Video Overview: Bank On Yourself in a Nutshell

We just completed a short, fast-paced video explaining what Bank On Yourself is and how it works, that I think you’ll find very helpful.

Click on the play button to discover…

  • How Bank On Yourself grows your savings both predictably and guaranteed… even when stocks, real estate and other investments tumble
  • How it can beat the pants off your best saving or investing method
  • How the kind of policy used for Bank On Yourself is different from the ones Suze Orman, Dave Ramsey and 99.9% of all financial representatives talk about
  • Why it’s an excellent alternative to traditional retirement plans
  • How you can use it to get back what you pay for major purchases
  • Where to find the money to get started

After you watch the video, I’d love to hear your thoughts and feedback – so please speak your mind below.


  1. Good viedo but you dont explain how the policy is guarantied to not loose money. also is this a rider that allows the policy to be accellerated?

    • You receive a guaranteed increase every year and all growth, once credited to the policy, is locked in. And, yes, a portion of your premium goes into a rider which significantly accelerates the growth of your cash value.

  2. The video sounds good and is intriguing but I have no idea how it would apply to my wife and I (both 76). I also do not understand how you can guarantee anything in light of the financial calamity that looms ahead for our nation. Believe me I am not all comfortable with my IRA which is currently with Edward Jones (American Funds)

    • The insurance companies used for Bank On Yourself are some of the financially strongest in the world. They are legally required to maintain sufficient reserves, they can’t leverage themselves like banks and investment companies do, and there are safety nets in place.

      My mentor recently started a new policy at age 75; so age is not necessarily a barrier. To find out how you may benefit from a plan tailored to your unique situation, request a FREE Analysis here.

  3. Very interesting, well done, and thought provoking. Thank you for providing viable alternatives to financial planning for retirement.

    J. Eurich

  4. Pamela,

    Excellent job on the video. It is clear, concise, yet thorough as an introduction to the Bank on Yourself Program and concept. If this doesn’t convert skeptics, nothing will. Job well done!

    Tony Saldin

  5. Hi Pamela,

    Excellent info to further the explanation of the ” Bank On Yourself” plan. I have read the book – just once but plan to read it over again- and have signed up as a customer. I’m just waiting to be approved for the insurance now. Can’t wait to get the ball rolling so that I can see my small pension grow instead of lose value as I have truely seen it do in the past 6 months. After about 6 months in, I may be interested in becoming an advisor (my advisor is David Biondo). What is necessary to embark on this journey? I’d like to get that answer from you, please.
    One more question. Will you be doing any seminars in the Washington, D.C. area? I missed the one in Denver. Thanks for sharing this wonderful, little known information with everyone.

    • Congrats on starting to Bank On Yourself, Valda!

      You can learn more about the Bank On Yourself Professional program here. In general, you must have at least one year of full-time experience in financial services to be considered for the program. However, some Professionals will agree to mentor inexperienced people, so check with your Professional on that.

      I don’t have any seminars scheduled at this moment – after my whirlwind book seminar and promotional tour, I needed a break! But if I decide to do more in the spring, we’ll let everyone know when and where.

  6. I thought the clip was to the point and was a quick listen. The cost to start was a little vague as I am sure there must be a minimum at least. I would have liked to heard more on what one would need to do to become an advisor.

    • You can start at whatever level is comfortable for you. See my answer to the above post regarding becoming a Bank On Yourself Professional.

  7. Interview is informative. My wife is hesitant for me to do this. Seems the talking heads have convinced a lot of folks to stick with mutual funds etc. I had1of these type of policy unknowing to me and I listened to talking heads and put in mutuals. Fortunately I removed 98% back in o8. I am trying to educate my wife by forward your clips to her. I hope she will view this. Oh yes if I had stuck to the policy since 1997 it would be very handsome and jumping out front right about now. CRJ out

  8. This is exactly as the powerpoint shows. I first heard of this early on morning while going to my “W2” J.O.B. I was so excited just from what I heard on the radio, I went to this website to learn more. I subscribed to the “report” and this only fueled the excitement. I was ready to stop all of my investments this included my 457, Roth, ING etc. I knew I had the “money” I only needed to redirect it! So I was put in contact to Chip, we went over the questions, and actually we couldn’t start fast enough!

    Her report made complete sense to me I wanted my husband to read it since this would impact our household finances. He agreed to the report, I orded her book which was full of example of countless peronalities, incomes, age, backgrounds! It also showed how many of these people have upwards of 12 different policies!

    If you have doubt, have faith…get the report, and move forth!

    Thanks Pam for sharing this information with the world!

  9. I like you short video, it explains it better than I have been trying to do for friends and family. We like our Bank On Yourself plan. Looking forward to starting another one.

  10. this “little known” mystery type of policy makes me wonder why you keep it a secret.
    Where does your fee come from? I am 59, no 401K or the like, little savings. How could I fund this? And, exactly what is it I would be funding?

    It sounds good but the unknowns…well, I wonder.

  11. I’m a video producer and actually thought this was an economical and effective way to communicate your message. I got my start in radio, so I do have an appreciation for sound vs pictures, but still, I thought this was effective. I do think that somewhere down the road you should allow your viewers to see you. Meanwhile, I’m still waiting to be approved for the insurance policy and for my advisor to put together my plan. I’m looking forward to seeing the results of the BOY plan.

    • Thanks for the feedback! And I’m actually working on a new, comprehensive video presentation which will include me talking on it, plus graphs, etc.

      And congrats on starting to Bank On Yourself!

  12. The video was short in length, concise and well organized, and the language was clear and easy to understand.
    I have no objection to the words on the screen, but I would very much have liked seeing you talking about it as well. I would also have liked a graph or other visual image as well.
    This is very good for introducing the idea so that someone has a chance to see this as something worth considering.
    Personally, I am still struggling with understanding it well enough to feel comfortable committing. I am more concerned about what the down sides or dangers are. I could use something that told me all the hard truths in an equally clear and concise manner. I am not just risk-averse at this point. I have a case of risk-fear. I wonder where the risk is when I don’t see it. I want to know exactly where that sucker is so I can keep my eye on it all the time.

