Our Response To Dave Ramsey's "Why Infinite Banking Is A Scam" | IBC Global

[@IBCGlobalInc]

What are YOUR thoughts on infinite banking? Tell us below! 👇

[@PantherFranciscoComedy]

At 14:54, on the left side, why does the death benefit of the policy drop by $120,000 in year 8? There's nothing we can see to explain that drop.

[@IBCGlobalInc]

@@PantherFranciscoComedy Good question, and great observation. We reduced the term rider in year 8 in order to minimize insurance expenses and optimize cash value growth. The 8th year reduction has to do with an IRS limit referred to as a Modified Endowment Contract (MEC). I've included a video that provides more information on this. - kzbin.info/www/bejne/pWa1fXaarM2thcU

[@PantherFranciscoComedy]

@@IBCGlobalInc Thank you so much! I'm studying to get my life insurance license, so trying to learn as much as I can about all these topics.

[@thunderbuddies6549]

These policies carry higher fees and commissions and you are usually better off investing it in a mutual fund. They are also very complicated and a lot if not most salesman don’t even understand what they’re selling themselves enough to be able to compare policies. The premiums are much higher than Term and if you aren’t already wealthy, and you’re not positive you can fulfill the premiums then the penalties and fees to get out of the policy will hurt you.

[@alexatedw]

@@thunderbuddies6549 right. Why would I get 2% return a year when I can invest directly in major funds and get 12%, then just buy term life for the period of time I’m working and need coverage. Whole life is a scam

[@scottgavenman6119]

I did a comparative with a 30 year term and found that investing separately and averaging 5% and instead of borrowing, just taking the cash out of the investment, at the end of the same 19 years that we could see on the chart, I would have about $300,000 more in my investment over the same period of time. Averaging 9%, I'd have about $1,000,000 dollars more. And, if I die, my family gets both the face amount and the investment amount. So, the insurance company ends up with a lot of my money and you the agent got a huge pay day for scamming me and potentially stealing my investment (cash value) if I die. Any response? Also, the dividends are still an overcharge.

[@mikejackson1410]

But what about the tax free part of it?

[@scottgavenman5927]

@@mikejackson1410 what about it? Why not sell an indexed annuity instead? But the insurance separate. When you die, your beneficiary gets both the insurance and the annuity. With mutual funds, the shares bought appreciate in value without taxation too. And, you can take the shares to the bank as well for collateral and get a loan easily too. As it’s paid off, the shares are still in the market and appreciating and paying dividends and capital gains all at a much higher growth rate over time. So, there is a much better way around the crappy interest from the annuity over time. But, it doesn’t pay the commissions like you get with crap value whole life. That, along with not being licensed with the FINRA is why you sell it. Not for the best benefit for the consumer.

[@IBCGlobalInc]

Thanks for the comment. I've included videos from our channel that address your points/concerns. - kzbin.info/www/bejne/f17GkIp7jbSWrZY - kzbin.info/www/bejne/opTSeJuge92JqZI - kzbin.info/www/bejne/n2ashZd3ltmUbdE - kzbin.info/www/bejne/gGiwkoVtf9yfocU - kzbin.info/www/bejne/gnbEmnqin8ZjadU

[@timothythompson4036]

Here is the problem. You have to pay 50% taxes when you take the money out if the investment acct. Also, you took the 30 year term out at your age 35. It ends at age 65, it is way too expensive to renew. You die a age 75, you have no life insurance and half of the investment acct goes to taxes. The whole life performed better

[@georgesiblesz]

​​​@@timothythompson4036 invested in a Roth there are no taxes. Thus, assuming you invested and had those 9% annual returns, you'd be much better off. Regarding the insurance portion of it, the idea is you can self insure by the time you are 65 and at that point you are entitled to Medicare either way. It's probably safe to assume Medicare benefits will be reduced by time you are 65 if you are 35 in this example, but either way, between the massive difference in your personal wealth and Medicare, self insurance should be the goal. I think whole life is an OK product for some that perhaps are not disciplined. If you are basically forced to contribute a few hundred $ every month to a policy to keep it in force, and its a properly written policy, then go for it. But for individuals like the OP, and for myself, I strongly agree with buying cheap term insurance that gives you much more coverage at a fraction of the cost, and invest the difference of what I'd be spending for a whole life policy into a Roth for 35 years. EDIT: I mention the part about Medicare to simply reference the idea that your personal expenses should be less by retirement age. You should have a paid off or nearly paid off home, and shouldn't have dependents that are eating away at your resources. Life insurance is in the event of a bread winner passing away and leaving their dependents with a massive burden. If your home, medical and personal expenses are reduced by 65, you shouldn't need to worry about a life insurance policy

[@SmartMoneyBro]

This confirms that infinite banking is a horrible product for the average person. 12:45 - your example here is one of the absolute primary reasons "infinite banking" is for ultra RICH people and is a poor option for 99% of everyone. Infinite banking is for wealthy people who ALREADY have lots of money. The average person does not have $50K per year to lob at a Whole Life policy for quick or immediate cash value purposes. There are much better places to lob money...$50k a year is over $4k a month. Seriously. Infinite banking is NOT for the average person. Also, This is complicated for most folks, and clearly the more complicated the money becomes the more its designed to benefit the company and its agents, not the consumer. Great presentation that solidifies exactly why infinite banking is a bad option. Thanks for this.

[@IBCGlobalInc]

Thanks for the comment! :) Below are several videos that provide examples of policies with smaller amounts of money, how whole life insurance works, and information on commissions. - kzbin.info/www/bejne/rJfIlJ6Cl6xshM0 - kzbin.info/www/bejne/r2POl2tulraoZ6s - kzbin.info/www/bejne/f2ioZouvgKuLj6c - kzbin.info/www/bejne/gGiwkoVtf9yfocU

[@lizthi]

Let's say the guy dies in year 5 with an outstanding loan of $200k, the death benefit is $650k after paying $250k in 5 years. If he dies in year 12, the death benefit is $333,883 after paying $478,975 into the policy.

[@WiZdOm17]

Comments like this one are the reason why Walmart, Amazon and anything Elon is doing still makes money for them, and not for "the avg person". They are willing to answer the more difficult questions of life, while the avg person gets upset when things go beyond "2+2 = 4" to "Calculate the slope of 'y' if..." I know many low income and middle-class earners and small business owners, who could put away $50k a year for 3-5 years, and watch it go crazy like this. Heck, recently a business consultant client of mine got an insurance payout of over $400k willed to her. She could have used this strategy. She already has a good paying job, so those extra funds would have set her mid to long term strategy up nicely. But she didn't know about this and was probably too busy to stop to learn if she did hear about it. When I worked as a Brand Ambassador for Jaguar/LandRover people used to say to me, "Your cars are overpriced and do the same thing that my Kia does". My response was, "People don't buy our cars because they 'need' them; People buy our cars because after experiencing them, They WANT them!". Then I'd open the door of the latest model of Range Rover, to which that "avg person" would sit down and realize they were playing small with their similar "luxury amenities" in their Hyundai/Kia. Sure there are balance factors to consider - affordability, time, even financial goals just to name a few. A Single mom working 2 jobs or an avg blue collar construction worker may not have the time or mental bandwith to consider such a product and how it would benefit them and their families. But if one could make the time and effort, the options are there.

[@fglend73]

There is a reason why these insurance policies Are so over complicated. There is a reason why insurance agents receive the biggest commissions selling these policies. Buy a cheap term policy to protect your loved ones and build wealth in real investments until you're self insured. Simple.

[@VTAcraft]

Infinite banking is picking up pennies in front of a steamroller, IMHO. Why waste all this time/effort packing your assets into a convoluted insurance product when you can simply invest that money directly in productive assets?

[@IBCGlobalInc]

Thanks for the comment. We've seen wealthy individuals and banks direct money into insurance and other assets, maintaining diversification. We teach individuals to use these policies in the same manner wealthy individuals and corporations do. We've included videos below that provide more information on how banks and wealthy individuals use cash value insurance. - kzbin.info/www/bejne/mpeydGp_fN6motU - kzbin.info/www/bejne/jJq9f3SFbap8aLs - kzbin.info/www/bejne/mXSnoaapib2debs - kzbin.info/www/bejne/kIfKc6ljZaqDbdE Hope this helps provide some additional information!

[@jalfredprufrock620]

I've just started looking into this, but the draws seem to be liquidity, risk management, and tax benefits.

[@Kermit46]

It is a scam

[@Jekyll_Island_Creatures]

You're looking at this all wrong. You have to store cash somewhere, even it's a short while until you do your next investment. Think of infinite banking as a supercharged savings account on steroids, that you then utilize to fund your investments. The great thing is this supercharged savings account continues to compound as if the funds weren't touched while you're using those funds elsewhere getting another 10-30% ROI.

[@DarolTuttle]

@@Jekyll_Island_Creatures Yeah. The opponents of this strategy, do not seem to view it as the same money but put to a different use. What is the difference between $1 million death benefit and $1 million in mutual funds at death? They both have a zero tax basis at that point. To me, it is taking money from the left pocket and putting it the right pocket. You still have the same amount of money. Maybe it because many retirees do not really do anything with money. That's it! All of these comments only look at it as an investment. They do not understand leveraging and cash flow as a multiplier effect.

[@stevencharlesbaxter1055]

Clean delivery using the smart board. No interruptions from hand erasing, scribbling out, flipping papers. I appreciate that!

[@theavguykcmomahomiesboi7652]

this is def. not a smart board. it is an interactive panel. probs an NEc or a NewLine, but a SMartboard it is not. this one works lol Smartbaord would need an update or firmware halfway thur this video lol

[@StratmanDarrell]

Having been in the financial industry for 30 years, I have found your arguments to be very sound, concise and strong. I applaud you for not getting defenseive. Every time I watch Dave Ramsey I lose more and more respect for him. His financial ideas and opinions are as antiquated as his age. Time to retire Dave.

[@DarolTuttle]

Right?! AND he's mean. To me knowledge, he has no experience advising. He is just an old, bald guy ( am one too) on the radio.

