We Tried This Passive Income System & Here Are The Results!

Primary objectives tonight, that's one of my, one of my intentions is to keep this really simple and use practical examples that you can really understand. So what are we going to cover? What you're going to discover here tonight is the foundation, like how to actually get started on the family banking system. We're going to look at how to create or free up cash flow within the family budget by doing a process that we refer to as a debt recapture. So we don't want to pay off debt, we want to recapture the debt because debt has a lot of value. And we'll talk about that a little bit later. And also we're going to look at how to sustain multiple policies. How do you expand your program and actually sustain those policies? Nelson talks about building a system of policy. So we're going to look at how to sustain that and how to put the system to work to actually start to create passive income. Two types of work. There's money at work and there's people at work. I much prefer the money at work. So we gotta lay a foundation. First of all, as a team. What we're here to do is to educate and empower. That's what we do. As cliche as that sounds, at the end of the day, we're not selling a product. We are coaching people to implement a process. So we first focus on education and empowering you so that you have the tools and resources and the knowledge that you need to implement the process. And then we back you up with a ton of support. So to create that foundation of how to get started, the title is becoming your own banker, the infinite banking concept. To become your own banker and to implement the family banking process, it makes sense that you'd have to put in a little bit of study. Right? So we have tons of resources for you. So the first thing is this is a bit of a content, a content specific webinar. So I'll be diving into some of the foundational pieces, but I won't be going deep dive. So to get a look at the foundation of how to get started and what the process becoming your own banker is all about, go to watchibc.com if you're not subscribed yet, definitely head on over to the Bankers Vault. That's our primary YouTube channel. This is a little bit of an outdated slide. I think we have well over 700 videos now and I think we're close to 8, 000 subscribers. If not, if not more. So ease on over to the YouTube channel, Bankers Vault. There is a ton of resources There and make sure that you. If you can see this little search window there. Oops. Every YouTube channel has it. You can see the little, my little cursor. There's a. You can search for keywords. If you search for a keyword like investment or debt or something like that, you'll find videos that are more specific to something you're looking for because filtering through 700 videos can sometimes be challenging. And then also the number one resource, as I just mentioned earlier, this book, if you have not read actually let's hear that. Go ahead and put a Y in the chat or an N for no. Have you read Nelson Nash's book at least one time? Becoming your own banker self published book and I believe in the year 2000 and well over 500,000 copies sold now. So are we getting some yeses, gang? Do we have some.

We got a lot of yeses. Two or three no's okay for.

Well, for those of you who are a no. You have an opportunity today. I'm sure at some point or another we'll post a link to our Ascendant financial shop where you can order a copy of R. Nelson Nash's book. We'll ship it to you directly and you'll get it in a few days. And it's a. It's well worth the investment. Okay, great. And why does it, why has there been 500,000 copies sold? It's pretty simple. Again, I promised that I would keep it simple. It's because it works. It's really simple. People ask us sometimes, they say hey, how come more people aren't doing this? And this. The answer is, well, the people who understand it are certainly doing it. So we're doing our very best to make more people aware of the process. We have a lot of recommended reading on our bookstore. There's great books, there's probably 30 or 40 books on there. But these are some of our top sellers. In fact, these three books come in this package package called the banker's vault. And it is certainly worth getting, getting these three books and adding them to your collection. The becoming your own banker the and asset talks a lot about the tool and the case for IBC is, is good for anybody but it's really geared toward business owners. And these are some of our top sellers here. These, these books here. You know, I often joke with my teammates and I say for about the first 22 years of my life I use my head as a hammer and, and it's not really a joke, but I read this book here on a flight from Toronto or from Calgary to Toronto. And I think I read it in about half the time. And if I can read the book in half the time, I guarantee you can do it. And that's what they were designed for. This is a book series that's released about quarterly and our newest one here is by a shout out to Henry Wong. He co wrote keep taxes away from your wealth. So if you live in Canada, I would assume that keeping taxes away from your wealth is a pretty high priority.

Now we also offer coaching. That's what we do here is we, we coach our clients to implement the process. And if you want to be great at anything, I think some people would recognize this. This fellow here with the Team Canada shirt on. Wayne Gretzky's known as one of the, if not the greatest hockey player that's ever played the game. He always had a coach, right? So the best performers always have a coach. So implement the process and get coaching. We also have a client portal which I'll share a little bit more about later. So an exclusive client portal that you have access to content that's not available to the general public. And Nelson taught us everything begins with the way that you think. Everything begins with the way that you think. And so I say that to my daughter. You know, she was having a rough day today, and she was the start of her day. She was just kind of in a crummy mood. And I said, hey, sweetie, I hope you have a really great day. And she says, yeah, I'm not gonna. And I said, oh, interesting. I said, well, listen, I get that things might not be going the way you want them to go right now, but if we, if you just change your thinking. If I'm thinking, oh man, like I'm gonna have a crummy day, that's first thing that Tony Robbins tells you, right? Change your physiology. If you change your physiology, you change the way that you're thinking. It's absolutely inevitable. This is not hokey pokey stuff. It's inevitable that the results are going to change. So let's prime our brains and do a little bit of a thinking exercise. Okay? So play along with me. We're going to get some participation in the chat window here. So I'll get one of my teammates to get ready to, to chime in with me here. So I've got an investment opportunity Now, I have to be very clear that this is an exercise. I'm not. There's not actually an investment here. Okay. This is an exercise. So we have this great investment opportunity now. It's going to create an average rate of return of 25% per year, and that is guaranteed that the average rate of return is going to be 25%. So the question is, would you take that deal? So let's see. Just a y for yes, you'd take the deal or an end for no. And I'd love to hear. There's about 50 people on the call, at least on our webinar here. I'm not sure about the YouTube live, but I'd love to hear a lot of.

A lot of people taking that deal, Vern.

A lot of people taking that deal. Okay. Okay. I'm really glad to hear that. It's very interesting.

Okay, so let's see. Let's take a look under the hood a little bit about this deal. So just for simple numbers, the investment is going to be 100 grand. It doesn't really matter. Okay, so we have $100,000. You're putting 100 grand into this deal. That's going to create an average rate of return of 25% per year. So the market is on fire. Okay, we did really good. We doubled your money in the first year, so well beyond 25%, but unfortunately, there are some swings that can occur in the market. And the next year we actually lost 50% of the money. So, okay, fair enough. But we still keep going. Well, look at that. We doubled the money again. So life is good. We got another 100% rate of return, but unfortunately there's some turmoil in the markets and now we lost 50% yet again. So here you are investing money into this opportunity, and you've heard that there's an average rate of return of 25%, but you handed $100,000 into the deal, and then four years later you get handed back the same hundred thousand. And the truth is, the fund had an average rate of return of 25%. So now something to think about. Do you still want the deal?

Now I'm going to do a different screen share. I got something fun to share with you here.

It's really easy to become a millionaire these days. Did you know that? Here, team, let me know if you can see this.

We got it. And you can hear it.

How to be a millionaire in 10 years, starting from zero. So people complicate this money stuff. I don't know why. Let me simplify it for you. All you need is a thousand bucks per week. It's hard to do. You have to move back in with your parents, sell both your kidneys, get a bunch of side hustles. But a thousand bucks per week, you're gonna put it into an index fund. The S and P fell like crazy. The average return on the S and P is something like 14% in a 10 year time horizon. Long term markets always recover. You keep compounding. A thousand, a thousand, a thousand. After 520 weeks, 10 years, your investment will be something like this. 10 years, just a thousand bucks per week. That's how you get a million bucks in 10 years.

Hey, good news, first of all, just a thousand bucks per week.

Anybody on this call, just have a thousand bucks a week just kind of lying around that you could just afford to put into a financial prison. I'm not trying to cut this guy down, but I just thought that was fantastic. Just a thousand bucks a week, you got to sell your kidneys, move in with your parents. And if you put it into the s and P500 or whatever that was, that averaged 14% over the last 10 years. But he just got done saying it fell like crazy. Average rates. The teaching point to this is that it's not about investments. Actually, it's completely different. But the point is that I want to share is an average rate. There's a big difference between an average rate in a real rate, especially if you talk about net after taxes and net after fees. And the teaching point though is this is a really interesting quote and I have to take my time with it because it's a little tricky. It ain't what you know for sure that gets you in trouble, or, sorry, it ain't what you don't know that gets you in trouble. It's what you know for sure that just ain't so. And the reason why I have the question mark for Mark Twain is apparently there's some controversy as to whether or not he actually said that. But what you think you know for sure, that just ain't so. So the teaching point is that you have to continue to learn and actually think, but you have to rethink your thinking. You hear? Hey, 25% average rate of return, man, I'm all in. But we just saw the math. If you do the math there, that's a 25% average rate of return. But we actually didn't create any profit whatsoever. So something to think about now. Anytime you want to build something strong and powerful, you have to lay a really strong foundation. And so that's what we're going to do tonight. It doesn't matter if you're building your own family bank or if you're building the skyscraper. You have to have a strong foundation. And so with that said, there is no solution without clearly understanding the problem. Can we agree? Give me a Y for yes or an N for no. Like if you're trying to create a solution to. How do you create a solution if you don't know the problem? Is that fair? Can we agree on that?