  13. I liked the video’s information and I like the Bank on Yourself plan and I am already working with an advisor. To be honest and give my opinion on the video itself, I think the video’s information is great, but I thought the “acting” of the video sounded a lot like the bad acting in mattress commercials or infomercials. I’m sorry to be critical of it, but that is my estimation of it with the hopes that it could be improved upon. I think it would be more real to people if the talking was more natural.
    Also, my advisors gave me the book “Becoming Your Own Banker” and that totally explained the whole thing in a way that I really got it. I feel the info in that book is vital to the understanding of the plan.

  14. I liked the video and thought it was very thought provoking. After seeing my 401K mutual fund lose money every year (and most of my money was in the ‘safe’ accounts) I was looking for something a lot more predictable. So, learning about Bank On Yourself has gotten me excited about building a predictable nest egg for a more secure and dependable retirement. In this nutty economy of ours this is the only retirement plan that makes sense, especially to those who do not have the inclination to continue risking precious resources in so many other volatile options. Thanks Pamela, for sharing a great idea whose time has surley come!
    Dale A. Babbitt

  15. Great Pamela! A nice recap of the book. I’ve just sent my application in to get started. Jim Conrad is my adviser. I just got word that my job may be a thing of the past. But Jim thinks we can still go forward with the BOY plan. Oh yes, I read the report Nelson Nash did. Interesting that he’s not far from me – Birmingham.

    • You’re in good hands with Jim. There are ways to structure a policy with great flexibility. So, if there’s a way that makes sense for you, Jim will help you figure it out.

  16. I think this spot will generate a lot of interest as it goes into more detail into how the concept works, as opposed to a thirty second radio spot. I was reluctant to sign up for a conference with an agent after first hearing about the program on the radio before doing a little research on the concept on my own–in fact, it was over a year before I actually did sign up. I believe that had I heard something like this, I might have done it sooner. Some of us like to know the details in advance, if possible, and if a plan is for real, why not give up as much as possible?

  17. Very good and informative video.
    What would help is if a person could put in a lump sum and ‘let it ride.’ I currently am under-employed but have saved up some money. Pamela told me I needed a steady job. My impression is that you need to have a good paying and stable job to get into these programs. If there is a loop-hole around this, I’d be interested in hearing about it. Thanks!

    All the best,


    • There are a number of variables that come into play, and, there are some options that allow you to front-load the plan. I wouldn’t count yourself out until you’ve had an Analysis done by an Professional, because it sounds like there may be some options for you. The Analysis is free and there’s no obligation. You can request it here.

  18. Good video. Only one thing that would help people understand what happens when you borrow on you policy. The way I understand it is when I pay my self back I still pay the premium amount plus the monthly loan amount? So if this is correct you should include it in the video.

    • It was briefly covered. But here’s an easy way to understand this – if you were funding a savings or investment account for your retirement, and you took a loan from a finance company for a new car you needed, would you stop funding your retirement account while you’re paying back your car loan?

      A big difference is that if life throws you a curve ball while you’re paying back a loan you take from your policy, you can cut back or skip some loan repayments. Try doing that if your loan is from a bank, finance company or credit card!

  19. Pamela.

    As an 88-year old man with modest but monthly surpluses available, I have been looking for a good place to accumulate resources for my wife, daughter, and granddaughter for the coming years. I have started the BOY Program. I have it set up with full joint ownership with my wife, and with my son-in-laws as the insured (ny daughter is a diabetic), and my 13-year old granddaughter, who is very special, as the beneficiary. I have paid the annual premium to permit early usage of the borrowing provisions. Although not yet sure that it is possible, I wish to make monthly deposits of my surplus so that sufficient funds will be avalible on the next policy anniversity to pay the premium from the net asset vaulue of the policy.

    Eventhough the video was helpful in understanding the concept, I found it somewhat lacking in the varuety of ways the plan apparently works. Bruce McCracken

    • Sounds like you are doing very good things for your family. Paying the premium annually does give you access to more equity sooner. Your Bank On Yourself Professional can assist you with your other questions.

  20. Not sure this would help a 56 year old with income down 60% and a huge loss in the market.
    Sound video was good. I suggest working on a live visual presentation.

  21. Nicely done video, Pamela. I am a “banker-on-myself” already and am sold on the program. One thing that you need to mention in the interest of full disclosure is the fact that premiums must be paid on the life insurance that is purchased, so it takes time for exponential growth to take place. Also, I think you should make clear that the insurance company does charge you interest on loans taken from your account.
    On the positive side though, you should also point out that payment of interest and dividends on your account will outpace the interest charged on loans, and you can pay them back at any pace, thereby controlling the amount of interest paid on them.
    I think a thoughtful person would benefit from seeing the kind of presentation given to me by my advisor when I contacted him expressing interest. You could use a generic example and make it clear that every situation is different, but it could be a representative example. I think that would have convinced me much sooner to call.

    Don Wilson

    • Thanks for the feedback and suggestions.

      You are correct about the fact that the policy owner ultimately benefits from the interest paid on policy loans, as explained in detail on pages 68 and 69 of my book.

      I also explain in detail in the book the exponential nature of the growth of the policy and how you could have as much as 40 times more cash value in the first year in a properly-designed Bank On Yourself-type policy, than a traditionally-designed whole life policy on pages 82-84.

  22. Hi,Pam, I was sold on ypour system long ago, but I learned too late after having stents inserted in various parts of my heart, thus rendering me uninsurable and your rep, forgot his name, didn’t have any remedies that sounded workable. So my input would be a waste of your time. Thanx Alan jones

    • Being uninsurable isn’t necessarily an obstacle to using Bank On Yourself. You can have someone else you have an “insurable interest” in be the insured, such as a spouse, child, parent, business partner, etc. I assume your financial representative looked at these options with you, and I’m sorry if it didn’t work out for you.

  23. I enjoyed the presentation of the concepts of BOY, and from my own experience, I know that it does work if one takes the initative to begin and follow through with their individual program. The video could have been more effective if there were visual examples of a BOY policy provided, as most people tend to more readily understand and retain financial information presented in this manner.