[@hamprepper]

He owns a term life company. Biased!!

[@hamprepper]

Also, He’s very arrogant toward callers. He’s made millions telling you how to live like your grandparents lived.

[@Fifthelement203]

@@hamprepper you mean our grandparents who control 70% of the wealth today. Hmmmm. Sounds pretty dam good to me.

[@CarringtonKelleys]

🤭🤭🤭🤭🤭

[@alexy9124]

he just describe a definition of a scam. you are borrowing the cash value aka your “save” money with a huge fee. So why don’t you just actually save 100% of your saving and pay no fee and have access to 100% of the money you “save”. the scam is you dress of their saving and then loan them % of THEIR money with a fee. that is by DEFINITION A SCAM.

[@denko44]

Leverage isn't a scam, which is what you're doing. You're borrowing against your CV.

[@somerandomdudeonline7182]

@@denko44If I wanted a loan I would just go to the bank and get it.

[@erixampson]

Still don't understand how you think this is a good idea?? In your own example at 21:07, after someone puts in $1M over the first 10 years, after 20 more years (year 30), their beneficiary would only receive $3.33M (row 34 in your spreadsheet). Had that individual just invested the $1M on their own, assuming a conservative 8% annual growth, they would have $4.66M after the same 20 years. No matter what example you use, the numbers are NEVER better for Infinite Banking. Which is exactly why DR is still correct.

[@Rshen11]

You can still invest... you can do both..

[@EPICSportsMoments4u]

I wonder why I can only find insurance salesman defending infinite banking??? Where are all of the financial advisors?

[@newhorizonsdigitalmarketing]

Because financial advisors make money from the fees they charge managing your money. They don't want you to do this, it takes away from you needing them.

[@AVG336]

Yea this is way too convoluted. Id rather buy term and invest and KNOW that im getting a good return on my money than to give alot more of my money into something that takes lots of time and explanation to see the benefit of.There should be a simple straightforward calculation that shows how infinite banking is better

[@ryans.2268]

This is like asking how apples are better than banannas. infinite banking is NOT: An investment, and is only slightly about the death benefit. Infinite banking IS: a way to store your money tax free with compound interest that you can leverage via loans to purchase ACTUAL investments, and use those returns to repay said loans, all the while your money is still compounding as if you never took the money out of your savings. your monetary benefits are what you do with the loans taken out of infinite banking, NOT sitting your money in it and hoping for ROI. thats why its called BANKING. its a BANK. storage. loans. interest.

[@TheRoyalMentor]

Brother!!! I rarely if ever comment on KZbin videos but this video deserves it. I am extremely blown away with your professionalism and expertise. You intelligently and respectful explained every false generalization and rebuttal with wisdom, knowledge and understanding. You also did it with integrity and not personal attacks. You let the facts and time tested proof reveal what’s true and what’s not. You handle it like a high level attorney the way you broke it down. ✅I will definitely be doing business with you in the future. Phenomenal and keep up the great work Mr. Steve. 👑 - Royal

[@IBCGlobalInc]

Thank you! Really appreciate the kind words 🙂

[@ArabellaPottery]

Giving your money where you do not have liquidity is not always the best option. I would pass on this.

[@cf1885today]

Troll

[@WiZdOm17]

​​@@ArabellaPottery so would you put it in a mutual fund like Ramsey suggests? Because that has about the same amount of liquidity time and a Seg fund Insurance policy... possibly even slower actually. Contrastingly Real Estate, not easily liquitable either, yet everyone swares by it. Liquidity is based on the factor of market demanders and processing time. A drug dealer in NYC can possibly push a kilo of meth within hours, but take that to the Bible belt and maybe it would take months. Selling real estate has 100s of factors before closing, but once you set up a policy like this, liquidity is often a matter of days - like 5-10 business days!

[@ArabellaPottery]

@@WiZdOm17No I would never put my money in a mutual fund. Stocks only.

[@lightlightlight]

Dave is not anti "mutual funds". He is anti "infinite banking concept".

[@MK-wh1pi]

Thank you for being able to communicate without profanity! Not all of us find it beneficial or necessary to cuss when we speak.

[@IBCGlobalInc]

Thank you!

[@kam3410]

While infinite banking may not be a "scam" the real question is why would you do it? Overpaying a premium in order to eventually have access to a portion of your cash value? Why would you want to do that? I can have access to an almost unlimited amount of capital to use for my benefit based on my cashflow. For example day 1 I get a wl policy what do I have the ability to do? Nothing because until I build it up I have nothing to access. Day 1 I go into a bank and buy a house, using their money I do need to have a portion based on the amount of equity involved but I have no penalties assigned to me in what I can borrow its all based on my cash flow. What am I gaining that cant be done with other vehicles that are better at making me money or at least giving me flexibility?

[@IBCGlobalInc]

Thanks for the comment! I've included a few videos that address some of your points. - kzbin.info/www/bejne/pKfSaGaAg5loqKc - kzbin.info/www/bejne/rJfIlJ6Cl6xshM0 - kzbin.info/www/bejne/eKfNoKl_d96abck - kzbin.info/www/bejne/kIfKc6ljZaqDbdE

[@insuranceinsights2619]

Let's see if I can clear things up a bit. Q: Overpaying a premium in order to eventually have access to a portion of your cash value? A: You overpay to have access to high percentage almost immediately, within a month at most usually sooner. Agreed not all but around 80%. However 100% of the funds are gaining interest/dividends. Example: You put in 100K, you can access 80K and still gain at least 3% interest on 100K. Some designs could give you access to even more of the funds right away as well. Q: I can have access to an almost unlimited amount of capital to use for my benefit based on my cashflow. For example day 1 I get a wl policy what do I have the ability to do? Nothing because until I build it up I have nothing to access. A: Using just your own cash say to fund a business or real estate purchase is fine, however how much interest are you gaining on those funds you use to do business? Zero. Using this strategy you can go make that business purchase and in addition to the return you get from that investment you also keep gaining at least 3% interest on the funds you used to purchase. Example: You have put in 100K and can access 80K of that. You then go buy a vehicle for your business and advertising for a total of 60K. Your cash value has been reduced to 20K in the life insurance policy but you are still gaining interest on 100K and you now have a vehicle and advertising for your business that will likely have some rate of return as well. So if those purchases were going to return 10% over the year of doing business you can add the 3% to that and for the same expense you have increased your ROI of that 60K purchase by 30% Q: Day 1 I go into a bank and buy a house, using their money I do need to have a portion based on the amount of equity involved but I have no penalties assigned to me in what I can borrow its all based on my cash flow. What am I gaining that cant be done with other vehicles that are better at making me money or at least giving me flexibility? A: One benefit of life insurance is the death benefit and that starts Day 1. Real estate or property does not provide this, rather it carries an obligation. If you were to pass away your family would be on the line to continue making the payments to not lose the property opposed to being handed a check for your passing. This could even end up in a net loss if you have not had time to build equity in the property. No such risk with life insurance, it is cash flow positive day one in that regard. The other draw back to using real estate for this type of function is that you are limited by the value of the property and what you owe. Generally a HECL will give you 80% of the value minus what you owe. Example: I get approved for a 1,000,000 home and I put in 50% or 500K. Now I can loan about 80% of the home value minus what I owe. 800K - 500K, I have a 300K line of credit. On the other hand, if I were to put 500K into a life insurance policy I would have access to about 400K. As a further point to flexibility, with a specialized design we can create a life policy that will enable you to put in as little as 10K per year and then dump in up to 500K in that first year. So this can really provide a great opportunity to jump start a policy that is intended to fund business operations and has a low yearly obligation after that first year dump in. This policy essentially allows a 50x contribution in the first year from your yearly base rate. Example: A base rate of 1K per year, will allow me to dump in 50K in the first year while still providing access to about 80% of those funds and while gaining the interest and dividends as well. After the first year I am only required to make the base payment of 1.5K per year ($500 in additional riders to allow larger cash deposits and avoid MEC) to keep the policy in force and I will have the ability to continue adding up to 10K per year for further funding if I choose to. I do not know anyway you can do such activity with such little capital in real estate. In 20 years the 50K would have grown roughly to about 120K with current rates around 5% return which is fairly reliable given the history of the company. If I take advantage of adding the additional 10K year growth would be much higher obviously. I will have this option for about 10 consecutive years but I can skip years and do not have to add those funds if unable to. This is a highly flexible instrument compared to real estate where I must make my monthly mortgage.

[@franciskeys9810]

You literally just described a scam.

[@kam3410]

@@franciskeys9810 over paying your premium is not scam, it's just not necessary. You literally are choosing to pay more not duped into paying more and there are specific provisions for how paying more works, that isn't a scam that is a choice.

[@Mrclean431]

Obviously it's a scam. Do you think the insurance company is going to do this and lose money? Of course not. Therefore this is not anything you need and it is a scam.

[@YankeeStacking]

In summary...Whole/Universal/Permanent life insurance exists PRIMARILY to make enormous profits for the one's selling the policies. Period! Life insurance is excellent for insuring, lousy for investing.

[@IBCGlobalInc]

Thanks for the comment. It helps our channel. See below videos that provide transparency on commissions and profit to agents. - kzbin.info/www/bejne/gGiwkoVtf9yfocU - kzbin.info/www/bejne/nJbUdn2ifb6qgtk - kzbin.info/www/bejne/poGzppitp8Zgq7s

[@cmos1313]

Nothing benefits a consumer if it's too complicated. Grows at 4-5%? VTSAX 10 yr is 11.9%. Better off investing. Get term life insurance cause it's cheaper and covers your wealth accumulation stage. With that said, nice presentation.

