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. It is said every time you buy life insurance policy you are staring a business scratch which is due to the cash value of the policy which you have within your reach and is available to you at any time. 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.
Cash flow; in case of an abrupt occurrence that requires your immediate attention, you will access the cash you need to solve the problem immediately through infinite banking, whether it is an investment opportunity or emergency. 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.
When you have life insurance policy, its cash value is liquid with infinite banking which means you get access to money which is the value of your policy at any time. Once you switch to infinite banking and become your own bank, there is no need to depend on banks for money whenever you need it. This freedom is also exhibited in your ability to use the loan you get against the cash flow of your policy for anything.
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.
Practicing infinite banking is important since it guarantees protection of your assets, and one of them is your life insurance policy. If you have life insurance policy, there is a good chance it is being managed by a mutual company, which will be paying you dividends. The guaranteed rates of return found within life insurance as well as the dividends will be paid to you on a tax-deferred basis. Exploring infinite banking does not only enable you to be your own banker but also the advantages highlighted above.