    Having been an email subscriber of BOY for a number of years, I always felt I was ahead of the pack in being proactive with my investment opportunities, and now that my wife and I are retired, we are enjoying the benefits of the financial choices we made…… some adopted from information you provided. Thank you for sharing .

  24. I very much what I have seen and heard. I have been in the life insurance business for over 30 years. Nice to see this direction. Would like to receive the info on being an advisor. Requested info over a month ago and still have not heard anything. Guess you are busy!

    • We’re busy, but never too busy to follow-up! All applicants to the Bank On Yourself Professional program receive a prompt response by email. Unfortunately, some emails don’t go through. However, I understand you have now heard back from the person who handles applications for that program.

    • That’s kinda’ like dismissing a woman’s concerns by saying she must have PMS.

      Although some skepticism is healthy, given recent events, the Bank On Yourself product and method has been around for hundreds of years! If it was a scheme or scam, don’t you think it would have come crashing down by now if it was a “house of cards”?

  25. The video of charts showing the words being spoken certainly leaves no doubt about what is being said.
    I would like to see the example being used to illustrate how Bank On Yourself works put in graph form. I believe it would be a powerful demonstration of the difference between the various methods of financing a purchase.
    I have started a Bank On Yourself policy for myself ( begun at age 69) and it is working just the way you said it would. I was able to use it to purchase a new car after being in the plan for just four years.
    I worked with a Bank On Yourself Professional and it has been a most rewarding experience. Thanks for bringing Bank On Yourself to a “needy and eagerly awaiting world”.

  26. I thought the video was very informative. I wish had had extra funds to get it started. Just filed bankruptcy.

  27. The video is well produced but lacking in any “real” information. Also, while there is reference to the “training” your advisors are supposed to have taken, there is no explanation as to the licenses they may hold, and no reference to the states in which this program may be authorized to “sell” a policy or plan (which words are used fairly interchangeably in the video). Also, while I accept that all I have done is view the video, there is no explanation how a person could “remove” money from the plan (or is it a “policy”?) and yet not have your firm reduce any earnings since you wouldn’t have my “money” to invest (hence no earning potential) while I was using it: that seems very unreal and lacking in any financial credibility. Overall, the presentation is geared to a high level of “trust us, we know how to do something only 1500 people in the country know how to do.” Sorry to say, I remain a skeptic.

    • As you can imagine, I can’t possibly cover all of that in a 10-minute video. Your questions about the training and licenses by the Bank On Yourself Professionals are answered here. And I covered in great detail the very simple, logical reason why you can borrow equity from the policy and have it keep earning the exact same cash value and dividends as though you hadn’t borrowed anything on pages 68 and 69 of my book.

  28. The video was a very good snapshot of the BOY program. I have read the book and the only thing left to do is the analysis and finding my advisor to get started. I’m impressed and am hoping to see the results come true. Thank you for changing my life coming up. Mark.

  29. This concepts works very well! I have been living this way for the past 3 years and have purchased 3 vehicles and quite a few business expenses through Bank on Yourself. It’s awesome once you start living this way! You owe nobody but yourself! It’s a very comforting way to live! I have 6 different policies now and am planning on more. You owe it to yourself to listen to an advisor and just let him explain it to you using your numbers not someone else’s.

  30. This sounds much like a program of universal life insurance where you build cash value and keep reinvesting the dividends. you can borrow against the policy in the amount of the cash value, and repay yourself with interest instead of borrowing money from the bank and paying them back. Am I right?? Is this just universal life insurance being sold by BOY “advisors” that are really insurance agents that make a commission with guaranteed commissions as long as the client is in the program? And then I have a question about this being a multi-level marketing program or sorts?

    Ron Kasteler

    • No, this is not universal life. No other life insurance product comes with as many guarantees as whole life insurance, and it’s the only product recommended for Bank On Yourself. Bank On Yourself Professionals take a 50-70% cut in commission in the first year designing a policy this way, and receive a very small residual commission during subsequent years.

      It is not a multi-level marketing program of any sort. You may be confusing this with another company that jumped on the bandwagon around the time my book hit that best-seller list that does recruit agents into a multi-level marketing structure.

  31. Very informative and easy to understand. Being 80 yrs old and extremely hard of hearing, it would be helpful if you had a video spoken by a male or lower voiced person. I find it difficult to understand some of the items you discussed when the written words didn’t cover what you said.

    Neil Barnes

  32. I will have a meeting with a BOY agent tomorrow, so hopefully I’ll get some more answers to the “recapture” of the purchase price of items. If you purchase a car via BOY, then to truly recapture the price of that car your cash value should grow as much as the amount you paid back the loan PLUS any interest your CV earned and dividends and CV growth from premiums. That is true recapture! This recapture seems almost too good to be true. BOY is still good based on other benefits even w/o this recapture.

    What I know so far is that this BOY requires:
    A mutual whole-life insurance that pays dividends,
    Has a FLEXIBLE paid-up addition rider where you can pay all, partial, or more
    Has guaranteed earned interest
    Is from a company that has excellent ratings
    The company existed for more than 70 or 80 years.

    You can always purchase the life insurance on someone else, but you are
    the owner.

  33. I forgot one more important thing the BOY needs:

    The insurance company must be non-direct recognition.
    That means when you borrow a policy loan, your CV still grows and you receive dividends as though you did not get any loans. Now that is nice.

  34. The video was nice. The problem I have is you do not mention any of the insurance companies that will sell this type of policy. Most companies give you interest only on the cash value portion of the policy not the the death value of the policy.

    • Since I am an educator only, not a licensed financial representative or insurance agent, I am not able to recommend specific companies. That is the job of the 200 or so Bank On Yourself Professionals.

      You are correct that you receive interest on your cash value. The dividends, however, are calculated based on the death benefit, not the cash value.

