Over the holidays, I received a number of emails with good wishes for the New Year from subscribers who use the Bank On Yourself method to grow their wealth safely. Many also told me how they’re using their plans.
One of those emails came from Derek Logan, a corporate accountant who is the textbook “poster boy” for someone who did all the right things we were taught to do financially, who decided to stop feeding the insatiable Wall Street Casino with his hard-earned dollars after seeing his retirement account value slashed in half several times.
Derek started his first Bank On Yourself plan about four years ago and wanted to update me on how he’s been able to actually use his plans to become his own “banker” during that time. Derek said he’d be happy to share his experience with subscribers to this newsletter, because…
It’s not about what I have done, but about what Banking On Yourself can do for anyone.”
This could be you…
Here are the ways Derek and his family have used the money in their Bank On Yourself plans in the last four years:
- In the beginning, it was to cover an unexpected $3,000 dental bill (I can relate after breaking a tooth last month…)
- Then it was a new refrigerator – another $3,000
- Next was so they could loan $10,000 to a dear, close personal friend who was going through some tough times
- Then, two years ago, Derek took a $34,000 policy loan to finance a new car (and bypass banks and finance companies entirely)
- Most recently, Derek used the funds in his plan to pay off a $60,000 equity line that the family had used to help two of their children get started with their first homes. The interest rate on the equity line was low – 2.75% – but, in Derek’s words, “Borrowing it from myself and paying myself back beats that all around!”
As an added benefit, Derek notes that his wife is elated because, “Even if the unfortunate were to happen to me, she knows that nothing will be owed to anyone, because the life insurance benefits – which have grown by over $300,000 in four years – would take care of her well.”
Do you know the typical family can potentially increase their lifetime wealth by hundreds of thousands of dollars by financing their major purchases through a Bank On Yourself plan? Find out how much bigger your nest egg could grow (without the risk or volatility of traditional investments) when you add the Bank On Yourself method to your financial plan. Just request your free Analysis here now (if you haven’t already).
I think there are several great “take-aways” from Derek’s experience. Here are the top three…
1. One of the most popular benefits of Bank On Yourself is that it lets you fire your banker and become your own source of financing for major purchases. Because Derek works with one of the 200 Bank On Yourself Professionals, his plan is with one of only a handful of companies that pay you the exact same interest and dividends on any money you borrow from your plan, just as if the money were still in your plan.
It is the only financial vehicle or product I know of that gives you this advantage (and I’ve investigated more than 450 different products and strategies). The Bank On Yourself strategy solves the problem of having to constantly interrupt the growth of your money when you spend or invest it!
Watch this video and discover how to bypass banks and Wall Street altogether!
That’s why almost every dollar of our family’s net income goes into our Bank On Yourself plans first, before we spend or invest it.
Learn more about how Bank On Yourself policy loans work here.
2. While you do pay interest on policy loans, that interest ultimately benefits you, the policy owner.
I explain how that works in our Consumer Guide to Policy Loans, too.
It’s important to keep in mind that directly paying cash isn’t the answer, because when you do, you lose out on the interest or investment income you could have received, if you’d kept your money invested instead. Again, the Bank On Yourself method solves this problem.
3. Bank On Yourself plans provide you with quick and easy access to your money whenever and for whatever you want. It’s the best place to put money you want to keep both safe and liquid.
That way, you have the peace of mind of knowing you can weather whatever life throws at you – whether it’s needing to replace a roof or a major appliance… to being able to help a loved one in need… to being able to take advantage of opportunities that come up.
The last time I asked Derek if he feels like he’s been missing out as the stock market’s been hitting record highs, Derek’s response was…
The only thing I’ll be missing out on is the next crash.”
As any good student of history knows, it’s not a question of “if” the market will crash again, it’s a question of “when.” Derek and his family can sleep well at night knowing their Bank On Yourself plans are guaranteed to grow by a larger dollar amount each year, and don’t lose value when the markets crash.
It’s interesting to note that an article in The Wall Street Journal two weeks ago pointed out that the Dow Jones had just risen to an “inflation-adjusted record… surpassing its former all-time high, which was logged in January 2000.”
January 2000! Yikes! That means that after riding the whip-sawing Wall Street roller coaster, once you take inflation into account, you’re right back where you were fourteen long years ago.
Was it worth it? That’s a question only you can answer for yourself.
To find out what your guaranteed numbers and results would be if you added Bank On Yourself to your financial plan and became your own source of financing, request your FREE Analysis, if you haven’t already.