Yeah, we got Y's coming in.

Awesome. Okay, so what we're here to do is we're here to uncover a problem so that we can understand what the process of becoming your own banker. The family banking concept. What is family banking going to solve for you and your family? What's the problem that we're actually trying to solve? So Nelson in his book, this is from page 15 in Nelson's book, he did a great deal of study on the average spending patterns of the average American during that time. And you know, up here in Canada, we're very similar to our US friends and what our spending patterns look like. And now if you think about approximately 20%, this is your overall income. 20% of your income is spent financing cars or an automobile financing and you know, servicing and all those things. Housing 30%, 40% spent on living. So you know, gas, grocery. Well, gas bill is probably more like 78,000%. You have to take out a second mortgage, I'm not sure, but you have gas and all these things that you have to finance. And the grocery bills, like $5,000 for eggs, all that kind of stuff. And then I'm being very generous here to say that the average person is setting aside 10% of their income. Okay? Now generally people are borrowing to finance a lot of these things. Now they're 5%, 5% of what you earn. Not 5% interest rate, but 5% of what you earn. So 5 cents on every dollar that you earn is just walking out the door for automobile financing. If you think about how mortgages are structured with heavy front end loaded interest. And people are refinancing in Canada every three to five years because they move neighborhoods or they sell their house or they great, they trade up. So you're always constantly in that high interest volume that you're paying on your mortgage. So it's not about the rate, it's about the volume of interest, the percentage of every dollar that's leaving you going to interest. So 35% of every dollar that you earn is leaving you just on interest alone. So you're not even making any headway on the principal. So if you were saving 10% of your income, you're taking one step forward and three and a half step backwards. So we're starting to uncover the banking problem. This is because someone else is controlling the financing function. Now, one of the things that Nelson taught us is that there are so many things that I, we cannot control. So that investment, that investment example that I shared earlier, you know, at the end of the day, yeah, you can pick smart investments. You can, you know, do your study, which you should know a great deal about, of anything that you decide to put money into. But there's only so much you can control through educating yourself and making the right moves. You can't control interest rates, you can't control rates of return. You can't control necessarily who's. Who's leading the government. Right. So there's so many things we can't control and we spend a ton of time and energy trying to control that which we cannot control. So Nelson, he was, he was actually a pilot for many, many years in his life. And now I'm not trained as a pilot or I don't know anything about aviation. So I stole this example from Nelson. So let's just use an example here because. Because what, what he was getting at is in aviation, you can't control the weather, but what you can do is you can understand how it works and then you can sort of wait for the environment to get appropriate for the objective that you're trying to achieve. So let's say in this example we're trying to go from Calgary to Edmonton. We're going to use this example to see how powerful it is when you control the environment through which you bank, where your money is flowing to and how you finance the things that you need in life. So let's say we're trying to take a flight up north. I'm in Calgary. I want to go visit my teammates in Edmonton. In fact, I'll be there in October for the family banking summit. And we're actually having a recruiting event as well because our team is expanding. A lot of people are reaching out and asking how do they join our team? And we have a lot of people to serve and so we have a capacity issue, so we're looking to expand. And we're also having, like I said, a family banking summit. So we're going to, you know, have a live event in Edmonton where people can come in and learn how to run a family banking meeting and a lot of great speakers. And I'm lucky enough to be with my team the day before all that, with my team as well. So I will be going to Edmonton. I probably won't fly. So let's say we're going to go to Edmonton, from Calgary to Edmonton. Now we get in the plane and to keep things simple we're going to say that we have a ground speed. Oh, hang on here, I'm getting ahead of myself. So the Calgary is where you are financially today, okay? That's what this is representing. And Edmonton is where you want to be financially. Okay? Think about this as in terms of where money's flowing and how money's flowing throughout your life. So we have a ground speed of a hundred miles per hour. Shout out to our American friends. We're not using kilometers in this example, we're using miles per hour. Okay. But the problem is is the weather says that there's a 350 mile an hour headwind. This is representing the interest that you're paying. The 100 miles an hour is the 10% that you're saving and the 35% or the, excuse me, the 350 miles per hour pushing you backwards is the 35% interest that you're constantly have to service. So you take one step back, three and a half steps backwards, you're effectively going to Montana at 250mph ground speed paying interest. It's sort of like not making much progress here on the Penrose stairs or this little fella here who's really ambitious about his future. This is kind of what a lot of people are feeling like these days because they're not making progress no matter how hard they work. Now some people say, hey, I got an idea. I know how I'm going to get around this problem. I'm just going to save my cash and I'm going to save it where I'm going to save it in someone else's bank, right? I'm going to put that money to work for some other bank. I'm going to save my money in someone else's bank and I'm just going to finance everything with cash. Because if I finance everything with cash, I, you know, I don't have to worry about paying interest to somebody else. But I'm not really making any progress when I finance things with cash. I'm just sending my money away. I can no longer grow that money, I can never get it back. So I'm losing interest on that money. I'm losing the opportunity to grow that money. That's what we refer to as the unseen. Very few people are thinking about this. A lot of people talk about lost opportunity cost but very few people actually do anything about it, right? They Say, oh, lost opportunity cost. Well, we're going to be able to build a system that can help us deal with that problem. So this is what paying cash is like. You're just, you're just not making any progress. Now what if you were to control the environment? If you wait for that weather pattern to move, right, you got the headwind, the weather pattern moves. You're going through the middle of the weather pattern. Now your ground speed is the same as your airspeed. But if eventually, if that pattern moves far enough, your headwind is going to become a tailwind. So instead of having that 350 miles per hour pushing you backwards, you now have that 350 miles an hour pushing you forward. And so your ground speed is 450 miles an hour. And that's the equivalent of controlling the financing function as it relates to your needs. Having your money grow, your capital grow within your system uninterrupted, day in and day out, uninterrupted compounded growth, but also recapturing the interest that you otherwise would be paying to banks and third party finance companies and not to mention the principal payments that you're also paying has a lot of power. So now you're flying and you're going fast. And not only if you compare that to what everybody else is doing. Everything that we do is compared to what everybody else is doing. Everybody else, Tom, is doing the old thing where they're, they're going backwards, right? Everybody else is doing this. That's what everybody else is doing. So how much further ahead are you getting to your peers when you control the financing function as it relates to your needs? Would we like to create a financial tailwind? So that's what we're going to talk about tonight as well is a financial tailwind. How do we create a financial tailwind? So the whole idea is to have interest on things that you finance actually work for you instead of work against you. Have the banking function become the banker so that the banking function works for you rather than against you, right? So here's the truth. Just think about this as I share it. What the bank calls an asset, you call a liability. If you have money sitting in a savings account, the bank owes you that money, right? So that's a liability on their books. But you call it an asset. But everything that you call an asset. Oh, I did that backwards, sorry. The bank calls a liability. So you're picking up what I'm laying down, sorry. So everything the bank calls an asset, you call a liability, right? So a mortgage, for example, you're making a payment on a mortgage. Well, that's money flowing away from you. The bank is, is collecting and accumulating that money and putting that money to work and creating profit. Money flowing away from you. So your liabilities are the bank's asset. Now tell me if this looks familiar. Just chime in for a second, Dan, if you don't mind. Let's get a Y for yes again. We got about 50 people on the call right now. How many people on the call right now have a mortgage payment? Just give me a Y for yes.

There's a lot of Y's, Vern. Kind of hard to add them all up though.

Fair enough, no worries. So let's assume that most, if not all people have a mortgage payment. If you don't have a mortgage payment, you're probably paying rent and still money flowing away from you. Right? Thanks, Dan. Which direction is the money flowing? It's pretty self explanatory. Is it toward your family or away? It's away from the family. But this is just the mortgage payment. What about all of the other things that you need to finance throughout your lifetime? See, the reality of it is, is the things that you need to finance, whether it's food or the boat payment, healthcare, appliances, it doesn't matter what it is. Furniture, resident renovations, these things are never actually going to stop. You're always going to have to make payments. We can't change the fact that you have to make payments, but we can certainly change who's getting the money, who it's being put to work for, and who gets use and control over that money. That's what becoming your own banker is all about. Or the family banking system. This is the best way that we can describe it again. Shout out to our American friends, lots of, lots of love to our friends to the South.