  35. Pam,

    I thought dividends are “return of premiums”, so they are dependent on premiums
    paid and number of years with policy. So if I have $1M of coverage but only paid in
    $10K in premiums so far I would get less dividends than someone who has $200K
    coverage, but paid in $30K in premiums.

    Am I missing something here?

    • The dividend scale is determined by a number of factors – it’s not quite that simple. The Bank On Yourself Professional you are working with can show you a dividend projection for your policy that would be based on the current dividend scale.

  36. Veritas, sempre veritas….

    The video is disapointing. You promise further information, and then present a re-hash of what you have already covered.

    There was no new material offered.
    It was a waste of my time.


    • I only promised an overview of what’s been covered elsewhere, but in a short video format. I never said this was new or “further” information. Me thinks thou doth protest too much!

  37. Is BOY anything like what the company World Leadership Group (WLG) is offering? I was given a presentation in 2005 that sounds very similar to BOY. The company was Life Insurance Company of the South West and the product is Equity Index Universal Life.

    • Equity Indexed Universal Life (EIUL) is NOT the product used for Bank On Yourself policies and is not appropriate for it. No other life insurance-based product comes with as many guarantees as whole life.

      I challenge anyone who believes EIUL can even come close to doing what a properly-designed BOY policy can to take the $100,000 Challenge here.

  38. I am very interested and have scheduled a free review with BOY Professionals. My wife is very hesitant though. She is afraid that you guys may charge too much in commissions.
    1. Please shed some light on commissions
    2. Typical expenses in %
    2. You opinion concerning using **fee-only life insurance advisor.


    • Hi Mike,

      I can understand your wife’s skepticism.

      As explained in my book and on my website, Bank On Yourself Professionals take a 50-70% cut in commissions when they design a policy this way. And your cash value grows up to 41 times faster in a Bank On Yourself-type policy then the traditional kind most experts and Professionals talk about.

      Like buying a couch or TV, the cost of sales and manufacturing are already included in the price (in this case, the premium). So when your Bank On Yourself Professional does your Analysis, those will be your bottom-line numbers and results.

      It’s not like buying a mutual fund, where you have to factor in the expenses after the fact, and it’s not like saving in a 401(k), which piles numerous fees on top of that – many of which are not listed in the prospectus – and can eat up to half your gains over a 30 year period (Source: Exposé on 60 Minutes, April, 2009).

      I am not aware of any Bank On Yourself specialists who work on a fee-only basis. And the company would still be paying someone a commission.

      I strongly urge your wife to read my book, if you haven’t already. It’s available here for a 35% discount.

  39. My wife and I are reading your book “Bank on Yourself” and are preparing to start a B.O.Y. plan. Thank you for a financial future that not only will allow us to fund the children’s college, but save for our retirement and so much more!

  40. Hi

    I purchased and read your book yesterday (B&N only has hard cover). My wife and I have a meeting with BOY Professional in near future.

    *Many people are concerned about the cost of life insurance, but, I don’t see anybody complain about the cost of mutual funds. I figured out that last year (2008) I paid close to $11,000 in mutual funds fees even though I lost money. Not to mention cost of 401/403 and IRA’s. Basically, I am paying around 1.6% in costs, and over all dollar amount paid in fees will increase each year as my retirement funds grow. Frankly, I should be able to pay premiums and obtain a decent whole life insurance for the cost I pay to mutual funds every year.

    I have done a lot of research on this topic and no one, including you, highlight what I feel is a compelling reason to deposit/invest/secure portion of ones savings into whole life insurance.

    Secondly, are loans from cash value tax deductible (in any circumstances)?

    Appreciate your thoughts.

    • I actually have talked about the effect of mutual fund fees charged on 401(k) plans, which significantly reduce your returns, on top of giving you a return that’s completely unpredictable.

      The costs of a Bank On Yourself policy held for the long-haul runs around 1-1/2 percent a year so, according to the breakdowns I have seen. But what people like even more about Bank On Yourself is that all the costs are already included in the premium. So, when you get a Bank On Yourself Analysis, as you are doing, you will be looking at the bottom-line numbers and results – with no surprise fees tacked on later.

      When you review chapter 11 of my book, you’ll see that interest paid on loans used for business and investment purposes can be tax-deductible (consult a qualified tax advisor, of course).

  41. Hi Pam,

    I found the video you did informational. I have read your book and R. Nelson Nash book, but I do have some concerns. For one I read some of Dave Ramsey’s material and he is strictly against buying cash value life insurance. In his book he said cash value life insurance is one of the worst financial products available. He said the expenses and commissions disappears for the first three years and after that the return will average 2.6% per year on whole life, 4.2% on universal, and 7.4% on variable life. He said a recent article in the National Underwriter, show charts of returns from 14 national companies shows an average 20 year return of only 6.29%. He went on to state that the savings do not go to your family upon your death; they get the face value of the policy. He said mutual funds would give you an average of 12% return in the long term.

    Could you please clarify!

    • Hi Horace,

      Are you sure you read my book? Because on pages 75 – 84, I go over in great detail how a Bank On Yourself-type policy is different than the kind Dave Ramsey, Suze Orman and the others talk about.

      And on this blog, I even show examples of my own Bank On Yourself-type dividend paying whole life policies that PROVE Dave Ramsey isn’t even talking about the same kind of policy. These policies HAVE cash value in the first year (actually in the first month!), and they demonstrate how you can get the equivalent of both the death benefit AND your cash value – sometimes even more!

      The average returns on policies he quotes from the National Underwriter are, again, returns for traditionally-designed whole life policies, not the super-charged variation used for Bank On Yourself. These policies are designed differently and include one or more riders specifically designed to put the growth of your cash value on legal steroids.

      But let’s take the “only 6.29%” 20-year return you mentioned, and also keep in mind that you can take an income stream from the policy with little or no taxes due, under current tax law. So you’d have to get an 8% or more return in a taxable account to equal that (depending on your tax bracket).

      Given that this is achieved without the risk or volatility of stocks, mutual funds, real estate, or other investments, why would any sane person sneeze at that?

