Dan explains how to become your own banker using dividend-paying whole life insurance. Start by finding a Nelson Nash Institute-authorized coach, educate yourself with R. Nelson Nash's book, and begin with premiums you can afford. Dan's example: $6,000 yearly policy, borrowed $15,500 for a vehicle, repays $500 monthly while his cash value grows faster than the loan costs him.
$6,000 a year.
$15,500.
$500 a month.
36 months.
$7.95 per day.
Whereas I haven't used my cash, my money's still growing. And that's where this process we know as becoming your own banker really starts to add value to you financially. So if you're a beginner in the process called becoming your own banker, I'm just going to remind you about those four things.
Hi, I'm Dan and today the topic I wanted to speak about was becoming your own banker for beginners. So if this process and concept is new to you, I'd really encourage you to consider the four things that I'm going to mention today that you should do. Now, before I get started on that, I just wanted to do a high level explanation of what is becoming your own banker. And it's simply privatized banking at the you and me level where we reclaim or recapture the banking function as it relates to our needs. And we simply use dividend paying whole life insurance as a platform to do that. So what are the four things that I would suggest that you do if this process is new to you? Well, the first thing is get a good coach. Everybody that that's really successful in life typically has a coach. So if you think about professional sports per se, top athletes all have coaches and they're continually working with their coaches just to help them get better. You too should have a coach if you're going to practice this process called becoming your own banker. And the thing I'm going to encourage you to do is make sure you get a coach who's an authorized practitioner of the concept called becoming your own banker. So they should be authorized through the Nelson Nash Institute. So get a good coach. Secondly, educate yourself. Education on this concept and process is so easily obtained these days. You can get great content and education off of YouTube. Our YouTube channel will be a great place for you to learn lots. And all you basically need to know about this concept. The other thing that I highly recommend for everybody is this should be the foundation of your education. This is the book by R. Nelson Nash called Becoming youg Own Banker. And R. Nelson Nash was the author of the concept and that's what we teach. So get yourself a good coach. Educate yourself. Every dollar and all the time you spend on education will pay dividends for yourself down the road. After all, you're on a journey to become your own banker. So you really want to understand what you're doing and how to do it well. So a coach and education are two key things that you should consider.
Number three, I always say this is a key one, start where you're comfortable. What do you mean by that? Well, in order to start your own privatized banking system, you have to put capital into your bank. Now that looks like premiums that you pay for your dividend paying whole life insurance. So what I tell people is make sure you start with premiums that are comfortable for you. Now if you're already saving money, one of the best ways to do is just redirect that saving into premiums for dividend pay and whole life insurance. But again, I can't overemphasize this. Make sure you start where you're comfortable, because if you start where you're uncomfortable, you're likely to fail.
And the fourth thing that I wanted to share with you was use it. Use the process. That's where you get your real value out of this is in the use of the process called becoming your own banker. Now you might say, well, what advantages do I have by using this? So I'm going to explain that.
To answer this number four bullet, which is use it. And why would you use it? Well, what you want to do is gain momentum in your financial system. And this system and process allows you to gain momentum, kind of like a tailwind behind what you're already doing. So with that, I just thought I'd talk about one of my own case studies just to give you an idea of how you can do that. So a few years ago, I started a policy for $6,000 a year. So I was already saving that $6,000 a year. And all I did is redirected it to a dividend paying whole life insurance policy. And it's been the best thing I've ever done. So in a few short years, I had built up a nice little pool of cash value that I could use for things in life. And this case study is one of those things I used it for. So last year I decided to upgrade one of my vehicles. And when I looked at what I wanted to upgrade it to, I realized it was going to cost me $15,500 to make that change. So what did I do? I simply filled out a form, emailed it to the life company, and they deposited that $15,500 in my account. A few short days later, I took that to the dealership, I did the deal, and I owned the car outright. Now the nice thing is with this process is I got control of what I want to do next. So I decided that I was going to pay myself back because I'm an honest banker. And just like if I'd have borrowed the money from the bank I would've had to pay it back. I'm going to borrow the money from my own bank and I'm going to pay it back. So I decided I'm going to pay it back at $500 a month because that number fit well in my budget. So that's what I do. So every month I'm paying that back at $500. Now, I simply ran an amortization table and it's realized it would take me 36 months to pay that vehicle off, plus interest. So that's the journey I started down. So how am I gaining out of this? How am I getting an advantage over someone else? Well, here's the thing that I wanted to share with you. Every day, the cash value in that policy that I've been putting my premium into goes up $7.95 a day. So that is what happens each and every day. And it will do that every day. Now, once I took that loan out, the life company charged me interest and they calculated daily. So I took a look at that, and I could easily calculate what the interest costs per day were going to be for the first year, and that turned out to be $2.24. So, so again, I go back, my value's going up $795,000. Now, the interest they're going to charge me is $224,000. So net, I'm still going up $5.71 a day, even when I take the interest charges off. So every day that's what my cash value goes up. So if you look at that over a month and you just figure, well, there's 30 to 31 days in a month. So Q30 and a half days, my cash value will go up $174 above and beyond the interest that I was being charged. So every month when I pay my $500 back, I can not only access that $500 again, but I can access an additional $174 because of that growth that's happening there every day. That is the power of becoming your own banker. That's the process. So I looked at that. Over a year.
My value will go up over $2,000 even after I deduct the interest charges that the life company is charging me. So I got to use that system that I developed. It's a private system, and I got to make the call on how much I was going to pay back. And I'm doing that. And yet every day I've got an advantage over someone else who would have went to someplace else that got that $15,500. Whether they borrowed it from a bank or even if they use cash, I still get an advantage over someone who uses cash because they can no longer use that money for anything, whereas I haven't used my cash. My money's still growing. And that's where this process we know as becoming your own banker really starts to add value to you financially. So if you're a beginner in the process called becoming your own banker, I'm just going to remind you about those four things that I talked about today. Number one, get a good coach. Number two, educate yourself. Number three, start where you're comfortable. And number four, use the process. I hope you found this useful. And now we have a lot more information available to you on our YouTube channel. Just go to it. Take it all in. Just a great way to educate yourself. And if you haven't subscribed to our YouTube channel, please do so.