Okay, when you make a payment, where does the money actually wind up? See, if you go and buy a car, you give the money to the dealership. Well, the dealership is effectively a bank, but the dealership doesn't have some big vault in the back of the dealership. The money gets deposited, it winds up right back in the banking system. If you pay off debt, it doesn't matter where, what you're doing with the money. Ultimately there's only one system. The money flows right back to the banking system. And the question is, if you're putting money in a savings account, if you're paying off debt, does the money at the bank, do they let it sit still? Absolutely not. The bank can't let the money sit still. They have to put that money to work. They have to keep churning the wheels because they have, you know, downward pressure from shareholders. They gotta create profit to share with those shareholders. And if they don't put that money to work, if they don't put the capital to work, they're going to. It's going to fail, right? The bank is going to shut down. That's how they generate profit now. They're putting the money to work. But for who? Is it for you?

Absolutely not. So the problem is you're doing all the work.

And someone else is getting all of your money.

How does that make you feel? Like.

Michael Scott. It can be stressful, right? When you're thinking about, you keep working hard and all the money is flowing away from you. But the question is, is banking really bad? Banking's not bad at all. In fact, it's quite brilliant. The business is amazing. If you think about it, are banks really good at generating profit? Are they good at putting money to work? Absolutely. Nelson always said you should be in two businesses. Whatever your profession is that generates income or revenue for your business or income for your family, and you should be in the banking business. Banking function should be controlled at the you and me level. So doesn't it make sense to get into the banking business? When you get into the banking business and you implement the process of becoming your own banker or the family banking concept, that earlier slide that I showed you, we flip it. See, the payments are not going to stop, but we can change the direction of the flow of that money and who that money gets to put put to work for. Now, how would that make you feel?

So we laid the foundation and we are understanding now that there's a problem, which you're probably saying, hey, Vern, this is pretty redundant. I knew that my money was flowing away from me. Thank you very much for highlighting all of that. But it sounds pretty simple. But believe it or not, very few people actually take the time to think about where the money is flowing and who it's actually being put to work for. See, that's the reality of it. Sometimes people ask us, how do we get started? You know, my budget's a little tight. Well, the reality of it is all of the money is already always flowing. You do have the money. It's just being allocated to the things that you deem most important. And if I knew, which I do, that there's a problem called banking, I would be desperately trying to solve that problem. And that means I'm going to change my attitude I'm going to change my behavior, I'm going to rethink my thinking and change how I think. There's a great chapter in this book, by the way, that that's, I believe it's titled how to get started or finding. No, finding the money. Just to really get. Highlight some really good points of how to reallocate and redirect money and find cash that already exists. Because that's the reality of it. If, if you start looking for things, you often find it. So the solution, the solution is to become the banker in your life. Become the banker as it relates to your needs. Now, banking is a function and we're not building a brick and mortar bank. You're not going to become a bank. I heard that one time somebody said, oh, you're teaching people to become a bank. That doesn't make any sense at all. We can't be a bank. But we're controlling the banking function as it relates to your needs. And we need a tool to implement this process. Now you probably have heard of dividend paying, participating whole life insurance contracts. Well, guess what? This process has nothing to do with life insurance at all. In fact, you don't even need a life insurance policy to implement the process of becoming your own banker or the family banking concept. You could, oh, you could empty out this tissue box here and cut the top off of it if you wanted and you could just pile up money. That's what we're doing to create our family bank or any business really. You're capitalizing in order to build our bank. We gotta, we gotta put capital to work within that system. Well, I could pile up a bunch of money in that tissue box and then I could wait until I have enough capital or cash in that tissue box to go and achieve the objective. Let's say it's buying a car. Well, I just pile up enough money in the tissue box to the point where let's say it's 40,000, or these days maybe it's 80,000. I don't know what a new vehicle costs because I haven't bought one in a while. But they're very expensive. I take the money out of the tissue box, I go to the dealership and I pay cash for the vehicle, thus giving up the opportunity to grow that money. But what I'm going to do is I'm going to now pay back my tissue box, but I'm going to pay back the interest that I otherwise would have paid to the dealership. So if I borrow out 60, I'm going to pay back 66 or 70,000 so that at the end of the day, at the end of life, I would have all the cars and I would have the principal and interest that I otherwise would have paid to the bank. And the problem with it is, can we agree that a tissue box or under your toilet tank or under your mattress or in a safe in your basement, they're not a very effective places to save money. Not very safe, and there's not a whole lot of growth there. So the point that I'm making here is you have to get the right tool. If you got the most state of the art weed whacker that's going to cut all the weeds in your yard, but it's just sitting in the, in the garage or you don't even know how to use the tool, it's not going to do you any good. You'll probably do more damage than good. So we need to find the right tool for the job. If you don't have dividend paying participating whole life insurance contracts available to you, just find the best tool, the next best thing. That's what Nelson taught us. But luckily, at least in North America, we have dividend paying participating whole life insurance contracts and we want to place those policies ideally with a mutual insurance company. And that simply means they're mutually, it has nothing to do with mutual funds. The insurance company is mutually owned by the participating policyholders. They serve one master. That means the only people that get to go to the dance are participating policy owners. The only way to become a co owner in the life insurance company is to have one of these properly designed dividend paying participating whole life insurance contracts. So it's not just any old life insurance policy, by the way. You can't just use any policy. It has, has to be the right tool for the job. That's why you need to work with a coach who knows what they're talking about and they're actually walking their talk. So here's how it works. We're just going to point out a few, excuse me, components of the tool to better understand, like why on earth would we use this thing? So the first thing is this premium. Like I said earlier, capitalize your system. Capitalizing your system is your premium. Well, guess what? We're not going to tell you what the premium is that you have to pay. One of the most frequently asked questions we get from people is hey, what's the average amount that we should put in? What's the minimum I should put in? What's the maximum I should put in? Hey, how much do I have to put in to get started? Well, you get to make that decision. We're going to examine how you're structured financially, what your specific objectives are and if you understand that there's a problem called banking and all of your money is leaving you today, how quickly do you want to solve that problem? I want, it's like if you were, you know, had a leaky artery, how quickly do you want to fix that leak? As quickly as possible. So we want to get as much of our own capital into the policy system as we can. And it's very, very simple. The more you put into the system, the more compounding you're going to achieve. The more you put into the system, the more access to capital you're going to have now and long into the future.

So there is obviously it is a death benefit or there's, it is a life insurance policy. So there's a death benefit component. The death benefit is extremely important in this whole equation, which I'll get back to. Not only for the fact that it makes sure that you have a stress free life where if the most catastrophic thing were to occur, no one's ever going to have a bad financial day as long as you're here or after you're gone and the longer you live, the better everyone's going to do. But the death benefit is paid out income tax free. Yes. Even in Canada, to your named beneficiaries. And sometimes people ask, ask us, oh, could the government change that? Well, the truth is I'm not, I don't know, maybe they could. But the reality of it is it's highly unlikely because if you really think about life insurance, it actually solves a social problem because when people don't have life insurance, it can generally put a strain on the system. But if you have life insurance, it shows up, creates a tax free windfall. You can solve all the terminal tax liabilities, you can, you know, take care of any final expenses. In Canada we don't have a death tax, we don't have an estate tax. It often gets collapsed. You can ask my man Henry Wong about that. But we do have a terminal tax liability. So at the time of your death, all of your assets at fair market value are deemed to be sold, even though nothing actually got sold. And then there's going to be the appropriate tax required on those assets and they only take one form of payment and that is fiat currency, that's cash, that's what they're looking for. So the death benefit solves that problem. Well, in the policy we build this equity or something called cash value. And a question for you to think about is where do you want your equity to reside? Do you want it to reside in a system that you have no control over in your home for example, or real estate? That I'm not saying it's bad to invest in real estate, don't get me wrong. I'm just saying that you have very little control, generally speaking, over the equity. You have to then go to a gatekeeper to try and get access to that equity. I want my equity living in my own private system in the form of cash value. Cash value grows right from day one every single day on a schedule. We get very few. In fact, I don't think I've had any complaints from our clients that their cash value increases every single day. And every year that goes by they get a raise. The policy system is literally designed to become more efficient because the total cash value of the contract has to rise to match the total death benefit by the time the life insured reaches age 100. So unfortunately we're all aging. But as you age, the cash value accelerates because the window of time is shrinking. And I'm going to show you how we actually build more death benefit. If you build more death benefit, it's very simple. This is not an investment, it's a contract with guarantees. The contract says the total cash value has to rise to match the total death benefit. So if we create more death benefit, it inevitably has to create more cash. Simple as that. And as again, especially with a mutual insurance company, you become a co owner in the life insurance company. Well, when you're an owner of a company, that company has a duty, a duty of care to put money to work to create profit. And they are contractually bound to share profits with you, assuming they, they develop a profit. Now the company, the primary mutual company that we use has been paying dividends now for about 83 straight years. And we have other companies that we use for this process in Canada. They've been over 170 years, I think. 175 straight years without missing a dividend, without, without missing a profit. 175 straight years. But the general public has been convinced that this is a stupid place to save money. I can't understand it. Just think about that for a second. Are the insurance companies doing something really good with this money? Are they must know something that we don't know. So you know, we, we have the opportunity to co generate with the life insurance company. We can jump in and Just participate. They already have all the infrastructure in place. All we got to do is get a policy system in place so dividends cannot go backwards. Once they're paid to the contract, they become guaranteed once they're paid to the contract. And we use those dividends to actually build more death benefit, which I'll talk about shortly. But we use the dividends, we put them right back in the policy to buy more death benefit, to create more cash value in future compounding. So dividends. Now, a word about dividends, A word of caution.