      On the other hand, if you have followed Dave Ramsey’s advice and invested $10,000 ten years ago in a mythical fund that was supposed to “give you a 12% return in the long run”, today your $10,000 would be worth about $7,500, and inflation would have taken an additional 30% bite out of it!

      Sheesh! Where do I sign up for that deal?!?

      You would have done better stuffing your money in your mattress and you could have skipped the sleepless nights.

  42. I read your special report and viewed your slide show, and quite frankly what details are you hiding. I still have no explicited idea about this product other than it is a life insurance policy from which you can borrow against. If you pay the money back, the policy pays dividends on the amount that has been paid in and if you do not pay back the loan, the death benefit is reduced. Instead of talking all around the program and trying to lure people into the plan, you should trust the product and smart people will figure out how good of a product it really is , if indeed it is. Your presentation reminds me of our current Health Care Debate in Washington. All the politicians say this is the best thing since slice bread, but they can not explain the details. Old saying, The Devil is in the Details?

    • My report is only supposed to be an 18-page summary of the concept, as is this 10-minue video overview.

      I go into great detail about the specific type of life insurance policy used for this – and how it works in – in my best-selling book, particularly in chapters 4-6.

      If you sincerely want to know these details, you’ll read my book.

      If you’re not willing to do that, I can’t help you.

  43. i don;t consider this a video; as it is all talk; you keep everything a secret. Much like Obama is doing with his Health Care. Just trust me. I am doing right for you???
    Tricked mirrors. If you don;t come out with the whole truth; people will be very suspicious; you know what i mean. I was in the insurance business for 30 years and I can’t figure out your little “secret” Makes me wonder. Was i that ignorant all that time???
    For this old timer; Pam’s voice was a little hard to hear at times
    Steven Studer

    • Please see my response to a similar comment made above.

      And the simple answer to your question about whether you were “ignorant” during your 30 years in the insurance business is, “Yes”

      But it’s not your fault. Neither this product nor the concept is taught in the industry training programs people take to get licensed.

      And, again, the details are spelled out in depth in my best-selling book, which is oriented to the lay person.

      Financial representatives who wish to learn how to design and implement these plans properly can apply to be accepted into the Bank On Yourself Professional Training Program.

      This involves extensive and rigorous training.

  44. Pamela, I thought the video was very concise – I made my husband (he is a little hesitant) sit and watch it, so I didn’t have to try to relay and translate. I am reading the book and then will schedule my appointment. I know that in 2011, economical havoc will reign. I am trying to figure out how to redirect and keep what we have saved – and pay myself! Thank you!

  45. Insurance products have always intrigued me. I have insurance for one reason -if I die it goes to my family. I never considered it an investment in anything but “peace of mind”. Mutual funds, IRA’s, 401k’s and the like all have fees, tax consequences, and of course risk. All investments must have some inherit risk, even this one, I suppose, and some form of taxation. The “money in the mattress” scenario even has risk -fire, theft, loss, inflation, etc. So it is prudent to do “something” with your money. Your presentation is concise and the responses here appear real. I know I would have to read your book to fully understand this concept, and that is just a matter of buying a book. The “loan” aspect makes sense for purchases. But where is the potential tax liability in this type of investment as regards retirement? I’m sure there are many scenarios, so perhaps just an example of one, or a generality. Thanks.

    • It is possible to take an income from these policies at retirement with little or no tax consequences, under current tax law. This is done through a combination of dividend withdrawals and loans against your cash value.

      If you’re wondering what would happen if the tax laws changed, the answer is that you’d still get all the many other advantages and guarantees of Bank On Yourself – the tax advantages are just the icing on the cake.

      Check out the 18 major advantages and guarantees of Bank Of Yourself.

  46. Hi. I have read your book and spoken to an adviser for my analysis. I am waiting for an other interview but have not had it yet. I like what I have seen so far but I am concerned about not being able to fund it. The video is good and it gives a good over view. Reading the book is the best way to get the whole picture. Thanks Jim Abrams

  47. I felt the video was generally good but seemed way to rehearsed and set up. It was as if the questions were mechanical and not spontaneous in the least.

    If it were natural and reactive, then logical questions would have or should have been asked such as having Pamela expound a bit on the loans or so called borrowing that all one to take car of the car thing or vacation thing and still have your money grow. Borrowing normally encompases interest owed on the loan and that interest typically grows until paid. This is glaring!

    The fact that a glaring issue that is introduced to the listener, but then not logically brought to it’s conclusion when this video is supposed to address for said listener what Bank on Yourself is in a nutshell leaves me unsatisfied.

    Outside of that the video was a decent marketing piece.

    Sorry if my critique seems a bit harsh but you asked for honesty and I am being honest.

  48. I have several questions but I am wondering why one would need several of these policies.Why can’t the original policy be added on to instead? Videos are nice but what is printed can be read over and over if not understood.I have to agree with some of those who commented that it does sound somewhat secretive. I am elderly and have had stents and bi-pass surgery so it appears I would not be eligible. I guess although you are giving advice as to how Bank on yourself works it appears you are holding back just enough information so people will feel the need to buy your book. Right?

    • You don’t have to read my book, but it will certainly give you more information about this product and method. If you want to understand it more, then why wouldn’t you read it? Especially since the paperback just came out and is available on this website for only $9.95.

      If it turns out that you are not insurable, you can have someone that you have an insurable interest in (family member or business associate) be the insured, as explained in my book. What’s important is that you own and control the policy.

      Once a policy is issued, it is difficult or impossible to “add on to it”. And, as your circumstances change, and you see the power of Bank On Yourself, people often want to start additional policies. However, a properly designed Bank On Yourself-type policy does give you quite a bit of flexibility to add additional premium.

  49. I am half way through reading the book, I really like what I have read. I am eager to get started. I hope that I can find a plan that will fit my budget right now. Keep up the good work Pamela. Thank you Ruby

  50. Maybe I am one of those individuals who are too skeptical to believe that something so beneficial can actually exist and very few people are doing it. It sounds too good to be true.
    I just received the book. I hope it will enlighten more as to the details of how the
    Bank on Yourself system works. When this happen, I will have the confidence that I need to change the old ways of investing.