[@ryans.2268]

infinite banking is NOT: An investment, and is only slightly about the death benefit. Infinite banking IS: a way to store your money tax free with compound interest that you can leverage via loans to purchase ACTUAL investments, and use those returns to repay said loans, all the while your money is still compounding as if you never took the money out of your savings. your monetary benefits are what you do with the loans taken out of infinite banking, NOT sitting your money in it and hoping for ROI. thats why its called BANKING. its a BANK. storage. loans. interest. the fact that you said "better off investing" means you dont get what this infinite banking is about. its exactly about leveraging your money for investing purposes at the same time as it is theoretically "sitting" in the policy. Lets say you have a savings account with 0.02 interest. it has $100000. You want to invest, you have to take that 100000 out of the savings to put into investing. that savings acc is now empty and is gaining no interest. replace that savings account with infinite banking and it treats it like there is still 100000 in it, and continues acruing dividends and compound interest even though your money is ACTUALLY in real estate, or stocks.

[@sebbysends1052]

But don't you need to compare your spreadsheets to a standard mutual fund? If I put in $100K per year at 9% wouldn't that be WAY better? And if I need $200K I don't need to borrow it, I just cash out that amount. What am I missing?

[@mikep4869]

You can borrow against that investment portfolio through a SBLOC (50% cash-out), and still earn on the full portfolio amount. Just like a WL policy, but better.

[@Rshen11]

​@mikep4869 that's Infinite banking.. but you can. Get margin called.. with helocs.. you can lose your house..

[@Rshen11]

​@@mikep4869same concept.. loan is cheaper on life insurance

[@hisagisan]

9% is an assumption.

[@Rshen11]

@@mikep4869 not always better..

[@danbodine7754]

If you have a HYSA you get almost 5% apy today and you don't pay interest on your money, because it's still your own money.

[@ericpatterson3036]

This is the best attempt I’ve seen to logically lobby for using whole life insurance as a “banking” tool. The question still remains, why in the world would a financially competent person want to buy a whole life policy for financing purposes? Buy term life insurance for what life insurance is designed to do, pay a death benefit. Although, if you are able to contribute $50,000 a year, you should be thinking about self-insuring anyway, after 10 years or so. Don’t put 50,000 a year into a whole life policy with future financing objectives in mind, simply put the money in liquid assets, such as savings accounts, T-Bills, etc… Although Dave’s hatred for whole life is not always as technical as I would like to see it be, the whole life guys are still selling snake oil. Although, I will say, some can be convincing.

[@IBCGlobalInc]

Thanks for the comment. Below is a detailed case study we released yesterday. It goes over the main issue with whole life and why someone said no, then yes. - kzbin.info/www/bejne/nnO1eJiPr8etgJo

[@bongirud]

What I understand is you pay yourself instead of the bank. If you borrow from the bank you get no benefit during the time your carry the debt. If you use the money in the bank, it goes to zero.

[@markf.2050]

​@bongirud You are not "paying yourself" when you pay back a policy loan. The interest goes to the insurance company, not to you. If your capital fund is your own high yield savings account (like an Ally account currently earning 4.35%) and you pay yourself back at the same rate that you would pay back a policy loan you will come out ahead with CASH compared to "uninterrupted growth" of a cash value. This is because YOU get to keep the interest portion of the payment and the compounding interest on your deposits. Compounding interest is not a unique feature of cash values. Another feature of using a high yield savings account as your capital is that you break even on day one when you start making deposits. With a whole life policy, it may take up to 7 years to break even. Yet these are touted as being such great "investments." I don't know any serious investor that would tolerate a contractual growth rate of ZERO for the first 7 years. Add to that your cash is not cash any more - it is "cash value."

[@dwo356]

Where can I actually find someone that tells me how IBC is actually a good way to amass wealth? Every singe example I find leads me back to the fact that I'd be worse off if I pursued IBC over simply directly investing.

[@IBCGlobalInc]

Hi Dan, good question. I've included a few videos below that may be helpful. - kzbin.info/www/bejne/mXSnoaapib2debs - kzbin.info/www/bejne/gmXMZn2jiZujY80 - kzbin.info/www/bejne/oJy0homggcujebM - kzbin.info/www/bejne/mqGQiqR8optmoKc

[@dwo356]

@@IBCGlobalInc None of those videos show that it is a more or even close to as good of a method of amassing wealth as directly investing. The only benefit I see is the reduced risk. But that is at a large cost over a person's lifetime due to both the high fees from premiums and lowered returns.

[@IBCGlobalInc]

@@dwo356 Thanks for the comment. It may not be a fit for you then. Typically, many will use this as an asset for legacy planning and positioning a percentage. We'll always aim to make it transparent as possible so the consumer can decide. Thanks again for the comments. It is a huge help in growing our channel :)

[@maxdonches3828]

You goal should be to look for someone to reaffirm what you want to be true. Your goal is to find out what smart, educated people’s opinions are of IBC. If everywhere you look people seem to hate it and it seems that the only positive videos come from IBC then... well if you cant figure that out then you aren’t going to find much financial success in life my friend.

[@JorgeRamirezFinance]

@@dwo356 “It may not be a fit for you then” 😂 Yeah Dan! The “best fit” is for people that are willing to pay heavier fees/commissions for their “Financial Advisors”.

[@lydiaaschenaki7479]

Ramsey is absloutley right dont ever take cash from your life insurance because you pay high premium . Ask your self why do you want to be rich by paying high premuim????. Wealthy people make money at $0.00 premium be your owen banker creat money !!!! YES YES IT IS EXPENSIVE INSURANCE . Yes when you die the insurance keep all the money. Find a way to be wealthy by not taking cash out of your life insurance. !!!!

[@davidstinnett3889]

Steve, this is a very professional presentation to your credit. It is my understanding that interest paid to the insurance company on a policy loan is not interest charged to borrow your own money (cash value) as Dave Ramsey states. It is actually paid to the company because the insurance company uses the policy cash value as collateral while actually loaning the borrowed money from their general fund. Also, the cash value is not kept by the insurance company when paying a death claim because it is an actuarially calculated reserve guaranteed to be paid in the future as long as the policy remains in force. This makes simple sense for the exact same reason that pure term does not cost the same for individuals of different ages. It obviously costs more each year because the risk of a claim increases every single year. Your thoughts? Be blessed. BTW, I wonder what Dave Ramsey would have to say about BOLI (Banked Owned LIfe Insurance)

[@scottgavenman6119]

One other note: He said that after 10 years you don't pay anymore into the policy. But, that's deception at its greatest. The fact is, there is still a mortality charge and other policy fees that must be paid every year for the life insurance DB or Face Amount. So, if the customer stops paying (paid up lie) the fees and charges are paid out of the cash values. :-/~

[@IBCGlobalInc]

Some additional videos addressing your points. - kzbin.info/www/bejne/bmKZpp2Mmt1-rtE - Cost Breakdown Pt. 1 - kzbin.info/www/bejne/amPPaX6wopaao8k - Cost Breakdown Pt. 2 - kzbin.info/www/bejne/Y6bThpl5pt-lfLc - PUA Rider - Fees & Charges - kzbin.info/www/bejne/mqWXnY1jm5iLnZY - Speaking with an Actuary.

[@scottgavenman6119]

Didn't correct anything I've said. Above I shared that if the same person paying $50,000 into your plan had just got a 30 year level term, they would have around a million dollars a year more than your infinite banking nonsense. And, the family gets both insurance and investment if the person dies. Even at 5%, $300,000 more and the family gets both. And, dividends are still overcharges in which you glassed over and dropped.

[@mikejackson1410]

@@scottgavenman6119 you lost me at insurance death benefit and investment. What investment?

[@scottgavenman5927]

@@mikejackson1410 cash value. If you are going to talk interest rates then the overcharge cash value is your investment. When you die, the insurance company keeps it and only pays out the face value.

[@mikejackson1410]

@@scottgavenman5927 Ok, now I understand. Thanks…

[@financial.avenue]

Finally someone who knows what they're talking about and backs it up with education and facts. Liked, Commented, & Subscribed

[@IBCGlobalInc]

Thank you for the kind words Ryan! Much appreciated :)

[@scottgavenman6119]

Nope! I did a comparative with a 30 year term and found that investing separately and averaging 5% and instead of borrowing, just taking the cash out of the investment, at the end of the same 19 years that we could see on the chart, I would have about $300,000 more in my investment over the same period of time. Averaging 9%, I'd have about $1,000,000 dollars more. And, if I die, my family gets both the face amount and the investment amount. So, the insurance company ends up with a lot of my money and you the agent got a huge pay day for scamming me and potentially stealing my investment (cash value) if I die. Any response? Also, the dividends are still an overcharge.

[@Convos4Inspiration]

@@scottgavenman6119 I agree.....This guy just sounds like he knows what he's talking about, but he is actually telling you this is nonsense if you actually listen to what he is saying.....This will not work for the average person. You would have do dump a ton of money into this every year to get any where near the numbers he is talking about. And you are borrowing your own money, at a higher rate, I might add then his example. No way they are paying you a 5% dividend and loaning you money at 5%......I tell you, just like P.T. Barnum said, "There is a sucker born every minute"......LOL!!

[@scottgavenman6119]

@@Convos4Inspiration What's sad is people thinking they are getting dividend profits of the insurance company and all they are getting back their own money they overpaid for. So, they aren't offsetting the loan either. They lose 5% every year and if it's in an IUL, then the mortality fee is going up each year sucking more money out of their CV. And, if they reach the MEC threshold they will have to buy more face amount of life insurance which will increase their mortality charge as well. These agents are just a different brand of smash and grab criminals.

[@Convos4Inspiration]

@@scottgavenman6119 Yup and I was crying laughing at his example where he says you get a 5% dividend and the insurance company only wants 5% interest on the loan you borrow.....Really?? He ran thru that lie really fast.......😂😂

[@frankg1156]

Steve, I typically don’t comment publicly but wanted to say a few things; 1)Bravo ! Well done ! 2)I have purchased Dave Ramsey’s book and really enjoyed - well worth the $20 .. and love his radio show, the reinforcement you reference of discipline and a structure to follow is “good stuff” 3) I am ecstatic with the 4 policies I have purchased from IBC Global and the “thousands” I have spent with you as well as other policies I have. I personally am “voting with my pocketbook” 4) You are a Class Act ! “keep doing what you are doing”!! Some will see the value, some will not - I only hope more do. P.S. 4 policies and 2 with loans to “recapture” third party debt... each of my dollars doing two jobs at once ... Dave just does not go deep enough into IBC to consider the possibilities that may exist ... we may just have to let him flap in the wind while more and more see the value of IBC and experience all the benefits of IBC. Best to you and the ever growing team at IBC Global- keep up the great work !