What if the life insurance company never paid another dividend ever again? Does the whole system collapse? Is this whole process of becoming your own banker no good anymore? Gosh, bummer. No, we're not dependent upon the dividend in any way, shape or form. Because again, you'll come to see that your behavior is more important in this entire equation than anything the life insurance company is ever going to do. You have the contractual authority to control your premium. There's a minimum premium, and you can pay more than the minimum. When you pay more than the minimum, the more it buys more insurance, it does the same job as the dividend. So of course, they're very consistent with the dividends. But this whole process isn't hinging on whether or not there's a dividend. It's my teammates, God bless them, they're so patient. We get asked so many questions about the dividend, and it doesn't matter whatsoever. A dividend has nothing to do with the function of banking. I often joke with my clients. Unfortunately, I deal every once in a while with some food habits. I'm doing a little better now than I was many years ago, but I'm getting on the wrong end of it again. I got to get back on track. You'll see a picture of me later when I was kind of in really good shape and I've gained a few pounds since then because I like cake. Okay. Do you like cake? I hope the answer is yes. Well, I like cake with icing. I like it better with icing. But without the icing, it's still cake. It's delicious. So the dividend, it's just icing. It just makes it a little bit better, but it's not dependent. The policy, the process, it's not dependent upon the dividend. So don't worry about the dividend is all I'm trying to get at. Okay? Awesome. Now, you also have contractual authority, borrowing provisions. You have liquidity. That's one of the biggest challenges that people deal with. I talked to so many clients that have like liras or they have a company pension or they have a ton of equity in their home and guess what, that's effectively a financial prison. You can't access that money or not very easily or without some kind of a penalty or you have to wait for a certain amount of time. I can access policy values up to 90% of the total cash value which rises daily readily on demand. The insurance company, you know, they get really nosy. They ask these two really invasive questions. They ask you if you want to check or direct deposit. Can you believe the nerve of these guys? Unbelievable. I'm kidding. It's a very simple process. That's exactly what they ask. Hey, would you like us to send you a check or would you want to give us banking information and we'll simply just eft the money to your bank account. It's amazing. So I talked earlier about being able to create more death benefit because you have the contractual authority to put more premium than the minimum. So your dividend will create what's called a PUA or paid up additions. Your dividends. Of course there's other dividend options but the dividend option that we coach people to implement is use your dividend to purchase more paid up insurance. Because again, more insurance means more death benefit. Same with some of that additional premium or that optional premium you can put in it purchases more paid up additions. So what I'm going to do is I'm going to show you the power of paid up additions. I'm going to share my screen in a moment here. I'll just get my teammates to chime in. Just make sure you can see my screen and you can hear my audio.

Your money.

Okay, we got it. Thank you.

Continues to grow uninterrupted because it never leaves this wonderful system. It stays there the whole time and is always working to your benefit. You get to have the policy and the death benefit and the tax free advantages, constant growth and accumulation, access to capital with the insurance company that you co own and you get to share in the profits. Sounds pretty good. So how exactly does participating whole life insurance grow so that you can create uninterrupted compounding growth with the use and liquidity over your own money. Well, let's look at an example of the foundation of the whole life insurance contract in Canada. By age 100, the cash value must equal the death benefit. Very important to understand. So at age 100, as we age and we grow, regardless of where we start, the cash value must equal the death benefit. The insurance company who we're a co owner of is contractually obligated to make that happen. That means every single day that you age and you, you go to bed and you wake up the next day, there's more cash value than the day that you before it. It's a very, very smooth, simple and easy way to have constant growth on your money. So let's take a look at one of these contracts here. You'll see we have a very basic horizontal and vertical axis. We're going to start with a foundation on our policy. We'll call this the base policy. And just to keep our example simple, let's assume that we have a $100,000 whole life insurance contract. That's the starting death benefit. The next thing that happens is of course we need to have a premium that goes with this. So for the purpose of our example, we're going to assume that the owner of this contract said, hey, I want to contribute $10,000 a year into my personal banking system using a whole life insurance policy. So that is the premium that the owner decided they wanted to contribute. And based on their age, they get a hundred thousand dollars a whole life for that amount. Just to keep our numbers very simple. Now the key thing is that that premium is broken down with two components. The first component is what's called the base premium or the minimum that's required to keep that policy in force. The second component is what we refer to as the paid up additions rider or the PUA for short. This part is flexible. It's an optional top up payment that allows you to turbocharge the accumulation of your whole life insurance values. So for the sake of our little example, let's assume that the minimum premium in our example is $4,000 and the flexible premium is $6,000. Now, everyone's circumstance will be different. Every policy design will have unique features to it. We're just trying to keep it very simple for the purpose of our example. Now, when the policy owner pays that very First Premium, the $4,000 is the required amount to service that very first foundational level of insurance. The flexible part does something really cool. It comes all the way up here. And what it does is it purchases what's referred to as a paid up additional block of insurance. So let's assume our $6,000. To keep our math simple, it buys us $25,000 worth of new paid up additional death benefit on our contract. So it's increased the total death benefit. We started with 100,000. Now right after that policy is issued and we Funded that full premium that we wanted to put in. We've accumulated new death benefit of 25,000. The new total death benefit is 125,000. Here's the wonderful thing. Because we've increased the death benefit, we've also increased the requirement for the insurance company to increase our cash value. Because the cash value must, must equal the death benefit by age 100. So they are required to continually growing the cash value which is our asset each and every day that we age closer to age 100. Now another really cool thing happens after this. At the end of the first year, the insurance company get together and they gather around and they find out, hey, how did we do on all of our policies this year? And then they distribute their divisible surplus or their profits with all the owners. That's what's called a dividend. Now that dividend that you receive, and for the sake of our example, we'll keep it nice and simple, let's just say it was $1,000. Well, it goes in and it also buys one of these paid up addition blocks. And that adds to the contract as well. So let's say that it was 10,000. So now in the very first year, partly because of what we did and a little bit because of what the insurance company did, we have now accumulated death benefit of an extra $35,000. So we have a new death benefit of 135,000 and the cash must grow to equal that new number. Now this process repeats and repeats and repeats year after year. And the dividends begin to increase and the paid up addition blocks increase and the cash value has to follow along with it. It's literally chasing after it. It's like the game follow the leader. The, the death benefit is a leader and the cash value is, is chasing after it. Now as this process begins to continue over time, these events continue to stack on top of one another. And the end result is we have a wonderful growth line that is a constantly accumulating curve of cash value. So everything that's underneath this cash value line is equity. Now this is equity you own and control. It's an asset. Just like asset or value. You would have equity in a home that you, you own. The difference is you don't have to go and ask permission to, to get access to the equity in this contract. It's as simple as filling in one piece of paper and that money can be directed, deposited into your bank account. That is total and absolute control over the use and liquidity of your money. The beautiful thing is you're not actually using your capital, you're using the insurance company's capital that you co own. So they're lending you the money and you co own the lender. Meanwhile, your money continues to grow uninterrupted because it never leaves this wonderful system. It stays there the whole whole time and is always working to your benefit.

Sorry about that. Had to get my camera kicked back on here. Okay, now wasn't that an awesome video? First of all, Richard's amazing as a great teammate of ours, in fact, Richard shout out to Richard Canfield. He was my first mentor as it relates to this process and he was the one who actually introduced me to Jason Lowe and ascended financial. So I have a great debt of gratitude to Richard. I'd love to hear from just Dan. If you don't mind chiming in, I'd love to hear some, some feedback. First of all, did you get value out of the video or better yet, share one kind of one aha moment or a major takeaway? Was there anything that this clarified for you? What comes to mind after having watched that about seven minute video?

Let's give everybody a moment to chime in.

Hey, we got a great explanation of the how the PUA works.

Fern.

Awesome.

That's ridiculously simple.

Shout out.

Don't be shy everybody. Love to hear just some thoughts. Or are you more confused than when we started?

Explosion of policies, Frank.

