For those who have do not have life insurance or have never thought of it as a business opportunity are unfamiliar with the concept of infinite banking, which is the process of getting a loan which is the cash value of the policy. By getting a tax-free, lower interest loan which is the cash value of your life insurance policy, you have money to build your empire from scratch and even pass your wealth onto your children. If you have never thought of infinite banking, apart from just getting tax-free, lower interest loans, there is an array of excellent benefits you are missing out on. Keep reading to familiarize yourself with some of the amazing advantages associated with infinite banking.
Given that emergencies can arise at any time, it is always good to be prepared with some cash which allows you to react quickly and decisively, which you have access to if you are using infinite banking. One incredible benefit of infinite banking is that it entails a lot more than just accessing the money you want because you can also lend other people the money and charge an interest.
Compared to borrowing from a bank or other financial institutions, infinite banking gives you instant access to the cash value of your life insurance policy without any qualifications needed; you can access the money at any time for any purpose while the cash-value continue to earn the guaranteed rate of return on the full cash-value. The liquidity of your life insurance policy gives you freedom; you are no longer tied down by banks and other financial institutions. To qualify for a loan from a bank, you must state the specific purpose for the loan which makes the system a bit rigid but with infinite banking you can use for business or personal need nobody cares.
Infinite banking is important because of equity; the money you are investing in your policy is growing because of compound interest. Even after borrowing money against the cash value of your life insurance policy, it will still be accruing an interest at a steady rate throughout the entire time and you earn even more if the policy is paying dividends too.
Asset protection; when you buy life insurance, it is one of your biggest assets and you will be glad to know there are statutes put in place to protect it from the reach of creditors. In addition to growth, your life insurance policy will be paying you dividends too, which is a benefit of infinite banking. Finally, you will enjoy tax benefits with infinite banking that you don’t enjoy with other loans. Discussed above are just a few of the benefits you can take advantage of with infinite banking.