[@IBCGlobalInc]

Hi Frank, thank you for the comment, kind words, kind words and context. I fully agree with the point that some will see the value, and some will not. Again, really appreciate the support. Thanks - Steve

[@frankietjspecial]

I wonder how much “Frank” was paid for this ass kissing comment.

[@edsvids]

As a life insurance agent and financial adviserI have to respectfully disagree with IBC at all levels. To put in simple terms how do you "borrow your own money and pay it back with interest.? The interest is not going back into your account it goes into the Insurance companies coffers!!! You're better off with a good growth mutual fund Roth IRA where you're distributions are TAX FREE!!!!

[@jo3y5o4]

@@edsvids When stocks dropped 50% during covid crash. My 50k in cash value was untouched. I would have lost 25k if I invested it directly. 1 month after the crash, I took out my 50k on a policy loan, dropped it into stocks, and made 40k a year later paying back the 5%interest and have $$$ profit. This isn't an investment. It's an investment tool. My dumb self took 100k out of my cash value and traded stocks (Paypal, Block,Baba, etc) and lost 30k a year later lol. If I left it in my whole life, I wouldn't have lost that much money. Market can be unforgiving. Life insurance made me 40k. Life insurance could have saved me from losing 30k. You don't borrow your own cash, you borrow from your ins policy which uses your cash as collateral. You dont pay yourself interest back. You pay the ins company their 5% but maybe add another 2-5% on top of that as OPP to build up your cash value some more. You take that 5% loan to pay off a 15+% CC debt. This concept isn't for people who can't put in a minimum of 1k-2k a month in premium and it's also not for people who aren't savy with their money. Btw, currently taking out a 100k policy loan for a 10%+ real estate investment. Will net 5%+ after paying it all back in 6 months. After all said and done, policy dividend will still be paid on anniversary date as if I never took anything out against my cash value amount 😃

[@edsvids]

@@jo3y5o4 Couple of things. I'm life licensed since 2007. I know exactly how this all works. Yes you are borrowing against the insurance policy. My problem is the cash value is marketed as the insured's own money. You're paying a high premium of your own money and literally handing it out to a complete stranger who KEEPS the money in the cash value upon your death. Also any money borrowed will decrease the death benefit but the premium does not get decrease. So now you're paying more premium for less coverage that your family is counting on should you pass, not to mention the interest, fees and surcharges that are deducted because you have a loan against the policy. The "dividends that are paid out are actually overpayment on premiums paid, so that right there is a farce. Dividends in the true financial world are profits paid out to investors. If you gave me the opportunity to examine your policy I will in under 3 minutes show you how you're ripped off by this product. In closing you're right about the covid black swan but 50% losses finished the year with 100% in many mutual funds.

[@jeremyyoung8087]

Quite possibly one of the best videos I have seen when it comes to discussing Dave Ramsey‘s opinion on whole life. Here we were shown the facts, nothing more and it was beautiful.

[@IBCGlobalInc]

Thanks Jeremy! Much appreciated :)

[@Babyboyo1]

Truly beautiful!

[@zenastronomy]

if your are using your own money saved in whole life insurance as collateral for financing, why not just cut the middle man out? just save money on the side instead of giving it to these people. and then when you need financing you don't even have to get loans paying interest, you can just use your own savings you've saved up.

[@astroman30]

Brilliant idea!! You hit the nail on the head. IBC is a scam.

[@Pete-rs4yz]

Whoa! Woah! Woah! 42 seconds in and you start using the word dividends. Insurance companies don't pay dividends as characterized by the IRS. Furthermore you have to overfund the policy to get your money back, err, I mean the loan. The loan you have to pay interest on, funded by your money. Which begs the question, if you're your own banker why are you paying interest? LOL.

[@edsvids]

What this gentleman fails to say is that if client doesn't pay back the loan the payments are deducted from the cash value. once the cash value is exhausted the policy lapses and terminates.

[@IBCGlobalInc]

Thanks for the comment. I've included a few videos below that provide transparency on loans. - kzbin.info/www/bejne/l2WUdqWBlMZ6frM - kzbin.info/www/bejne/gYnPiHp9r56Bfbs - kzbin.info/www/bejne/q3_LgaCndsp_pZo

[@YouAREyoubeYou]

Unfortunately, you are incorrect. The loan will be deducted from the death benefit. This is called non loan recognition, which only a very few insurance carriers do. You my friend are talking about premiums. If one doesn’t pay his/her premiums( if no rider is attached) the carrier can pay the premiums from the cash value at a very time the policy will/may lapse. Individuals can also purchase a paid up in 20 policy, which they pay the premiums up in 20 years-no lapse. This gentleman knows what he is talking about.

[@DarolTuttle]

@@YouAREyoubeYou Yeah. BUT, isn't a failure to pay back a loan always bad. I mean, would the results be rosier anytime?

[@YouAREyoubeYou]

Yes in standard loan cases with the banks.

[@markf.2050]

All the numbers you see here may be real and to many the results may look great. But showing us the math does not make the manure smell any better. Dave Ramsey is right about WL being manure because he is comparing it to other available options for insurance and investments like term insurance and a good mutual fund. The same outlay of funds with that srategy can make someone come out far ahead compared to a WL policy, and if you die your heirs get both the death benefit AND the investment fund. It is the job of an insurance salesman to sell you insurance and collect their commissions. Reputable financial advisors never recommend WL because it is not in your best financial interest considering there are much better alternatives.

[@silverbarter8090]

Dave is for the average person not the wealthy

[@anthonypinto5316]

Having been in the life insurance industry for 22 years since 2001 and collecting over 600 policies, and reading them, I agree with Dave Ramsey; it's definitely a scam.

[@admiralmurat2777]

People are really desperate to believe in Whole Life and IULs. Index funds are just too easy for them, I guess. They are probably some of the most pathetic bottom feeders I know.

[@bradleys2320]

I've just started learning about this concept. A few things I haven't seen addressed very well yet: - the oft-cited claim that "wealthy people have been using this strategy for decades". seems like a hand-waving assertion of authority. Studies? Statistics? and even so, if financial optimization is unique to each individual, why would a strategy that works for a very-high-wealth person necessarily be good for a middle-class investor? - what happens to cash value upon death? You state here that the death benefit "grows with" the cash value, but that's much different than saying they are additive. - the risk-adjusted opportunity cost comparison of low-risk investing (bonds?) vice capitalizing the cash value of this kind of policy. to include borrowing externally (HELOC?) instead of borrowing from my cash value, and just insuring with term insurance. Apples-to-apples side by side of this strategy to the Ramsey strategy, covering all aspects.

[@IBCGlobalInc]

Those are good questions! If more people asked these type of questions upfront, they would not be sold a bad product. Thanks for listing them out. I've listed your questions below with videos that provide answers. - the oft-cited claim that "wealthy people have been using this strategy for decades". seems like a hand-waving assertion of authority. Studies? Statistics? -- kzbin.info/www/bejne/mpeydGp_fN6motU - How the Wealthy Use Cash Value Life Insurance. -- kzbin.info/www/bejne/aqOln5V_qch-eac - The Family Office and Generational Wealth - kzbin.info/www/bejne/Z6eVoYmHbJiMmpY - Proof of Actual Performance with the Major Mutual companies. and even so, if financial optimization is unique to each individual, why would a strategy that works for a very-high-wealth person necessarily be good for a middle-class investor? -- kzbin.info/www/bejne/pKfSaGaAg5loqKc - Do THIS and you'll have a lot of money with Whole Life insurance. -- To provide some written context, it really comes down to a matter of preference for individuals of different income levels. As long as it is transparent, and one can make an informed decision, then buyer's remorse should not occur. What I've observed in Dave's content is that he appears frustrated with the lack of transparency in the industry. He likely sees agents promote cash value products in a manner that is not 100% truthful. In many ways, we agree with him. - what happens to cash value upon death? You state here that the death benefit "grows with" the cash value, but that's much different than saying they are additive. -- kzbin.info/www/bejne/hJK4h4lrnJ6go9k - What happens to my cash value when I die? - the risk-adjusted opportunity cost comparison of low-risk investing (bonds?) vice capitalizing the cash value of this kind of policy. to include borrowing externally (HELOC?) instead of borrowing from my cash value, and just insuring with term insurance. Apples-to-apples side by side of this strategy to the Ramsey strategy, covering all aspects. -- I don't have a video for this. I'd need to work on this. The below videos do not really hit on your question but you might find them interesting based on your comments. - kzbin.info/www/bejne/n2ashZd3ltmUbdE - kzbin.info/www/bejne/boWvYYF7psxsjNk Thanks again for the comment. Feel free to email us at [e-mail] if you have any specific questions.

[@rajbeekie7124]

Run, don't do it.

[@DarolTuttle]

As an estate planning attorney, I will agree that wealthy people use life insurance far more than those whose estates are not taxable. i have no statistics but that is my observation. You would think it would be the opposite. Poorer people love their kids the same as rich. Life insurance is a contract. 100% guarantee of a payout to kids. Also, the reason term is, by definition, not permanent, is because it is too expensive to insure an old life. That is, if you buy a $1 million death benefit at age 85, it is likely unaffordable. However, the life insurance company invests the cash value. As it increases, the difference between the cash value and death benefit narrows. That makes it affordable in advanced old age, which is worth something. I have been in practice 26 years. I can't think of ONE case in which I saw an 80-year-old client with a term policy. Few have whole life. I have to wade through all these Dave Ramsey-type opinions about life insurance when I dare suggest we use a life insurance in a wealth replacement trust to finance the mathematically guaranteed death tax. I admit it is frustrating. Respectully. I am curious, what about infinite banking DO you like?