Explosion of policies. Sounds good to me. Put more money in. I see that one. Put more cash or more dollars in. Well done. Don't be afraid to capitalize. Absolutely. Can't wait to get started. Oh, hi. Hi Kim. Good to see you. Thanks Dan. Awesome explanation of how it works. How puas works. That's great. Okay, awesome. That's great. Hey Michael, good to see you. Oh, Natalie, good to see you. This is great. Awesome everybody. Thanks for the feedback. Fantastic. Yeah. Such a great video. Liz. Earlier, my teammate Liz Shout out Liz, she shared the link in the chat. Once the chats slow down, Liz, maybe you can share that video again. Go ahead and give that video some love, head over to Banker's vault, watch it again, give it a like we want to really increase the watch time on that video because people need to see it. And part of the reason is because the title of the video Making sense of paid up Additions, people don't know what that means. They don't know what paid up additions are. Sorry, I get something in my eye. People don't know what paid up additions are so they, the video is not getting, you know, the algorithm or whatever it's not getting a lot of shine. So share that video, let people know about it if they ever want to really get a better understanding. It kind of explains the contract a little bit like the power of whole life insurance and that uninterrupted compounding. So the power of paid up additions. And thanks for Richard for carrying some of the heavy load there for me. So I want to also, again, again, Dan, if you don't mind, I'll get you to check in. I want to get a quick value check because we laid the foundation. We're going to start getting into some of the meat here. So just at a 1 to 10, one being like you can't figure out why you're still on this call and 10 like you can't wait to dive in and start looking at some case studies and, and seeing the practical application of the, of the process. How, how are we doing so far in terms of value?

We got some good tens and 11s and,100 and yeah, goodness.

Okay, awesome. All right, much appreciated. Thanks everybody. I appreciate it. Like, it's a little cheesy, but I'm like so excited. You don't understand, you know, when you're, when you're truly like living your dream in the moment, it's kind of surreal. So, speaking of which, if you're getting a lot of value, don't delay, don't hesitate. It's very simple. We have a special call designed just for you. We call it a becoming your own banker call. All you have to do is text the word schedule to 7808-0945-9978-0809-4599. One of my teammates has probably already put that in the chat. It, it's, it's a free call, it's complimentary, and it's just a clarity call to help you better understand how the process works. And we can give you some good guidance on what education you should dive into or, or if you've already consumed a lot of content, we'll go ahead and, and connect you with one of our teammates to start the coaching process. But schedule seven, eight, zero. Schedule. Text the word schedule the 780-809-4599. Okay. Awesome. Hey, Sarblo. Shout out to Sarblo Gill. He's got some real skills when it comes to slides and, you know, success leaves clues. Sarblo is a very talented guy and what I've done is I basically ripped off all his slides because I have a unique ability which is running my app and he has a Unique ability which is also teaching and running his yacht. But he's got these amazing slides, so I just steal them. So think about this for a second. Something to note, a point of note. It doesn't matter. This process isn't about, hey, become your own banker and put money into whole life contract and don't do anything else. You don't need to. Now, of course, if you did that, you'd probably be just fine. And I'm being serious. You could plow a lot of money into whole life policies and you probably sleep really well at night. However, this process is about what you are already doing and how to enhance it. It's about what you can do. It doesn't matter. If you put money into the stock market and the stock market goes up, your cash value goes up. Unfortunately, stock market goes down, cash value goes up. If your crypto goes up, cash value goes up. What about crypto goes down, Little volatile cash value goes up. See, it doesn't matter what's happening with interest rates or anything out there, else out there in the environment that you can't control, the cash value just continues to go up. It doesn't matter. Now, something you might be familiar with, and Nelson does a great job of explaining it in his book, you might not be aware of this. There are always four characters in the financial play. And what do we mean by that? It means no matter what you want to achieve financially, there's always four characters. So that doesn't matter if you're going to go finance a new vehicle or pay off some debt or take advantage of an opportunity or go on a trip, you have to have four characters. Well, the first that you're very familiar with is a depositor. We are all depositors. We're all earning an income. It doesn't matter if that income is a government income or if it's a pension income or disability income or earned income of some kind. It doesn't matter if it's interest income, it doesn't matter what the income is. We're all depositing capital. The money has to be deposited. It's got to reside somewhere. We're all borrowers. Now, let me explain. Some people say, well, Vern, I don't borrow money, I pay cash for things. Well, I mentioned it a little bit earlier. We talked about opportunity cost. If you're a person who pays cash for things, that's fine, but you're giving up the opportunity to grow that money. So you're either paying interest to somebody else or you're giving up interest. You Otherwise could have earned. There's no way around that. It's just the truth. Now, who is the third character in the financial play? The third character is the banker. Now, what's the job of the banker? The banker is the one who grants you access to the money. The banker's the one who's going to tell you how much you can get access to, when, for how long, when you're going to pay it back, what's the interest rate going to be, all of that, they dictate all of the terms. And then the fourth character in the financial play is the bank owner. And the bank owner, their role is pretty simple. They are the one who makes most of the money, and rightfully so, because they're the one who owns the bank. Now what our, our, the reality of it is most of us are only ever going to be two characters in the financial play, in the policy system itself. And it has a lot of the attributes of an actual bank. You can deposit money into the policy or at the life insurance company and you can borrow from the policy. But if you own the contract, aren't you also the banker? Aren't you the one who can dictate the terms of when and how you access the 90% of the cash value? Absolutely. And aren't you the one who dictates the terms of repaying that loan? Now think about that for a second. Most of us are not.

Not used to being in a position of control. We're not used to being in a position of ownership. So when I talk to my clients, sometimes I've, you know, newer folks, and sometimes people come back and ask again, like, hey, don't I have to, I have to make a minimum payment though, right? Like before the end of the year. Now, keep in mind, we heavily and highly encourage you to repay your policy loan. Somebody has a mic unmuted. We heavily encourage you to repay your policy loans and ideally on a schedule. Okay, I'm not saying don't pay your policy loans. What I am saying is that nobody from the insurance company is ever going to call you and say, hey, you were paying $500 a month to your policy loan and then you just stopped for some reason. What's going on with that? Or you borrowed money from your policy eight months ago and we haven't received a policy loan payment yet. You might borrow money from your policy and you want to deploy it to an investment opportun that's not going to pay out for a number of months or a number of years. You can do that you could choose not to pay back your loan until you get that windfall or the cash flow starts coming back. You're the banker, you dictate the terms and you are the sole owner of the contract. And you co own the lender, you co own the life insurance company. So that means that every penny that you pay back to your policy, including the interest, is being put to work for you and you can access that money again. It's not lost to you. You get to contribute to the profitability of the life insurance company that you co own and they then contractually have to share profit with you. Like you're already banking, you're already sending all of your money through the books of someone else's bank. Why on earth would you not get started in this process like yesterday? That's my thinking. But hey, that's just me. Now Nelson Nash, God bless him again, I said I was going to keep this process ridiculously simple. And Nelson helps us do that because he left us from very specific rules that we need to follow in terms of how we want to set up our program. And he said, hey, you got to think long range. He was trained as a forester and he was taught to think three generations ahead or 75 years into the future. And so that's what I'm doing today. That's what all my teammates are doing. We're putting policies in place today because we know one day we're going to die. That's just how it's going to go. And there's going to be a huge tax free windfall that's going to show up as a result. So I've got policies on my own kids, I've got policies on me and my wife and I'm looking to ensure as many family members as we can because we want to create that multi generational wealth effect. And if I have policies on my kids, that means I can immediately put policies on my, my grandkids if and when they show up because the life insurance company requires that the parent is insured unless for some reason they're uninsurable. So I already look at policies on my kids so I know that we can immediately put policies on our grandkids and continue that multi generational wealth effect. And you gotta, your money has to reside somewhere. Your, your capital, your wealth has to flow and it's already flowing right now and it's being put to work. So don't be afraid to capitalize your policy system. We want to get as much into the system as we can. If you've read Nelson's book. You're familiar with the third golden rule, don't steal the peas. If you haven't read Nelson's book, it'll become a lot more clear to you when you do read Nelson's book. But essentially what he's saying there is if you're going to borrow money from the company, the life insurance company that you co own, make sure you repay that loan and repay that loan with more interest than what they're asking for or more, more than what you, what you took out. Because the more money you send back to the insurance company, the more capital gets put to work, the more profitable the insurance company becomes and the more access to capital you have. So don't be, don't steal the piece. Don't do business with banks. Now there are some instances, depending on somebody's situation, where they may decide to do what's called a collateral assignment. We're not going to talk about that today. But banks, actual banks, they really love these insurance contracts because they know that they're a very strong asset with guarantees. So they're happy if you qualify. Now if you're dealing with the bank, you got to qualify, right? Because that's how it works. But if you qualify, they're happy to lend you sometimes 90 to up to, in some cases, up to 100% of the total cash value. So banks are either really stupid or they know something that we don't know. But the point to don't do business with banks is that unfortunately, we are unknowingly and unwillingly contributing to the inflation problem all the time when we borrow money from banks because ultimately they're this, they're just printing money. Well, not, not literally in a lot of cases, because it's a lot electronic. But that's how they inflate the money supply is through issuing loans. And a bank can't issue a loan without a deposit. Now I know they do the fractional reserve and all that crap. We're not going to get into that. But the point is, is money has to come in. Doesn't matter what ratio they're holding, they have to have deposits before they can issue loans. Now you got to rethink your thinking. I believe this was a fifth golden rule that was added shortly before Nelson was. Nelson passed. And I could be wrong on this, but I think he credits Jason Lowe for coming up with this fifth golden rule. But it's rethink your thinking. Because when you think you got something, when you think you really know it, when you think you've arrived. That's when you're going backwards. You got to rethink your thinking. And I can't tell you how many times I've had a conversation with one of my teammates or how many times I've read a section of Nelson's book and I go, when did they put that in there? Where did that come from? And I go, wow. It's like I read it for the first time. I discover something new every time I read a section of Nelson's book. And take you back to the average rate of return. Example, rethink your thinking. Okay? Rethink your thinking around the banking process and the flow of money. Okay, so financial DNA. I just wanted to put this in here to let you know that that's part of the whole equation in terms of how to get your system started. We got to focus on education, you got to take action, book your call. And you got to continue to educate yourself, get together with a coach and start to implement the process. Clearly define your, your, your objectives. But also we need to really understand your financial DNA, how you're structured financially so that we can give you good guidance on how to get the system started. So here we go. We're going to get into the meat, baby. Let's get it. Let's do this. I'm so excited.