  51. Hi,
    sounds very interesting my only concern is that the new health care bill is going to run insurance companies out of business, what happens to your investment if this happens?


    • The companies used by Bank On Yourself Professionals are not in the health insurance business at all, and are not affected in any way by the health care bills.

  52. Almost every answer is “request a free analysis” but that requires everything about me including ssn, investments, etc. I don’t give this info out to strangers.
    At my age (64) I already know that life insurance is very expensive, and a rider to feed “savings” will only make it that much more expensive. I am so skeptical of everybody and every plan (including what I am in) that I am paralyzed into doing nothing. I simply cannot afford to lose or give away anymore.

    I already know your response: “request a free analysis”

    • 64 is a great age to start to Bank On Yourself. The rider that “feeds” the savings does not make it “more expensive.” Most of this rider – no matter what your age – goes to increase your equity in the policy.

      Bank On Yourself Professionals have the same responsibility to keep your financial data confidential that health organizations and financial institutions have. They will not make recommendations without knowing your circumstances – that would be malpractice.

      Staying in a plan you’re not happy with because you’re paralyzed in making a decision is still making a decision. I can’t help you if you won’t help yourself.

  53. When you take a loan from your policy, the insurance company is going to charge you interest. This interest will be higher than what the money will earn in interest/dividends. So when you repay yourself, you must pay insurance company the interest first and on top of that, you try to pay yourself some interest. So you would have to pay a rate a lot higher than the going rate.

    Buying additional optional paid-up insurance: Doesn’t the insurance company charge you a load? I think it is usually 3%.

    • The interest you pay on policy loans ultimately benefits the policy owner, as explained on pages 100 – 103 of my bestselling book. Yes, there’s a small load for the Paid Up additional insurance – it is, after all, buying you some death benefit, even if it is at the lowest possible cost.

  54. Hi Pamela, I am so eager and interested in the BOY plan when I started to read the book. I was able to get an appointment and am now waiting for some tests to be completed so I can get started. It seems to me a godsend especially as I am considering on when to retire. I am looking forward to getting the plan and enjoying its many benefits. Thank you for this.

  55. Your presentation was very interesting. As with any complicated proposal, it resulted in more questions than answers.

    The next step is to read “the book” and get a personal analysis.

    Thank you for the presentation.

    • I’m not familiar with the “7702 Private Plan.” However, I do know that many business owners use this as an “Executive Bonus Plan,” as outlined in IRC Section 162.

  56. This presentation was executed in an exceptional manner. Please consider providing more visual slides to enhance and provide more specifics about the plan. Thank you for this alternative style of preparation for retirement because the economics of our country look to be devoid of actual viable infrastructure and foundation. I will need to try and read your book in the near future and request a free analysis. I would like to ask you a blunt question. How can a person become an advisor in this selective field? It sounds like a very honorable and promising career opportunity.

    • Thanks for the feedback!

      Being a Bank On Yourself Professional is very rewarding, but it’s also very challenging. It takes even most experienced Professionals a year of full-time training and experience. In general, people without one year of experience in life insurance and financial services aren’t accepted into the training program. You can learn more here about the program and requirements.

  57. There is no mention of fee’s or a fee structure. How much is charged either up front or over time to participate in this program?

  58. I watched the video. Nice words, but characterized by vague and general comments. What I want to know, where do you invest the money that is collected through this program and where can you get guarented results? Economics 101 dictates that you must invest the money somehwere where the return is greater than that which you are paying out. Otherwise, there is no reason to be in business and regardless of your flowing words, this is a business to make your company profits.

  59. I watched the video after reading your book.
    Bank On Yourself beats the returns of a CD? Where do these better than bank interest rates returns come from?

    Thomas Ottesen asked where the insurance companies invest the money we give them that they make so much on their investments that they can afford to give us such a good return on our investment in them. The link you provided did not answer this question.

  60. Each and every experience I have had since I read the book [Bank On Yourself by Pamela Yellen], has been mind blowing to me. Examples; Office Manager – [of the Bank On Yourself Professional I was referred to] has been very professional, very knowledgeable and very timely too, while exchanging & helping me with A High Quality of Customer Service that is not normal in today’s business world. My assigned personal Professional, is also giving me the same high quality Customer Service, too. And, I have also received A Very Powerful Fact Based email from Pamela Yellen herself that just made me know that I want to become part of this Family of Solid Truth Loving and Caring Professionals, immediately if not sooner.

    Now, you must understand, I have had such mind blowing experiences with these people even before I expressed an interest to purchase BOY. Therefore, I am doing my utmost to continue moving forward asap to actually work with my personal Professional and purchase BOY, immediately if not sooner.

    Now, having ALL of the life changing information from the book plus un-believeable pleasant experiences from every person connected with BOY, I am more excited to get started than a child is to get started on Xmas morning.

    Most Sincerely,
    Bob Murphy

  61. the program sounds very promising but i have alot of questions to be answered before jumping in with both feet. cost being the very first one. how the program works in detail would be the second. in most life insurance policies a monthly cost is paid.

  62. Hello Pamela,

    I just signed up for my first Bank on Yourself policy with the agent you sent to me. I was wondering why people buy so many policies? I heard you have more than 80 policies! Is that true? And why?

    • Congrats for getting started!

      I think there may be an urban legend building about me – I actually do only have 19 policies. The reasons for starting multiple policies include:

      • The only regrets most people have about Bank On Yourself are that they didn’t start sooner and didn’t put more into their plans.
      • Once they experience the power of this, they start additional plans, especially as their income increase. This lets them reach even more of their goals and dreams, faster.
      • Having multiple polices can give you more flexibility, especially when it comes to taking retirement income from the policies – that’s more detailed than we need to go into here, but I know I don’t plan to use all my policies in the same way.
  63. Hi Pamela! Good intro, although I agree with the earlier comment that your questioner detracts from the presentation–she (in my opinion) is over theatrical, whereas your demeanor was appropriate for what, for us newbies, is a serious subject. By the way, I’m 71 and not very tolerant of too much hype.