[@IBCGlobalInc]

@@DarolTuttle Thank you for the comment and information. We feel that infinite banking is a great concept that has brough awareness to whole life insurance. The majority of our clients will focus on maximizing the cash value first, and then using the policies. I've included a few videos below. - kzbin.info/www/bejne/pKfSaGaAg5loqKc - kzbin.info/www/bejne/rJfIlJ6Cl6xshM0 - kzbin.info/www/bejne/r2GunJmFj51ka6c

[@ryans.2268]

Look up Boli policies. Banks use them. Banks literally have most of their upper staff take out Boli policies which are infinite banking but applicable to banks by using their staffs life policies as leverage.

[@hawkeyelifeguy]

Cute presentation, unfortunately the product still sucks. Buy term, invest the difference.

[@sbranham314]

Masterful explanation Steve! Very thorough and nuanced rebuttal without any mudslinging. I miss that a lot in society. I respect Dave in that he was one of the first "finance" people I have seen and he helps a lot of people who don't have a lot of knowledge about finance. I see him as almost the finance 101. Which is great. But if you want to take a deep dive and really get your personal finances optimized and working FOR you, you really need to have IBC as a component of that. Velocity banking, stocks, mutual funds and real estate are all tools that need to be understood and used properly to help put yourself in the best financial position possible.

[@IBCGlobalInc]

Thank you Samuel. Great comment and couldn't agree more about the mudslinging being too much in society today. I'd also agree about the positive side of Dave and how he has helped a lot of people.

[@scottgavenman6119]

Nope! I did a comparative with a 30 year term and found that investing separately and averaging 5% and instead of borrowing, just taking the cash out of the investment, at the end of the same 19 years that we could see on the chart, I would have about $300,000 more in my investment over the same period of time. Averaging 9%, I'd have about $1,000,000 dollars more. And, if I die, my family gets both the face amount and the investment amount. So, the insurance company ends up with a lot of my money and you the agent got a huge pay day for scamming me and potentially stealing my investment (cash value) if I die. Any response? Also, the dividends are still an overcharge.

[@williamwomack3153]

@@scottgavenman6119 go google how much BOLI there is out there and then ask yourself 2 questions... what are they putting all this money into? (hint cash value life insurance) and 2. Why are they doing this?

[@r4c3rx28]

Great job ripping off legal eagle scammer

[@IBCGlobalInc]

Thanks for the comment! We just looked up legal eagle. He's got some great content! Thanks for turning us on to him!

[@octobrxsh]

bro ibc rolled this kid been real quiet ever since ibc came out with this one 😳

[@printer8952]

@@IBCGlobalInc you don’t release it’s an insult

[@Guzmano7]

@@printer8952 what’s wrong with responding to insults in a polite manner?

[@r4c3rx28]

@@IBCGlobalInc get the mud out ya ears scammer

[@jonahlems4192]

I like your professionalism and staying calm while you explain IBC; it was really nice not seeing you get upset at Dave.

[@cf1885today]

Dave Ramsey is 100% correct!

[@edsvids]

NEWSFLASH.... UNIVERSAL LIFE,INDEXED UNIVERSAL LIFE, VARIABLE UNIVERSAL LIFE ARE ALL WHOLE LIFE POLICIES... So Dave was right this is a load of manure!!!!!!!

[@IBCGlobalInc]

The products you mention are all cash value life insurance policies, but Whole Life and Universal Life products are different. Video below that provides differences. - kzbin.info/www/bejne/Z2a7qoClg9F3iZY - Difference between Whole Life & Indexed Universal Life

[@YouAREyoubeYou]

Sorry Ed but you are incorrect.

[@edsvids]

@@YouAREyoubeYou I'm not incorrect, I do this everyday but if you can show I am , I will take it into consideration.

[@YouAREyoubeYou]

Ed, The product you are referring to are tied to an index or stock market. These policies if not structured properly and “watched” will lapse. Watched meaning if interest rates plummeted or if the stock market tanks. These are NOT I repeat are NOT Used for IBC. IBC is a process used in conjunction with a par whole life product from a mutual company that allows non-direct loan recognition.

[@ibcuser]

Good video because you show details about the dividends being paid the same and unaffected by the outstanding loans. Unfortunately, most experts fail in understanding a key factor and follow the narrative of Dave Ramsey. There are 2 ways to get money out of a whole life policy. 1- making withdrawals and 2- taking loans. When you make withdrawals, you withdraw your own money and you do not get assessed any interest (not the best way to do it.) When you take a loan you get charged interest by the Insurance company because you are loaning the insurance company money using your money as collateral. You never pay interest on your own money because you never loan your own money. When people understand that point, Dave Ramsey will have a hard time using his populous denigration of a whole life policy.

[@IBCGlobalInc]

Thanks Jorge! Appreciate the details!

[@Angelina6518]

I know!

[@tonygougeon5100]

Don't forget the number one way to get your money out. That's to die.

[@DarolTuttle]

But wait! If Dave has a hard time explaining something, won't his ratings go down?

[@maximecaron3133]

So you are saying I need to waste money paying interest to the insurance company just to use my own money ? Even if Dave Ramsey is technically wrong this Infinite banking thing still sound like a very bad idea.

[@kiethmergard]

So I’m supposed to pay interest on a loan and that money goes to the insurance company. Why then are people that are passing themselves as experts claiming the borrower pays themselves as if they were the lender?

[@IBCGlobalInc]

That's a good question/point about people claiming that the interest on your policy is paid to yourself. That is not the case. Interest is paid to the insurance company. We continue to earn interest as if the money was still in the policy, but the "cost to borrow" still exists. I've included a video on this point. The main thing to do, in my opinion, is make sure all points are covered thoroughly. If one feels the product is a fit after obtaining an accurate understanding, then they'll move forward. If they do not see the value, then they do not move forward. Thanks again for the comment! - kzbin.info/www/bejne/jHXIhoyrrJKFo9k

[@kiethmergard]

@@IBCGlobalInc I sincerely appreciate the transparency. It is so much simpler for these people (Dave Ramsey and others) to declare all of a certain thing 100% bad. They do not talk about nuanced cases where they do not qualify for a loan due to credit issues, so whole life is a step in the door.

[@renegadehierarchy]

@@kiethmergard the loan from a WL policy is coming directly from the cash value which is YOUR money. If you have no money to start and need a loan what makes you think you would have enough money to fund a WL policy enough to offer yourself a substantial loan of YOUR OWN MONEY?!

[@renegadehierarchy]

@@kiethmergard make that make sense my friend

[@samsciascia4004]

@@renegadehierarchy It's coming directly from the insurance company general account fund. They collateralize your death benefit and your policy is getting uninterrupted compound interest while you are borrowing.

[@MonegenixTV]

Enjoyed your take on this. Thanks. We definitely need more of these types of analyses.

[@IBCGlobalInc]

Thanks Monegenix! Question, what is the core focus in your business? I checked out your site and it apparent you've got great material. If you want to email me at [e-mail], I'd love to connect. Thanks - Steve

[@petecardenas706]

Wow! What a well thought out and descriptive video for a rebuttal on Dave. Very professional. Your advise is taken. Thank you!

[@IBCGlobalInc]

Thanks Pete! Appreciate the kind words :)

[@cf1885today]

Listen to Dave Ramsey then decide

[@Savannah-ed4rv]

I guess Dave forgets that you get ZERO from a term policy if you outlive it, and most people do, according to statistics!

[@tomsthoughts2]

That's actually ok. Term is a HECK of a lot cheaper and if you are saving correctly, you become self insured when the term is up. That means you have enough in the bank to cover any final expenses. What most people don't realize is that on whole-life policies, is that upon death you get the face value (not the gains). Speaking of the gains, by the time you mix in the hefty fees, your gains are significantly smaller then traditional investing. (Say 1 - 3%) for the first few years and even after that it doesn't match the traditional 10 to 12% average returns you get in the stock market. Also remember, insurance is there for one reason, to replace your income if you die. Keep your insurance and investing separate.

[@MckensyLong]

@@tomsthoughts2 Totally. However, "If you saved correctly" is a big, IF. In nearly 9 years of the industry, almost no one "saved"... let alone "saved correctly." Almost all of them will die after the coverage is gone AND have little or nothing saved.

[@ganymedehedgehog371]

@@MckensyLongwell the root of Dave’s argument for term life insurance is having saved properly. Both must exist and you shouldn’t need life insurance past 60 so it doesn’t really matter. And if you can’t save properly you probably also can’t handle a whole life insurance policy either.

[@Rshen11]

@@tomsthoughts2 term is actually more..

[@CC..Jeremiah9_24]

Good deflection there sir. At the 27:33 minute you were illustrating the PUA and said that it was immediate cash access of the 1k, but started to trail off in another direction, not indicating any death benefit. So, a question……if the money goes to the PUA and not to premium, is there still a death benefit? Or, for clarification, are you illustrating a deposit of 1k to the PUA and a premium payment of 1k? Then I’m assuming, there would be a death benefit, please advise. Thank you. UPDATE: just as I thought, accelerate the PUA, no death benefit, or at best, very little.

[@Allenballen88]

Haha so many people reacting to Dave's video haha. Great breakdown! Thank you It's annoying how closed minded Dave is. I used to love his videos... Now i can't stand him.

[@cscarp4503]

Same!! 😃

[@IBCGlobalInc]

Thanks for the comment!

[@ticketpiper4764]

I still like Dave but I don't agree with him on every concept he teaches. He wants to put me in a box like everyone else.

[@amandameck4077]

An extremely respectful and informative explanation. I really appreciate you going through and presenting real data on this topic. Well done. I hope Dave can learn from this.