Okay, we're going to do three case studies here just like I promised at the beginning of the call. Now earlier in the beginning of the call, I said we actually don't want to pay off debt. Now I don't mean that I'm not repaying my policy loans, but it's just a different way of thinking. I'm not just taking money and paying off the debt. Woohoo. I'm debt free. What I actually want to do is I want to recapture, I want to steal that asset back from the bank. They've been robbing me blind for way too long. Been borrowing money from them and paying them back on their terms. I've been depositing money there and they're putting my money to work and not sharing any of that profit with me. What I want to do is I want to take those valuable assets called my liabilities and I want to recapture them within my own policy system so that I can recapture the interest that was once leaving me and the principal payments that I was flowing away from my family. Anyway, so we got to rethink our thinking. Now I'm going to share a personal case study here. I don't know if you recognize that guy. That's me. And my awesome Ford F150. If you're not a Ford guy, don't bust my chops too much. It's amazing truck. You know what's cool is when you are a person like me where you, you keep vehicles for a very long time. So I had cars that were 10 and 12 years old, respectively. I didn't have the cash that I needed to finance a new vehicle. I didn't have the money in my system. In 2019 when I financed this vehicle for 46,000 bucks, that was the all in ticket price. And you know, they gave me all the discount and everything because it was a 2018 vehicle that was brand new with 40km on it and nobody picked. Somebody didn't pick it up, they ordered it. So I had a couple bells and whistles on it, but nothing fancy. It's pretty much a base model, but I had like a. A 2009 Mazda 5 and a 2007 Toyota Matrix. Great cars, but I didn't take very good care of them, to be fair. And I'm not a car guy. And I also was just starting to gain momentum. I had already been implementing this process, but just starting to gain momentum within my system and just starting to gain momentum within my business. So I just needed to focus. Have you ever been in a situation where you just needed to focus? And so I needed to solve this problem to have a safe and reliable vehicle for my family. And I didn't have the capital in my system to go ahead and do that. So what I wanted to do is I said, okay, let me go over the dealership and let me work something out that's affordable, but also where the least amount of money is flowing away from me? Why do you suppose I'd want to have the least amount of money flowing away from me other than the fact that nobody wants to pay huge bills? Well, the less money that's flowing away on someone else's terms, the more capital I have to put to work in my system. And that's exactly what I did over those next two and a half years that I'm about to share about. I continued to capitalize my system and add more policies. I think at this time I had six policies in my system. We now have 12. And I. I was achieving other smaller objectives and recapturing other payments in the, in the process of getting to the point where around August, I believe it was literally August 20th when I made the call. But August of 2021, my balance on the car, on the truck, excuse me, was $34,380. And I had kind of looked at my system and I said, hey, I got the cash in my system. It's two and a half years into an eight year loan. So it was already planning to pay $300 BI weekly to someone else's bank for the next five and a half years. And at this point the principal that I paid down was $11,620. So it's time to rethink our thinking about car financing here and also rethink your thinking around interest rates. Interest rates are nothing more than a distraction. You hear 3% and you think, hey, that's a pretty darn good rate. But it really comes down to how that loan is structured. Even with car loans, in a lot of cases they have heavy front end loaded interest. I did the math earlier and you can divide $20,400 and $400 into 8,720 and I think the number was something like 43%. My interest rate, I can't even remember what the interest rate is, but it was, it. Was it 3%, 5%, 8%? I don't really know, I don't remember. But the point is it wasn't 43%, but the volume of interest that my payments flowed away. 43% of every dollar I sent to the company went to interest alone. I only made $11,600 of progress after making 68 payments. That's absurd. So rethink your thinking. Look at the value of what we're going to be able to recapture within our policy system. So let's take a look at what we did as a family. So at the time, we had six policies in our system and we'd been achieving other objectives. And remember, our cash value grows every single day. And the growth within our system at the time was about $25. So what was happening is I was flowing $300 every two weeks to someone else's bank. Every three weeks. Money just leaving my family. And what I did was I called the life insurance or actually I can't remember if I called. You can with some companies. It depends. You can call in. I sent them the policy loan request and about a week or so later the money showed up. I think the loan was actually closer to 35,000, but $34,380 showed up, up to the family. And then what we did was we then directed that money through an online bill. Payments actually kind of fascinating was a huge payment, but I made it in one shot, which was cool, and it paid off. Ford Credit Canada And I eliminated the bank, I controlled now that portion of the financing function. And then what I'm going to do is get rid of that 3 or that $300 BI weekly payment. And now because I'm a responsible banker, I could determine the loan repayment. So I redirected the payment right back to our family banking system. And now I'm collecting and accumulating the payment that was already leaving me. And I already had that money budgeted right. So I can keep on making that payment and helping to sustain my program. It doesn't have to go back as a loan. It could go back as premium or it could go back as a combination of both. I could increase the premium or increase the payment, decrease the payment. I have total, absolute control. Now let me ask you a question. If you co own the life insurance company, if you co own the life insurance company and you found out that the life insurance company was lending money to other policy owners and not charging them interest, would you be okay with that? Put Y in the chat for yes, you're totally fine. They don't need to charge anybody interest. Or put no or n for no, no, you know you do want them charging interest. So why for? Why for yes. If you're okay with them charging no interest.

What do we get?

We got a lot of nos coming in there.

Okay. Oh my gosh, we got a smart group here, right? The insurance company has a responsibility to put money to work, to grow profit to share with us. So if I found out that they weren't paying interest or they weren't charging interest, I would not be real happy about it. So I'm happy to pay interest back to the insurance company because I'm either going to pay it to them a company I co own that puts the money to work for me or I'm going to put pay it to somebody else anyway or I'm going to give it up by paying cash. So I co own the lender life insurance company has, right now the company I'm referring to has a 6.5% simple interest. Okay, simple interest. So what they do is they look at the total loan principal and they look at the total interest that would be charged for the entire year. They divide that by 365 days and then we get our daily interest, which in this case I borrowed 34,000. Well technically I borrowed 35,000. So the daily interest was $6.12 times by 30 days, $184 a month. Okay, flowing. And I'm recapturing that interest in my system because as I pay back the loan, I can eventually re access that interest as well. But it also helps create profit for the insurance company. I co own the lender. An interesting word. Okay. I don't want to get too far off track with this, but. But it's interesting to think about. Not an interesting word, but an interesting concept to think about. Think about control.

And think about privacy. Okay. I own policies at what's referred to as a stock life insurance company. Stock, meaning you could buy stock. They're publicly traded companies, so that means that they have participating policyholders that they share profit with. Awesome. Thank you very much. You do a great job. And they have stockholders that they share profit with. And who do you suppose is more important in that equation? Is it the policyholder or the stockholder? If you said stockholder, ding, ding, ding, winner, winner, chicken dinner. You got it. Now think about this. This mutual insurance company that I own policies with, in June, they vote to determine if what they're going to do with the policy loan interest rates. The board of directors gets together and they decide. Now, this past June, over the course of the year, you know that some crazy things have been happening with interest rates. And the mutual insurance company got together and they said, gosh, we should respond to this whole bank of Canada interest rate thing, shouldn't we? Yeah. You know what we're going to do? We're going to bump our policy loan interest rate from 6.2% to 6.5%. That ought to cover it. I've got policies at stock life insurance companies. Now, I'm just pointing this out because it's interesting.