    I’ve read your good book. Some great success stories in it–but too many such stories me thinks. So I skimmed in a few places trying to get to the nuts and bolts, technical chapter. As you know, there isn’t one. I would have liked fewer family examples and more policy illustrations. For example, I’m not sure why PUARs “supercharge” policy cash value, which obviously means I didn’t understand page 65. Maybe in the next addition, you will consider including a technical appendix for those of us who like to wallow in numbers.

    I’m looking forward to working with my advisor, who has now been identified for me in Charlotte, NC. Haven’t spoken to him (or his assistant) yet, but they are on top of trying to establish contact. Thanks for such a quick organizational response. That was very impressive.

  64. I do not understand how you recover the interest and principle when you take a BOY loan. To me it seems like your policy would grow by the same amount whether you borrow money or not.

    My BOY policy has cash value, and a death benefit.
    I can borrow money from the general fund of the insurance company.
    I can’t borrow the full amount of the cash value, but the amount that I can borrow is determined by the amount of cash value in my policy.
    When I borrow from the general fund, the amount that I borrow plus interest must be paid back to the general fund. The interest rate is not fixed. It may go up or down each year.
    The loan plus interest is either paid back by me, with a payment arrangement of my own choosing, or the interest is added to the loan amount each year and the total is paid from the death benefit when I die.

    The insurance company pays dividends.
    The amount of the dividends is the same if I borrow from the general fund, or if I don’t.
    The amount of the dividends is not affected by the amount I borrow, or how I pay it back, or if I don’t borrow from the general fund.
    If I don’t borrow from the general fund, the insurance company invests the money somewhere else, and still pays the same dividends.

    My reasoning goes like this. Please tell me if I am correct.

    Neither my cash value nor the death benefit nor the dividend is affected by if I borrow or don’t borrow from the general fund. What does make these things grow is if I keep buying more paid up addition riders.

    If the amount of the dividend is X% and the amount of interest charged on the loan from the general fund is also X%, then the cost of the loan is nothing. If the dividend is X% and the loan from the general fund is (X+2)% then the cost of the loan is 2%.
    If I find a loan somewhere else for (X+2%) then the net cost would still be 2%.
    If I could find a loan somewhere else for less interest than the general fund charges, then it would be cheaper to get the loan from there.
    I would still get the same amount of dividend.

    The only advantages I see with a loan from the general fund is, it’s very easy to get the loan, and there are no hidden costs or late charges, and you can pay it back when and how you want to without messing up your credit. Also it may be less interest than you would pay elsewhere.

    • Some of this is correct and some isn’t. Your cash value available to borrow will be reduced by the amount you’ve borrowed against. And your death benefit is used as collateral for loans, so it would be affected if you borrow from the policy. (However, the death benefit increases because of the PUA’s.)

      In theory, you could come out ahead if you could borrow at a lower rate than you can from the policy. But these policies typically have better rates than those that are commercially available AND the method of charging interest is far more favorable.

      You’re also assuming that it’s a good thing to be paying interest to finance companies. Call me crazy, but I’d happily pay a few percent more interest to cut the finance company out of the deal, and to have full control of the payback schedule.

      Especially when the interest I pay all ends back in my policy, as explained on page 100-103 of my best-selling book.

  65. At a 56 year old 100 lb overweight male, I’m wondering 2 things. Is the life insurance too expensive and is there enough time to allow my cash value to grow to a large enough amount to be helpful.


    • Believe it or not, at 56 years old, you’re in the “sweet spot” for policies that grow most efficiently.

      But you’ll need to talk to a Bank On Yourself Professional to see how the extra 100 pounds will affect your policy rating and/or whether it makes sense to have someone you have an “insurable interest” in (spouse, child, parent, grandchild, business partner) be the insured. You could still control the policy and the money in the policy.

      You’ll get a referral to a Professional when you request a free Analysis.

  66. Everyone always advertises the upside making this and other programs sound like “who would not do this?!” Please be honest and explain the downside to this.

    • The downsides, as I explain in chapter 5 of my best-selling book are…

      • 1. The Bank On Yourself method is the tortoise, not the hare. In our instant-gratification culture, that’s a tough one for many people who are still searching for a magic bullet.
      • 2. There’s a start-up phase – if you decide to cancel and cash out your plan in the first couple of years, you won’t get back every penny you put in. The start-up phase is a one-time requirement that pays a lifetime of benefits.
      • 3. There are going to be times when you feel left out. There’s ALWAYS going to be some hot investment that everybody’s jumping on. So, when your friends start bragging about the killing they’re making, and your nest-egg is growing steadily, securely and predictably, you may feel left out.

      And that’s all the downsides I’ve found.

      And my $100,000 cash reward to the first person who can show they use a different product or strategy that can match or eat Bank On Yourself still remains unclaimed. Take the Challenge yourself, if you’re still skeptical.

  67. I read most of your book and find it very interesting. You made my decision to purchase a similar policy from Northwestern Mutual a good one. I am watching my cash value grow much better than all of my mutual funds over the past 20 years. Unfortunately, Northwestern Mutual is not a Non-Direct Recognition Life Insurance Company. However, I think a better way of handling loans is just to pay cash and avoid them. Yes, you are paying yourself back, but you are doing it with your own money and the loan was avoided because cash was transferred from you to someone. Anyhow, great book.

    • Don’t forget that you finance everything you buy, because you either pay interest to use someone else’s money… or you give up the interest and investment income you could have earned if you had kept it invested instead.

      I can relate to what you’re saying. Even my traditionally structured whole life policy I started 18 years ago has outperformed my mutual funds.

  68. Interested but…….Too much motherhood-apple pie. I have read the book and it is too vauge. I don’t recall ever seeing a financial product that did not talk about Interest rates or a rate of return or return on equity invested……. I know all situations are different but make some assumptions and comparisons. Dividends range from under 1% to over 20% annunally on companies today. Give less fluff and more solid information to make me want to dig into this further.