[@mikeross883]

Dave Ramsay is a financial entertainer like Suzie Orman and should be treated as entertainment value only

[@mikeross883]

@@justinacase2623 Does he make as much as the big banks in the US? Woops guess not. Might want to educate yourself on BOLI. So if you are so smart and have all your teeth which is just a stupid comment on you your behalf, can you tell me why banks buy billions of dollars a year in BOLI and do the opposite of what Dave says

[@mikeross883]

@@justinacase2623 its is the same economic fundamentals no matter how many zeros you add behind it. You are confusing investing and savings and for some reason you seem really mad like when you talk to someone that tries to defend Trump. When you talk about Shark Tank they are talking about INVESTING not saving, when you talk about infinite banking you are talking about a SAVINGS plan making about 4-5% net of market, fluctuations, fees and taxes which equals roughly about an 8% stock market return with much less risk. Keep in mind any individuals or corporations don't invest all their money all the time. Even companies like on Shark Tank, they need a warehouse of wealth to store their money then lend it back to themselves when it comes time to invest that money. Also additional deposit options comes with a death benefit that is usually a multiplier of 2-4 times your cash value. You can also use that strategically with other investments for example a reverse mortgage that is tax free to buy a guaranteed tax free annuity for life meanwhile still utilizing the cash value. Also when you talk about investing keep in mind, if you are investing and someone is bragging about 8% for example in a growth product, that can never be used for anything else along the road as you can never interrupt the compounding or you lose. The infinite banking concept is used from individuals, to individuals with small and larger corporations and big business like banks, they all follow the same fundamentals. Keep in mind I am not saying for example not to invest in to things like people do in Shark Tank but an individual or business isn't investing all their money in high risk stocks all the time to get a high return. This product is actually used to help people invest where they can make their 4% (cash value only) return and wait for say a 50% stock market correction. They then can take the money out of their high cash value policy and invest, they have two options, either take it as a loan to yourself or surrender dividends but that interrupts the compounding and isn't usually recommended you lose long term growth. So overall this is an "and" product, the only one you can borrow up to 90% at anytime and receive return of premiums (or call them dividends once you are above your cost basis). Bottom line that no product can give you everything or everyone would only own that product but whole life is the only product that can give you protection, savings, and growth all the same time, however I at the same time term insurance is a great product and can be a great fit for someone who can't move in to whole life or infinite banking. One read I would suggest for you is "What Would the Rockefellers Do?" It is a great book on transferring wealth from one generation to another and not focusing on corporations but how the family learning the benefits of private banking and handing on generational wealth. Take care of yourself Justin and good luck

[@mikeross883]

@@justinacase2623 you finance everything you buy regardless if you take it from your investments or pay interest to another institution through opportunity cost. Also if you don't think wealthy people buy whole life, where are you exactly getting this stat from can you send it to me please as all I can tell you I know many wealthy people that are saving in saving in this strategy and no it is not from me. Enjoy the book What would the Rockefellers do, they are wealthy by the way, super wealthy. Please forward the stats on wealthy people don't use infinite banking strategies as I would like to have that personally.

[@mikeross883]

@@justinacase2623 but zero debt doesn't mean it didn't cost you opportunity cost to get there, most people don't see the wealth they lose over their lifetime. Having no debt and paying for a car with cash doesn't mean you didn't have opportunity cost, it guarantees you had opportunity costs. That is what you are trying to do is recapture that. I'll check out Chris Hogan but I think he is also a financial entertainer like Dave, not really interested in financial entertainers as they are financial entertainers overall regardless of who they are. Good luck to you Justin

[@IBCGlobalInc]

Thanks for the comment/support Mike! Much apprecaited!

[@Sam..............]

@Time 16:12 on the left hand side, year 8 (@ age 53)...why did the death benefit value suddenly drop down from 1050000 to 930403 (120,000 dollar drop in value) even though the left hand side model does not have a loan. Where did the money disappear to? PLEASE CLARIFY

[@IBCGlobalInc]

Thanks for the comment. In year 8 we can drop the death benefit without triggering a MEC (taxable event). We reduce the death benefit as early as we can to maximize the cash value growth. I've included two videos with more information on this below. - kzbin.info/www/bejne/hYjTpHh5g8iloKs - kzbin.info/www/bejne/anfIp4GmhtF-nZI - kzbin.info/www/bejne/rZOtk5mEisqsqpI

[@dalepittman4847]

At min 12:29 when explaining the loan payback, Line 11 shows that the loan has been paid back with interest, but the death benefit is still below the original amount, why is that? Thought the death benefit was only reduced to cover loan? Shouldnt it be back to full amount when loan has been repayed, or is the death benefit amount being used to pay the "dividend" on the cash value thats not there.

[@IBCGlobalInc]

Sorry for the late reply. Good question. We removed the term rider and exercised a reduced paid-up option with this example. This is a method to lower insurance expenses and maximize cash value.

[@danchrisma7352]

After watching this, I think Dave Ramsey is smart, wise and kind to direct his listeners away from this complicated stuff. Maybe someone can put it clearly at what level of wealth with what kind of risk tolerance and with what kind of access to a trustworthy financial service person or with what level of understanding to sophisticated financial lingo can one safely play this game. Those who advocate for infinite banking usually have to emphasize "you have to find someone who really knows how to do it right" and then use a high lighter on a full page of numbers to illustrate. But Dave's discussion is based on commom sense, and he emphasize 80% behavioral and 20% intellectual. His listeners' financial situation range from deep in debt to abundance to happy to give. Seems no harm to never know how to do this, and just stay away from it.

[@IBCGlobalInc]

Thank you for the respectful comment. Below is a video that may be helpful. - kzbin.info/www/bejne/fWeukox3hdyqhac

[@AnneBerryhill]

Another great video, and by comparing what Dave said to what you teach you did a great job of revealing additional information and answering questions I didn't know I even had before I watched this! Thanks again!

[@IBCGlobalInc]

Much appreciated!

[@IBCGlobalInc]

Thank you! :)

[@seanohara5754]

I still don't understand exactly how this works or why it would be good. Aren't you basically locking up huge amounts of money just for years for the purpose of "breaking even"? Even then isn't your money basically locked up in a policy unless you borrow against it (and for interest at that)?

[@Kevinschart]

whole life is an outdated model. a lot of people simply invest in the market or with mutual funds. you can pass that to your family when you die. if you have children get term insurance. it's much less expensive and serves the same purpose.

[@IBCGlobalInc]

Hi Sean, great questions. I've included a video highlighting the drawbacks of Whole Life Insurance. - kzbin.info/www/bejne/mqGQiqR8optmoKc On the point of the "break-even", you are 100% correct. This is the major drawback to a policy if an individual is concern about cash value. We can minimize the premium, and enhance the cash value/break-even point, but we will still see negative cash value in the early years. Most corporations and individuals view the cash value in the following manner: - Safe Money. - Tax advantages - "Hands off". Don't have to think about it and the value appreciates each year. The loan interest rates on policies are high compared to what can be found in the marketplace. As an alternative, some will consider Cash Value collateral loans. This is a a means to leverage a policy as a line of credit. - kzbin.info/www/bejne/pWaTp42Dr7WniKs - kzbin.info/www/bejne/e6WbioBjaLxpepY Thanks for viewing and commenting. Let us know if this is informative.

[@seanohara5754]

@@Kevinschart yeah, I have term insurance that will last until my wife and I'd current portfolio will grow to the point where we don't have to worry about insurance. Whole life seems to be a terrible growth vehicle, and for me I have no need for that big of a pile of safe cash for that length of time. This may make some sense in some very specific scenario, but overall, to me it seems there are much better places to put your money and better things to borrow against if you do it to get loans.

[@maxpruger837]

You are correct, you don't understand how IBC works or why it's good and NO, you're not locking up money for years just to "break even". I've been practicing IBC for several years. I literally took a loan against my policy within the first 2 weeks of setting it up, so the money is NOT locked up. Over the past couple of years I have borrowed and repaid loans to pay off property taxes, pay down an investment property, buy a business, etc. I borrowed the insurance company's money with no credit checks, W2s or hassle while my money continued to earn uninterrupted compound interest at a post-tax rate of about 4.5% vs. a bank savings account of .025% (and that interest is taxable). With respect to your "and for interest at that" comment, of course you pay interest. You're not using your own money, you're using the insurance company's money. This is exactly the same as if you had a house and got a HELOC. The bank is using the equity in your house to collateralize the HELOC just like the insurance company is using the equity in your policy to collateralize the ILOC (Insurance Line of Credit). If you have a problem with people paying interest to borrow the insurance company's money then you should have a problem with people paying interest to use the bank's money but I'm assuming you're not complaining about people paying interest on a HELOC even though the HELOC is collateralized using the money someone paid into their house. Good luck with your term insurance and portfolio. That's what the majority of American's do and that's working out great for them.

[@jameyhunt438]

Lots of people discover they need insurance later in life than they thought they would in their twenties. The people who believe they wont need it may be wrong and if so, it will either be impossible to get due to health or expensive due to age.

[@ajax8993]

What the Smart Board used in this video? Can you suggest Brand / Model? Thank you in advance.

[@IBCGlobalInc]

What smart board do you use in your videos?

[@rogerdsmith]

Unfortunately, the only dance that Dave knows to do, is to express contempt towards those who disagree with him.

[@IBCGlobalInc]

Thanks for the comment Roger. I'd agree from some of the videos I've seen. He may open up to the idea of policies funded in this manner at some point. A lot of good can be found in Dave's teachings. I'd would just recommend he pulls in experts or specialists in areas he is not as well versed in.

[@taiichas6454]

Great explanation but my questions are..1-why do we need to go through a life insurance company first?? For the life insurance the agent tells you for how much you qualify let say 500k and let say I have a 100k cash value by the time I die. 2-Would my beneficiary receive 600k or just the 500k ? If not where is the 100k go? 3- how long does it take to even have 50k cash value? If I don’t have 50k cash value will i still be able to borrow 70k? 4-let say they loan you the money from the policy which is 500k remember you don’t have it yet. You borrow a money from a money which you don’t quite have who are you paying the interest to? If it was from your cash value will you still receiving the interest your self?