They've increased the interest rates three times, two to three times in this one year. Much like the commercial bank. A direct response in what's going on at the bank of Canada. My interest rate on one of the policies that I have went from 4.7. It's now 9.2. Which means. You're going to see. It means that they're withholding more of my cash value when I have a loan outstanding to service the interest and giving me access to the net. Well, if the interest rate keeps going up, that means I have access to less cash. Right. So it's just interesting. Who do you think the stock life insurance company is trying to appease? Why would they be raising the interest rates like that? Is that because they're trying to help or share more profit with the policy owners? Or might they need to increase their quarterly profits and to show their shareholders what's going on and keep them happy? Something to think about. Mutual companies don't have that downward pressure by shareholders. They only respond to one master and that's us, the participating policyholders. So we have a monthly cash, or, excuse me, a daily cash value growth of 25 per day times 30 days. You can see right here, I have $25 a day times 30 days minus. So what they do is they withhold the interest. We got to pay interest. So they subtract the, it doesn't interrupt the growth on the cash, but they're just withholding that capital while the loan is outstanding. So we subtract from what I can access $184 on a monthly basis, plus I'm paying back $600 a month to the policy loan. So every time I pay $600 back to the policy system, I can go back and access $1,166. I say again, I pay $600 back to my policy loan. I can go back and access $1166. Does that sound like a financial tailwind? Do you know anywhere else that you can borrow money, pay back 600 and then go back and access almost 1200. Does it make sense to get into the banking business? Are you okay to be patient and delay the progress? Is it okay we got to capitalize the system over a number of years be so that there's before there's more cash in the system than what you put into it. Now we don't have to wait 5, 6, 7, 8, 10 years to start implementing the process. You can implement the process right away, but you're just not going to get access to more money than what you put into the system in the early years. But you are going to get access to some cash without interrupting the long term compounding. It's extremely powerful. So that's a great example of car financing and recapturing debt. Now if you can do this with car financing, is there anything that you can't do it with? Absolutely not. That's why Nelson called it infinite, because you can't put boundaries around infinite. Right now this is another slide that I stole from Sarblo because it's awesome. So think about this. Look at the debt side. This is the typical situation for people. And then we have our net worth. What's happening to the cash value Every day it's rising. And what's happening to what we're doing here is we're, we're borrowing from the policy to repay repay or to recapture the debt. And we're redirecting those payments back to our system. So every Single day, every single month that goes by, every time we access a loan to pay down debt, we're getting rid of the debts that resides in someone else's bank. That's. That's increasing their net worth. And the more I recapture that debt, the more time that goes by, the more my cash value increases, the more our net worth increases. And we're recapturing all that debt so we fully control the financing function. It's just an awesome visual. Okay, great. So I'm actually doing really good for. For timing.

I'm just gonna.

Okay, can we just get a quick maybe. I see there's a lot of comments, and maybe one of my teammates can chime in to help me take a look. Was that. Was that a pretty good. Was that a pretty good display? Like, this is a real case study that me and my family took advantage of. Was there. Was that pretty easy to follow? Did we all kind of pick up what I was laying down there? Big thumbs up. Thank you.

Let's see. Yes. Great example. Awesome. Thank you. A wife for. Yes, thank you very much. Great example. Oh, thanks, guys, for the emojis. I love that. That's so cool. I appreciate that. Simple and easy to follow. Thanks, Liz. Heck, yeah. I love it, Mark. Thank you. Okay, great. Awesome. Now shout out to. Oh, somebody gave me a thumbs down. Well, thank you for being honest. I appreciate that. I got a couple of no's and some n's. I don't know, maybe that's something else. Okay, sorry, I scrolled too far in the. Maybe I scrolled too far back in the comments. So maybe that was referring to another question that I asked earlier.

What's this say?

I'm not sure what that comment means, but maybe put that question in.

Put that question in the Q and A window there and we'll have a teammate address it. Okay. If you have questions, put them in the Q and A window. Awesome. Thanks, everybody. So shout out to my teammate, Satish. Satish, you're amazing. Satish started as a client of mine. I was lucky enough to work with Satish. This guy is just an amazing human being, and he put in a ton of work to learn about how this process works and about our company. And then he wanted to join. He went through the whole interview process, and now he's. He's training and being coached to implement the process with and to coach good people just like you. And he did an amazing job helping me put together these slides. So I really appreciate your help, Satish. And what we did is we kind of kept that theme going and sort of followed the same theme as the debt recapture for this, this next example that I'm going to share with you, talking about how to sustain multiple policies. Because that's one of the questions that we get asked, Vern. Like you started with 1, 2 and you had 6 and now you got 12. And many of my teammates have multiple policies. Jason Lowe, at this point, I think he's up to 72, 75, something like that. Well, one of the ways is very simple. You work really hard.

Some people just earn good income or I'm really committed to capitalizing my system. So I sacrifice in other areas and I work really hard to generate more income and generate more revenue so that I can pay more premium, so I can build more policies. Because I know that I need to, I know that my need for financing is never going to end. So that's the one thing that's kind of a no brainer. But this example is going to show you a practical way to use the money that's already flowing through your life to build and sustain more policies. So let's take a look at it. So this is a case study where we have a, a business that, that has trucks that they need to run the business. So truck financing. So here's the situation. This is a family that has an established bank already. A family bank. The principal outstanding on the policy or on the, excuse me, on the truck financing is $32,000. They've been paying for it for a number of years and the monthly payment is $1,000 per month. It's a thousand and change. But we rounded down. Okay, four years is remaining on the financing. Now we have an opportunity to rethink our thinking here. So is the monthly commitment of $1,000 only limited to the four years?

Absolutely not. What I mean by that is they have that thousand dollars already built into their budget and they're going to need more trucks anyway. So do they have to stop the thousand dollar payment after four years? They don't have to. Now can this long term cash flow outlay be looked at in a different way? So let's think about this for a second. So again, a family system of six policies, that's more of just a visual in this case, just so you know. But what's happening is the family business is flowing, by the way. You can implement this process personally and you can implement it corporately or you can do a combination of both. It really depends on what your objectives are and where the money resides. So the fan, the. There's a Thousand dollars, just like my last example, flowing away every single month. So what this family did was they accessed a loan for $32,000 from the system. And then they went and they, you have to pay off the banker, right? So they paid off the bank and they eliminated that thousand dollars payment. Now, in my example, I showed that I took the $1,000 and simply repaid the policy loan with it. I mentioned that you can do really whatever it is that you want to do with it. So this family came to me and said, hey, what if I were to pay $500 a month out of the thousand that I'm already used to paying to somebody else? Vernon, I want to capitalize. I want to put my money to work. I want to, I want to compound more cash, more capital in my system. Like do I have to send $1,000 back to the loan repayment? I said, hey, you're completely in control of the repayment schedule and you can sustain these payments. So you can absolutely use $500 a month or $6,000 per year to add the seventh policy in the family system and follow the golden rules. You know, by paying premium, you're not stealing the P's by the way, but repay your policy loan. So they took $500 a month and repaid the loan with it. And they took another $500 a month and started another policy. Powerful. So they got rid of the liability, they replenished the policy loan, and then they put more capital to work and expand the family banking system. So let's take a look at expanding the system in sustaining multiple policies. We'll look at a bit of some questions to kind of think about here. How is the family planning to sustain the premium for policy number seven. Well, again, they're not limited to four year window for making that thousand dollar payment. They're sending the money back to the policy. They're continuing to capitalize and sustain the existing policies they already had in the system. And they're putting more money to work. So they're going to be more than prepared to finance the next vehicle or the next major expense that they need because they're continuing to grow and compound. And every year that goes by, all the existing policies that they already had are just getting stronger, right? The dividends are compounding, they're putting more capital in. The daily cash growth is becoming more efficient. So they're building this family bank so that eventually they can completely sustain the financing function as it relates to their needs. So that's how they're going to sustain policy number Seven. Now, did the total cash value of the system increase or, excuse me, the total death benefit of the system increase? Absolutely. So think about that. They added another policy to their system. So that means there's more death benefit. That means that inevitably one day someday someone and all of them are going to die. And that's so they've added more protection for the family but also created more growth and compounding as long as you're alive. And so think about what we talked about earlier in terms of the loan repayments. Well, they borrowed 32,000, paid off the loan, they were paying the bank $1,000 a month. And you'd think, well they want to do the same payment at least back to their own policy. So they're paying the policy back at a lesser rate than what they borrowed. Boo hoo. They can extend the light the length of the loan if they want to, or they can use a windfall from selling an asset down the road, having a bigger revenue month, getting some type of a death benefit return.