  69. Hello, I was introduced to BOY 5 years ago but didn’t go forward with a program. Now I have a meeting set up with a BOY advisor next week and am excited in finally starting my ‘Spend and grow Wealthy’ program.

    I want to be clear on one thing before I go. Today we are in an economical meltdown. Since the Federal Reserve is hell-bent on printing more money thereby undermining it’s value and causing inflation, what would a BOY policy be worth, funded by my dollars, if and when our dollars are worthless because of hyperinflation? (It could go to that if the U.S. loses it’s ‘Currency Standard Status”. If thats the case, a loaf of bread could be $50 to $500; a gallon of gas could reach $300 a gallon to $?? a gallon. Or am I missing an obvious answer?

  70. Dear Pamela, Great video! I have signed up for BOY and I am very happy with my advisor, John Montoya.



  71. Please explain the investments that the insurance companies use. Are they treasury bonds? What happens if China quits buying our bonds? What happens when the U.S. debt becomes downgraded?

    I love the idea of paying myself the interest that I would be paying to another financial institution when borrowing money for major purchases. However, I would like to see a break down of what percentage of the interest I am paying goes to the insurance company for administrative costs and what percentage of the interest goes back to my policies. Does this interest I am paying go into the paid-up additions rider?

  72. Hi Pamela,
    Good video, but I think it could be better if you were to go into more detail.Showing
    how ones premium, loan payment and didvidend is applied and how they work together to build cash value. I think this would really get someone pumped. I know you cover this in your book, but for someone who hasn’t read it yet, it would surely grab their attention.


  73. The HUGE issue: say I want to finance my car purchase… how much do I need to pay in so that I can borrow $20,000 “from myself” to buy a car. My hunch is, it is going to cost me $25,000 or more to borrow $20,000… which begs the question – why do it?

  74. Thanks Pamela- I like your video

    – I am a Swedish citizen owning a US LLC company (NV). I am 57 and would like to know about the possibility of setting up BOY either via myself or via my son (of 30 years – if he then goes in as a manager in my LLC company for to get access of US BOY), and/or via my business entity only – would this be possible for me as an SE citizen with an US entity to use an US BOY?
    – If the above is doable, which is better – setting up BOY via myself or via my son (and if it is via my son, can I also be part of that account? (sorry for any language errors).

    Kindest Regards
    Inger Nilsson

  75. I have to say I am a bit hesitant, because this sounds too good to be true. However; the more I speak with the Bank on Yourself representatives and read your literature I am becoming more comfortable. I am committed to seriously consider changing how I invest my money in the future.

  76. Very nice video and informative for sure. Certainly goes away from the norm of buy term and invest the difference in mutual funds, etc. Can you do this concept with Index Universal Life as well which is basically similar but better rates of returns?
    PS I am interested in knowing more as a potential advisor.

  77. Pamela, your video is fine for people to get started.i read your book and recommand that all should read it to get full benefit.i’ve met a with an advisor and continueing ahead.

  78. Pamela, I am currently reading your book and listening to the videos that I purchased. I am very interested in being a “Bank On Yourself” advisor. The video basically explains what I have been reading in the first couple of chapters. I am looking forward to getting to the meat of the subject. The video made me want to explore the program even more. Thank you! Keith

  79. Sounds like Universal Life Insurance or an Annunity…or an prepaid life. They all suck for the consumer. So why is your product so great?

    • See answer below. For the life of me, I can’t figure out why people post comments on websites after admitting they have no clue what the site is about.

  80. In Kansas and ALL other states a “insurance dividend” is not taxable as income because the insurance companies have told the state and federal gov that any dividend is simply a refund for OVER-PAYMENT of PREMIUM.
    Universal life traditionally has such high fees for policy application, policy administration, and many other numerous BS fees, that it is a total rip-off to the consumer.
    So, when we borrow the money from this life insurance plan that we are using as savings, what is the interest rate we have to pay to BORROW OUR OWN MONEY?

    YES, I am the doubting Thomas…

    • As I’ve explained many times, and in detail on pages 100 -103 of my best selling book, if the right companies are used, the interest you pay on policy loans ultimately benefits you the policy owner. You will have the exact same cash value whether you borrow from the policy and pay it back at the interest rate the company charges, as you would if you didn’t borrow from your policy at all.

      Furthermore, this is not universal life, which you would know if you had actually watched the video or read more than a couple paragraphs on this website.

      In addition, my $100,000 cash reward to the first person who has a different product or strategy that can match or beat the advantages and guarantees of Bank On Yourself still remains unclaimed.

  81. Hi Pamela, I’ve studied the Web site (it’s huge, and wonderfully rich with resources), read the book, listened to the audio CD you provided with the book (on which your video, above, appears to be based), and am excited by the concept.

    I’m a life insurance specializing in fixed index annuities, so I have a bias in favor of them. Your web site ably compares BOY-type policies to the market, bonds, CDs, etc., but if there is a head-to-head comparison with FIAs, I’ve missed it. In general, what are the pros and cons? (Would you kindly e-mail your answer to me, in addition to posting it here?)

    Thank you. By the way, I consider you to be a Master at marketing. You’ve obviously worked very, very hard to have so many personal appearances, a vibrant (and generally current) web site, a best-selling book, and a caring family, to boot. Bravo.

  82. What is the difference between Whole life insurance and Bank on yourself policy? If you do not invest in Stocks or Bonds and Mutual funds, how does the money grow in the policy?

    Thank you

  83. Pamela,

    I’m interested in the concept but very skeptical. I’m 62 and I wonder how this works for someone my age. I’m at the point where I have slightly more money than time 🙂 How does this work for me?

    • Many people age 62 and older start Bank On Yourself plans (I devote a whole chapter of my best-selling book to this).

      Remember, there’s a good likelihood you’ll live another 20-35 years, so you need to take action NOW if you want to make sure your money lasts as long as you do.

      The only way to find out for sure if you can benefit from Bank On Yourself is to request a free Analysis.

      There’s no obligation and you won’t even be asked to buy anything during your first meeting. But at least you’ll know now, rather than looking back 10 years from now and saying, “I wish I’d looked into that 10 years ago!”

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