[@IBCGlobalInc]

Thanks for the comment. See below. 1-why do we need to go through a life insurance company first?? *** We cannot obtain a Whole Life Insurance Policy unless we go through an Insurance company. 2- The life insurance the agent tells you for how much you qualify let say 500k and let say I have a 100k cash value by the time I die. Would my beneficiary receive 600k or just the 500k ? If not where is the 100k go? *** The Net death benefit only is paid out. The death benefit will grow with the cash value. So, if your cash value has grown to $100,000, your death benefit will likely be at least $600,000 (Probably higher). I've included a video below. - kzbin.info/www/bejne/hJK4h4lrnJ6go9k 3- how long does it take to even have 50k cash value? If I don’t have 50k cash value will i still be able to borrow 70k? *** This will depend on how much you fund a policy with. The maximum loan that can be taken is usually ~ 95% of the cash value. If the cash value was $50,000, the maximum loan will be ~ $45,000. I've included a video that discusses maximizing the cash value of a policy. - kzbin.info/www/bejne/hYjTpHh5g8iloKs 4-let say they loan you the money from the policy which is 500k remember you don’t have it yet. You borrow a money from a money which you don’t quite have who are you paying the interest to? If it was from your cash value will you still receiving the interest your self? *** We would only be able to borrow $500,000 if our cash value has grown to $500,000. I've included a video that might be helpful below. - kzbin.info/www/bejne/mny5eIx5iNupo80

[@DAMON409]

If the whole process is this difficult to explain, probably best to avoid it. I still don't see how this benefits anyone.

[@estatusbestia2264]

Great class Steve. You were too kind & classy to Dave kudos for that. Ill keep learning from you. You explained everything in a simple to understand format. I'm new to the concept and I am looking to to improve my knowledge on the products and concept so as to offer it to my clients. Thanks again!

[@IBCGlobalInc]

Thank you! Much appreciated! You mentioned you are trying to improve your product knowledge. We offer a training program for licensed agents. I (Steve) run a live training weekly for agents looking to improve their practice. - www.ilstrainingacademy.com/home

[@scottgavenman6119]

No, you are looking for ways to hide the nonsense that consumer advocates have been writing about since 1879 about whole life insurance...

[@Convos4Inspiration]

Dave Ramsey is correct on this one in my opinion. You need to do this for years to break even on one of these policies. Their charging you for your own money and paying you a dividend as the presenter says on your own overpayment! The presenter is saying that himself! If I was socking away $100.000 a year, I sure would not do it in a life insurance policy! Completely insane! What's your return if you do this with an index fund for the same time period, with the same amount of money? If you have this type of income, why would you invest it in life insurance? That being said, term only is stupid too! Dave is incorrect on that one in my opinion. But to use this concept if you have a ton of money makes no sense to me........His example also shows a decrease in the cash value by year 14......This makes no sense at all.......

[@IBCGlobalInc]

Thanks for the comment and feedback. Appreciate it! :)

[@insuranceinsights2619]

Theres a few reason why you would. Those with that much money will eventually max out ROTH contributions, which grow tax deferred. So once you do max that out this is the next best way to grow funds tax deferred and the benefit passes on to your heirs tax FREE. The rich stay rich by understanding how to minimize their tax obligations. Real estate is another common way, which cash value is essentially property, just without the ongoing maintenance. Those with 100K a year to put into some investment vehicle are probably also running business or buying real estate and this strategy allows them to gain a guaranteed return as well as pursue those same business actives. Sure they lose access to some of the funds, but that may not be an issue to those with that much capital on hand. Investment accounts do not have a death benefit, ever. They are only worth what they are worth in accumulated value where life insurance will have a larger death benefit than the cash value primarily in the early years. It is after all INSURANCE. Those with 100K/yr to put into investments are also clearly high income earners and those investment accounts that are not tax deferred will take a fairly big hit once you start to draw on those accounts. Instead of a 25% tax bracket as most usually fall in they would probably be up in the 30 - 37% range, which can be avoided with these policies. Here are the tax brackets in 2022 www.kiplinger.com/taxes/tax-brackets/602222/income-tax-brackets

[@adweajarrett8344]

@@insuranceinsights2619 Run an illustration for 30 years showing the expense of a life policy vs. putting that money into an index fund.....Its no comparison and you know it!

[@insuranceinsights2619]

@@adweajarrett8344 I would never say it is a comparable. It is two entirely different tools for different purposes. You would not get the same gains in an insurance product... or the risk.

[@LEGITlimez11]

I think Imma go with Ramsey

[@IBCGlobalInc]

Thanks for the comment. All the best to you!

[@maxthefrenchie4685]

Not that I’m with this infinite guy but Ramsey was also wrong about crypto and gold

[@AlexKS1992]

@@maxthefrenchie4685 Crypto is a bubble about to pop and buying Gold is ridiculous.

[@maxthefrenchie4685]

@@AlexKS1992 it’s fine I’ve taken profits already but doesn’t mean it’s not a good source of money when it’s hot and yes it is about too pop

[@Kevinschart]

None of this matters if you don't believe in whole life insurance. Buy term insurance, and invest the rest. pass the investment on to your family. pay off your house, pass that on to your family.

[@IBCGlobalInc]

Agreed. Depends on belief, preference, and comfort level. Thanks for watching!

[@infoinfo8279]

Putting money into mutual funds doesn't work if you don't believe in the wall street casino. Buy real estate and rent it out. Pass the investment to your family, etc.

[@samsciascia4004]

My clients who earn more than $200K NEVER bring up BTID. Usually, when they meet with me, they've already found out they can't fund a Roth IRA, and their broker doesn't understand life insurance, so I have virtually zero competition.

[@johngturner]

I really enjoyed your response here. Thanks for taking the time to truly break this down.

[@IBCGlobalInc]

Thanks for the message John! Much appreciated!

[@IANMILUVBUG]

Tu

[@alexatedw]

Lol

[@sbbaner6666]

@@alexatedw tfon free drystudystu susu5: ex Sl, G,/koi Ed get

[@stocktawk]

BOTS IN THE COMMENTS

[@eriksmith3219]

People, understand this. There is a reason insurance companies offer these products. They are taking your premiums and investing them theirselves and only returning a fraction of those returns in your guaranteed policy. Period. There is a reason they offer these garbage products much like annuities. There is a reason both of these products pay some of the largest commissions of any financial product offered.

[@alexisbobe]

Man what a great video! You kept respect and professionalism. Thanks for this, was a great value content. Its sad to many people think of Dave as the absolute only expert in the matter.

[@live.think.prosper3866]

Great video. I have a question though. @13:40 You stated that how much you can borrow depends on how much you have in cash value. By year 4 in this example there was $205,330 in cash value. You took a loan of $200,000 yet somehow that left $53,368 in cash value. How is that so?

[@darrickharris5534]

Great video. I literally responded on Dave Ramsey’s video and had a discussion with my wife about making a video about the discrepancies. I literally said he needs to tell the whole truth. When I saw your video, I said he beat me to it. Very well done

[@IBCGlobalInc]

Thanks Darrick! Appreciate the comment. Would be happy to do a video with you in the future :)

[@alexatedw]

Dave’s not wrong. You can see this is a scam, can’t you?

[@darrickharris5534]

@@alexatedw the only scam is tooting a 12% ROI without any mentioning of what to invest, how many investments, or what the fees are, by law all life insurance must disclose this information and the purchasing member must sign off on it at least twice. When funds increase in life insurance cost goes down. When funds increase in other investments cost goes up. Explain to me the scam?

[@alexatedw]

@@darrickharris5534 lol you mean just investing in a straight index like the Dow or s&p? You know the market makes a consistent 12%

[@alexatedw]

@@darrickharris5534 it’s a scam because you’re buying two products but only get one. Cash value or life insurance. You don’t ever need whole life insurance. Life insurance is to insure your earning potential during working years. There is never a need for whole life. It’s a straight scam

[@rickmontgomery9659]

Great a masterful Job Steve, I am Life Agent and owner Of Insurance agency You explained that well

[@IBCGlobalInc]

Thank you! :)

[@Andy-wo9bm]

I would add that even if a mutual company price on term is a little more you have the option of later converting to permanent all while locking in your insurability now! Massive benefit!

[@IBCGlobalInc]

Agreed! Thanks for adding that point Andy!

[@MckensyLong]

You can also do this with some stock companies. I said some, because I only know and use a handful.

[@scottmoore9151]

Just look at the guy smirking at 9:00. It sums it all up. Let’s put this another way overpay the IRS and give them an interest free loan and at the end of the year you get a “tax free” refund. The stuff is just plain gross. It’s pretty simple insurance is a middle man, they don’t create any value on anything but when pooled together with other individuals it allows you to avoid a catastrophic loss in exchange for yours and everyone else’s premiums. The loss is still the same and still gets paid out yet obviously insurance companies make a killing and they didn’t even have to invent or do anything. Just act as a group holding corp and collect premiums to pay out.

[@Justinian21c]

I so appreciate this analytical and nuanced critique of Dave Ramsey's opinion on IBC. DR exudes a strong emotional presentation but inadvertently illustrates the principle that you don't know what you don't know. Thanks for this incisive critique. Liked and subscribed!

[@jeffreybolden4109]

Very well done debate. Fair presentation of the counter position, good facts and theory which spoke for themselves no personal attacks. That's the way debate should be.

[@gbinman]

I couldn't gag through the entire video. 20 years before I even heard of Dave Ramsey, I knew whole life was BS. When I was working with a family, I did have a term life policy with triple indemnity for accidental death. Since I have no life insurance at all. I constantly see adds for life insurance to cover "final expenses" which are clearly aimed at poor people who worry about such things. I retired 19 years ago and have been debt free ever since.

[@TheTexasBoys]

Not only does Dave reveal some financial ignorance and purposefully misrepresents death benefit and basic facts such as those surrounding Prudential. He also reveals his basic ignorance of Christianity while professing to be a Christian he blasphemes the name of Jesus and God in this short clip. He’s financial ignorance is only overshadowed by his ignorance of Christianity which he supposedly adheres.

