own money and insurance policy.

What are the Advantages of Infinite Banking System?

These are some advantages of infinite banking system which cannot be ignored:

·         When you engage in the strategic use of whole life insurance applying the infinite banking concept you improve your cash flow and liquidity.

·         Another proof IBC is that you are in control (i.e. the owner and operator) of your own personal or family financing company. In a very real sense, you are being your own banker.

·         When you employ an infinite banking strategy you are placing your equity into a tax-advantaged storehouse for later use. The cash in your storehouse is growing due to “true” compound interest. It is true compound interest because you are never touching your actual principle, but instead, are borrowing from the carrier’s general fund. That way your money is continually compounding, even while you are paying simple interest on a policy loan, which currently can be variable or fixed at 6%.

·         The death benefit is not the focus when implementing the concept of infinite banking, but it does provide a leveraged pay-out in the early years if you die prematurely.

·         With life insurance, your information remains private. Your life insurance holdings do not show up on any reports or searches.

How Can You Get the Maximum of it?

As mentioned before, infinite banking is not for everyone. It requires a lot of discipline and dedication. It is something you must dive entirely into, which may require sacrifices until you can see the rewards. But when done right, the rewards are endless.

You also have to qualify for the insurance policy needed to follow the infinite banking strategy. If you cannot purchase a dividend-paying whole life insurance policy, then infinite banking won’t work for you. But if you are dedicated and looking for a way to take control of your finances, then infinite banking may be for you.


Though infinite banking seems an illusion or unreal policy to implement but to realize the true value of your money ponder you to invest in such policies with confidence and immense patience. There are many useful aspects of this policy system. With an infinite banking policy, you have certain guarantees, such as guaranteed cash value growth, guaranteed death benefit, and guaranteed fixed premiums. It is this certainty that removes the need for diversity in your portfolio. If you are practicing infinite banking you are using your whole life insurance as an asset to borrow against for the purchase of other assets. As you are doing this you are engaging in diversification.

So, the bottom line is this, by implementing infinite banking into your wealth building strategy you will automatically diversify in order to maximize your policy, your wealth and your legacy.

Before It’s News® is a community of individuals who report on what’s going on around them, from all around the world.

Anyone can join.
Anyone can contribute.
Anyone can become informed about their world.

"United We Stand" Click Here To Create Your Personal Citizen Journalist Account Today, Be Sure To Invite Your Friends.

Please Help Support BeforeitsNews by trying our Natural Health Products below!

Order by Phone at 888-809-8385 or online at M - F 9am to 5pm EST

Order by Phone at 866-388-7003 or online at M - F 9am to 5pm EST

Order by Phone at 866-388-7003 or online at M - F 9am to 5pm EST

Humic & Fulvic Trace Minerals Complex - Nature's most important supplement! Vivid Dreams again!

HNEX HydroNano EXtracellular Water - Improve immune system health and reduce inflammation.

Ultimate Clinical Potency Curcumin - Natural pain relief, reduce inflammation and so much more.

MitoCopper - Bioavailable Copper destroys pathogens and gives you more energy. (See Blood Video)

Oxy Powder - Natural Colon Cleanser!  Cleans out toxic buildup with oxygen!

Nascent Iodine - Promotes detoxification, mental focus and thyroid health.

Smart Meter Cover -  Reduces Smart Meter radiation by 96%! (See Video).

Report abuse


    Your Comments
    Question   Razz  Sad   Evil  Exclaim  Smile  Redface  Biggrin  Surprised  Eek   Confused   Cool  LOL   Mad   Twisted  Rolleyes   Wink  Idea  Arrow  Neutral  Cry   Mr. Green

    Load more ...




    Email this story
    Email this story

    If you really want to ban this commenter, please write down the reason:

    If you really want to disable all recommended stories, click on OK button. After that, you will be redirect to your options page.