• In 1991, I invested in a $20K whole life policy with NY Life, which would invest the money in government and secure corporates. The first two years of my premiums were taken by NYL and its agent. Then in 2003, after more than a decade of a declining interest rate environment, I was asked to pony up more money because the interest rates were no longer adequate used to pay the dividends needed to feed the policy. I (unfortunately after the fact) had paid a retired actuary to analyze the policy. He told me that it would take 20 years from the time I bought the policy for the tax benefits just to offset the costs of the policy; his analysis didn’t even touch on whether I would need togo out of pocket to keep the policy in force. In 2003, I cashed out the policy and got my initial premium back. For 12 years, all I got out of this was a free death benefit.

        Perhaps this approach is different…But it sure sounds familiar

        • I understand your concern about the slow growth of a traditional whole life policy, such as the one you bought. However, the Bank On Yourself strategy uses super-charged policies where the cash value grows significantly faster, due to the riders that are added onto them. Rather than take my word, this article shows clearly what the difference is, and how much faster a Bank On Yourself-type policy grows:


          Regarding the policy you bought in 1991, if it was truly a whole life policy, the premium is guaranteed never to increase. So if you “had to pony up more money,” it’s because you stopped funding your policy out-of pocket and let the policy values pay the premiums. That is certainly not a good idea to do only 10 years after starting a traditional whole life policy, UNLESS the policy was specifically designed to be funded for a shorter period of time. I’m willing to bet that your policy was not.

          So, open your mind and download my FREE Report to get the facts!

          Download your free report

        • Mark, sounds like you had purchased a Universal Life policy which did great while the interest rates were high. However, once they dropped it didn’t keep up with the annual rising cost of insurance so therefore you would have to raise your premium to maintain the policy. This is the difference between a Universal Life policy and a Whole Life policy. With Whole Life, the cost of insurance never increases and the premium never increases. I find and fix these all the time with seniors. It’s a shame because people don’t know the difference and agents don’t explain it.

  1. Pamella, you did a great job exposing the marketing of the “770 Account”, which turns out to be a little known and misunderstood investment vehicle that has been around for quite some time. These guys definitely have great ad copy writers, however your analysis cuts through the fluff well. What’s more is that Bank On Yourself provides much of this information for free. Following!

  2. What I want to know is what loophole is supposed to close by April 30, 2016? According to the looooooonnnnnng video by Palm Beach, some loophole was closing at the end of this month.

    • That reference was to a change in the Social Security laws. We don’t blame you for not wanting to hang on til the end of those loooooooooooong videos Palm Beach Letter churns out!

  3. If born before 1969 ….supposedly there is a cut off getting one’s name On the list before cut off date of April 30, 2016….as after that date one may not get as much as $60,000. in their life while on SS? // Is this a scam of mis-informed information?

    • That was a pitch from Palm Beach Letter about the change to the Social Security rules (file and suspend) that occurred as of April 30, 2016. It was widely publicized, but as is typical, Palm Beach has to create mystery around it so they can sell you the same information you can get elsewhere for free.

    • ​770 accounts or Bank On Yourself plans use​ ​whole ​life insurance policies with paid up additions riders that turbocharge the growth of the cash value in the policy. Since it’s not a regular bank account, the term “minimum balance” does not apply.

      Dividend withdrawals and loans can be taken from a Bank On Yourself policy with no taxes due, under current tax law.

      To find out how you could benefit from a custom-tailored plan, request a free, no-obligation Analysis here.

    • Bank On Yourself (770 account) is NOT a one-size-fits-all plan. There’s no pre-set amount a person would put into a plan, because the plan would be customized to YOUR unique situation, goals and dreams. If you’d like to take advantage of a no-obligation Bank On Yourself Analysis, you can request it here.

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