[@shipjumper6068]

Insurance in itself is a bit of a scam. If insurance policies in general always paid out, the insurance companies would also lose money. That’s why they have insurance adjusters to find a way out of paying those policies out.

[@doubleAIII]

On December 18, 2001, our date of demutualization, Prudential Insurance converted from a mutual life insurance company owned by its policyholders to a stock life insurance company and became an indirect, wholly owned subsidiary of Prudential Financial.

[@maestromike91971]

This guy looks and sounds like a family , from the 1970s to 80s . In other words, the mafia . I have family members who are in Business in Italy. We tend to stay away from them. One of them kept calling me , asking me if I wanted to make a large amount of money to Deliver a package or anything else.

[@IBCGlobalInc]

Lol! This made the me and the team laugh. Hadn't heard this one before. We stay away from the Mafia :)

[@michaeltristan86]

Does all that extra cash paid to build cash value become null and void (lost) if the policy holder dies? The cash value is after all the "perk" for people coughing up much higher premiums compared to term for the same coverage or possibly even less.

[@IBCGlobalInc]

Good question. No, the death benefit will increase with the cash value. I've included a video that provides details to this point. - kzbin.info/www/bejne/hJK4h4lrnJ6go9k I agree with you that the premiums are much higher with a whole life policy when compared to term. With that said, most we work with express that they are not interested in the death benefit, which results in minimizing the premium as low as possible. Video below. - kzbin.info/www/bejne/qHm8ga2Yacykmac

[@brynasaurus]

I feel like Dave Ramsey has a great product for those wanting to get out of debt and learn to manage their money. Once people are out of debt and wanting to grow their savings I think it’s time to graduate from the Financial Peace University and start investing in themselves and learn what the best investments for them really are. Great video and explanation. Every single place you want to house your money to grow and not lose it will cost money. The old saying is still true, it takes money to make money. I wonder if Dave Ramsey has WL?? Or even IUL? 🤔

[@zoeevans543]

As a 17 year old who has been around the basics of Dave Ramsey my whole life I am like. Millionaire by age 65, 50 if I do it well. that's called plan C. This stuff is so powerful, lets get a lot more work done, a lot harder, a lot faster

[@petrojames1145]

Spot-on, very clear. Thank you for candid explanation and clarity

[@rolandcheng1515]

Good one but you guys charge fat fees on individuals with insurance. Yes it is a scam! Might as well pull in to reinvesting your Roth Ira or 401k

[@IBCGlobalInc]

We do not charge fat fees...

[@rolandcheng1515]

@@IBCGlobalInc not until you see your account get charge with assets under management percent

[@IBCGlobalInc]

@@rolandcheng1515 Thanks for the comment. Whole Life policies do not provide compensation in this manner (Trails or charges for assets under management). The cash value/growth is pretty straight-forward. Below is a video that provides further details on this. - kzbin.info/www/bejne/emKZfpeQapd1jZo

[@juanmcoronado87]

@@IBCGlobalInc he said Fat fees, not flat fees. Sneaky clowns 🤡🤣

[@IBCGlobalInc]

@@juanmcoronado87 Thanks for pointing that out! Here's a video that provides transparency on commissions and fees. - kzbin.info/www/bejne/poGzppitp8Zgq7s

[@sparktabulus]

You all earned my subscription, thanks for providing clear information.

[@kevincleveland2949]

VERY WELL DONE Steve! Very professional response. I saw this video from D.R. and noted a number of the same points. I think sometimes when people perceive themselves as experts on one topic, it's hard for them to consider other ways particularly when they are so passionate. Thanks for taking the time to make this point by point response and for taking the emotion out.

[@IBCGlobalInc]

Hi Kevin, thanks for the comment! Appreciate it :)

[@hmmm1599]

You cut out part of the video at 9:20. Sketchy. Plus I can get tax free in my Roth. Why would I pay your higher fees? Or I can get a 100% match in my 401k. Or I can invest in real estate and get all the tax benefits in that. I’d prefer not to pay the high fees that most insurance agents charge.

[@essienm1]

Can we just agree that Dave was clearly ignorant about this and too proud to admit it and just say "...i don't know" instead of tearing it down?! 🙄

[@IBCGlobalInc]

Thanks for the comment... He had a few good points in the video but I would agree with you in terms of admitting to not knowing something instead of attacking it.

[@rbattle23]

This really helped to clear up the concept. Thank you!

[@StratmanDarrell]

First of all I don't like how Dave Ramsey says, "Jesus" like he's saying the Lord's name instead of a four letter metaphor and he's supposed to be a pronounced Christian. Ramsey is very close minded and believe that term is the only insurance you should buy. However, Dave has managed to increase his personal net worth to over $20 million by selling his version of financial opinions.

[@propertyaisolutions]

Excellent video and very professional! I wish to discuss this further with my brother who has a general idea of IB, but he wanted to know how does the insurance agent get paid. I know it's from the premiums, but what percentage of the premium does the agent pocket vs what goes towards the cash value? Also, is it true that you can start to borrow against 50% of the cash value within a year? For example, if he puts in $10,000 today, will he be able to take out a loan for upwards of $5,000 12 months later? Again, thank you for addressing the issues Ramsey brought up.

[@IBCGlobalInc]

Thank you for the comment and kind words! Much appreciated :) I've included videos on maximizing the cash value on a policy and how commissions work below. - kzbin.info/www/bejne/hYjTpHh5g8iloKs - kzbin.info/www/bejne/nJbUdn2ifb6qgtk - You can typically borrow ~ 95% of whatever your cash value is. - If you funded a policy with $10,000, the first-year cash value should be ~ $8,500. You could take a loan of ~ $8,000 in this example. Let us know if this helps and if you have any other questions.

[@Fred2-123]

@@IBCGlobalInc And if you then die the next day after borrowing $8000, the death payout would be reduced by $8000. Fantastic.

[@tomletgal]

Using Dave Ramsey’s name to attract viewers... whaaat!?!? 😂

[@IBCGlobalInc]

Thanks for the comment!

[@bl3788]

🤣

[@AlphaMeep]

bruh

[@andystylez]

😂

[@trindon9439]

How can I get a copy of that spreadsheet?

[@IBCGlobalInc]

Sure. It is a bit dated since the recent industry update. Feel free to email us at [e-mail]

[@kellymiller4228]

Excellent presentation I appreciate you taking the time to explain this issue and to address the comments made by Dave Ramsey. When Dave made comments about life insurance companies and policies he was moving out of his field of expert

[@jaybootidawg5167]

You have to remember who Dave’s market demographic is, these products aren’t for everyone, but it can be a incredibly powerful tool when used correctly

[@rolandorolandorolando6554]

Which is better to use an insurance company that is a mutual or a stock company? Help.

[@IBCGlobalInc]

If you are looking for pure life insurance protection (Term), then a stock company will often carry the lowest price point. If you are interested in a high cash value policy, then we'd recommend one of the Major Mutual companies. - kzbin.info/www/bejne/Y6fdoXaai6mljpY

[@ravbarring]

Dave Ramsey listeners are lower middle to middle class folks who earn at most $50k a year from their ‘safe secure job’. It’s all about the market you are working in. Avoid working with People that are paycheck to paycheck. Fee only Financial Advisors make money from Assets Under Management. Financial Advisors also avoid those who are in the lower to middle class category.

[@IBCGlobalInc]

Thanks for the comment. Fully agree! It is all about the market one is working in.

[@perelandra35813]

Pretty good rule for life: if a dude is saying something simple about a complex issue on the radio, assume there’s way more to the story.

[@IBCGlobalInc]

Thanks for the comment. Agreed

[@lyndonbritt2]

KUDOS!!!! Phenomenal breakdown of the video w/ explanations

[@Spitcane]

Every time i need a laugh i listen to Dave Ramsey talk about whole life insurance.

[@e2pnetwork]

It seems that old Dave is working for the system. Dave’s job in society is to keep the average AVERAGE it seems. SMH

[@ltvtv8540]

I'd like to start off by saying that your channel is simply amazing, with top notch content! I just have one question in regards of paying off the loans that you take against your policy. When paying back whatever it is that I owe, does the interest that i'm paying go towards my cash value reserves or is the interest just a straight up "tax" on the amount borrowed? Thank you for you time, and for the awesome content!

[@IBCGlobalInc]

Thanks for the kind words, and great question! Interest paid on loans goes to the insurance company. I've included a video that may be helpful. - kzbin.info/www/bejne/pYLUYq2QZ7Sijq8

[@OregonCashFlowPro]

Great video Steve. Love the thoroughness and detail.

[@IBCGlobalInc]

Thanks James!

[@darrickharris5534]

@Oregon Cash Flow Pro: I enjoy your content as well.

[@OregonCashFlowPro]

@@darrickharris5534 ❤️

[@fisherholmsfly]

What I don’t understand how this is any better than a CD. I understand the concept of having the death benefit being significantly more than the cash value upon death but there are many financial products that can match a 5% annual return that allows people to pull out their money anytime they feel like it.

[@IBCGlobalInc]

That's a good question. It isn't necessarily better than another investment, especially when a higher return can be generated elsewhere. The product is often a good fit if someone is looking for a safe, liquid, & tax-free area to position money. The returns will deliver 3-5% at best. Wealthy families, banks, and corporations generate higher returns outside of life insurance policies. They'll use a life insurance policy as a cash alternative in many cases. I've included a video that provides some additional insight/information. - kzbin.info/www/bejne/mpeydGp_fN6motU

[@tommycreighton3087]

There aren't any cds with a low risk profile paying close to 5% unfortunately

[@adampilarski201]

Show me a CD where you can put 100k in at 6% a year, use that 100k to make investments and spreads on the 100k while the 100k is compounding uninterrupted.

[@admiralmurat2777]

@@adampilarski201 Well, I have a CD right now with Navy Federal that is 5.9%. Not sure what you mean.

[@6040adam]

Also, the interest earned on the policy dwarfs the interest charged on the loan at the time of loan payoff.

[@IBCGlobalInc]

Right on Adam! Thanks for the comment and support as always!