Right.

If that happens, they can backfill that policy at any time and then use that death benefit to continue to sustain premium. So I have something to share with you. There's actually a sixth golden rule that was created after Nelson's passing. And we have a webinar on our Bankers Vault channel that David Stearns from the Nelson Nash Institute and who is Nelson, who is Nelson Nash's son in law shared with us live on a webinar that there's a sixth golden rule. He told a quick story where he was talking about how he was worried about what Nelson was going to say to him when Nelson asked him about let's get together and talk with the family bank, I want to know about the policy loans. And he was really worried that Nelson was going to be upset that he had over half a million dollar policy loan balance. And he goes, oh Jack, I'm not paying these back on a regular basis like I should be and this and that. He was beating himself up about it. And so Nelson asked him like how hey, what's the loan balance? And he said, oh, it's about 500,000. And Nelson leaned back in his chair. Oh thank God. And he goes. And David was surprised. He goes, what do you mean? He goes, well I'm not going to be around forever. Boy, you need a place to store those large windfalls that are going to come upon my passing. Because I believe I could be wrong on this. I think there was.

20, I can't remember 20 death benefits. Maybe if one of My teammates knows you can say on when Nelson passed, there was 20 death benefits, that he had policies on his own life. So I think either that or there were 17 policies left in force. I can't remember, but obviously Nelson had a bunch of policies. And so he said, look, you have to create capacity for windfalls, because if you have all your policy loans paid up and you have all your premiums paid up and you come into a windfall of cash, where are you going to store that money? Of course, you could start more policies, but it's going to take you a number of years to get that full windfall into the new policies. Right? So we have to create capacity for windfalls. Okay, awesome.

Isn't that. Hey, shout out Jason Lowe. Isn't that good? Isn't that good? Was that awesome or was that awesome? Can I get some, some love in the chat, did you. Was that. Was that much different than a debt recapture? Pretty much the same. We did a debt recapture, but in this case we expanded the system at the same time. Awesome. Thank you guys for the, for all of the emojis. They're probably all coming from my teammates, but I'll take them anyway. I love you guys.

Awesome. Okay, so.

Two types of work, right? Money at work and people at work. So we want to put money to work so we can, if we can use the system to recapture debts and recapture payments, can't we use the system to finance investment opportunities? Because anything that you want to do financially is a, or any object objective that you want to achieve is a financing objective. You have to think about the financing function as you go. So here's the case study and some, some, some facts about the study. So this is an investment opportunity that was going to create 12% rate of. A 12% rate of return. And that's a real rate, not an average rate. This is actual cash flow. It's not a growth deal. It's a cash flow deal. So here's the background on, on the deal. Oh, that was a typo. I meant to fix that. It says capital available. There is a. In this system. There. These are people who are already practicing the concept. They'd already capitalized. They have capital available, but the capital available was north of a hundred thousand. But the capital required in this example is what it should say required is a hundred thousand. So that means that the return is 12%. That's $12,000 divided by 12 months. A thousand dollars a month is the cash flow. Now you have financing options, don't you? You could use your own capital Literally pile up money, take your cash, finance the deal. Well, if you do that, you then permanently give up the opportunity to grow that money while it's tied up in the deal. Yes, you're getting cash flow back. See, this is one of the things that's unseen. You need to think about that. I took my cash and I got this investment. I feel great about it. That's a good thing. You did a good thing. But your money's not working as hard as it could be because your cash is now caught up in the deal. It's been loaned out, let's say through private lending. It's a mortgage now. Well, you're getting cash flow back, but your cash itself is actually not growing, it's just sitting right. So you could use your own capital. That's one option. Option number two is you could borrow money. You could use your home equity line of credit. If you're not sure what that HELOC acronym, that's Home Equity Line of Credit. So you're borrowing money from your own home, the equity in your home, and you can finance a deal. Well, then, you know, you have to now service interest every single month, which is going to cut into your profit. Now, yeah, you get the tax deduction, but me, I would much rather have the cash. Right. So you're. And you have to, you know, and follow somebody else's terms. There's no guarantee that you're going to get access to the, the home equity line. Now, the third option is to rethink your thinking about the financing function. And there is a third option available that will enhance your rate of return by controlling the financing function. And by the way, I don't know if you guys can access this and if you can, it's all good. But there are webinars on our site. There are examples on our site that actually dive deeper into this example where they show, here's the same investment side by side. The person, this person decided to use their cash. This person decided to use a home equity line of credit. And this person used the process of becoming your own banker. So you can actually compare and see how implementing the process and controlling the financing function enhances your rate of return. But what I'm going to focus on in this example is just the results from what this family did. They decided to.

They decided to use their policy system without changing the investment objective or the capital outlay. They just changed the process. That's all they changed is what they. The process that they used to finance the opportunity. So similar situation here. I got to Repurpose these slides. But this policy system is growing by $50 a day. I have single, single policies that grow by $50 a day. The more you put, the more you get, the longer you comp. The longer you contribute to the system, the more the cash flow is going to accumulate. So $50 a day is the growth. They borrow a hundred thousand dollars from their policy system to finance the opportunity, right? So they, they put the hundred thousand into the investment. And so what's coming back to them is a hundred, or excuse me, a thousand dollars per month. And so this family, I, they should have bought more policies. No, what they decided to do was repay their policy loan. They're replenishing the P's on the shelf, right? They're repaying their policy loan at $1,000 per month. And keep in mind, the hundred thousand bucks that they put in the deal is not gone, is it? It's going to get returned one day. So they can use that 100,000 bucks later to fuel their existing system, start more policies or backfill their policy loan. But in the interim, they're replenishing the policy loan every single month. Because this family's working, they're earning income, they're sustaining their lifestyle from what they do as a profession. So they don't need the thousand dollars a month to live their life. What they're committed to is creating wealth. They're committed to creating freedom. So what they're doing is replenishing that money right back in their policy system so they have more capital to go and take advantage of opportunities down the road.

Okay, but we got to pay. We got to contribute to the profitability of the insurance company, right?

We got to pay interest. We got to service the interest. So. And when I say service the interest, by the way, I don't mean you have to make a payment every month, okay? The interest is being serviced, it's being recaptured right within the policy cash value growth. But there is interest being charged. So take a look at this. For a financial tailwind, the daily growth is 50.

Oops.

Hey, book your call. The daily growth in the system is $50 per day times 30 days, less the interest that's being withheld plus the thousand that they're repaying. So how is this for an enhancement? How is this for a tailwind? They're putting a thousand dollars back in their system, but every month they can go back and access nearly 2,000. Is that increasing their net worth month after month after month? Absolutely. And they have access to more cash than what they're putting back into the system. So that's super powerful. Okay, so I got a lot of love in the chat, I got a lot of emojis, all that kind of stuff. I hope you got a ton of value so far. So go ahead and text the word schedule to 780-809-45-998094. Excuse me. 780-809-4599. I must not have slept very good last night. Actually, to be totally fair, I got back from my son's football game last night and I was just so friggin jacked up. It was like 11 o' clock at night and I couldn't sleep. I'm not even kidding you. It was unbelievable, man. I was so proud of those guys. So go ahead and text 780-809-4599 schedule. Okay, awesome. So we are super blessed to work with amazing clients and they're super generous with their Google reviews. Now I'm not going to sit here and bore you guys and read this long Google review, but shout out to Sarblo. But what you'll notice is that in these Google reviews they talk about how they're empowered, they talk about how they're getting educated. They talk about how their struggles went from doom and gloom to empowerment, right? And not only that, they talk about team. They do call out some of our teammates by name. Sarblo Gill here, shout out to Sarblo. But what you'll see a lot is they'll talk about, oh look, there's another one for Sarblo. Because you're, you're, you're the guy. Sarblo, we love you man. But they talk about our team because we have an entire team here, not just our coaches, our advisors, but we have a new business team that takes care of our applications. We have strategic assistants that help us, you know, follow up with our clients, confirm appointments, book meetings. We have a whole executive team in the background that are responsible for, you know, developing ideas and events and all these kinds of things that we, that we do as a team. We also have a marketing team that helps with our automation and it's just like a whole engine. And that's what Jason wanted to create was a system, a business that allows people like me, like my other teammates, to focus on our unique ability and do what we're really good at. Do what brings us energy so that we have more energy to give back to you, to bring more value. That's what it's all about, is you can do that too if you're you don't have to be the right the who to solve all your hows. You can find the right who. Somebody who not only can do it, but they love doing what they do. They actually get energy from doing the things that you hate doing. That is a super powerful way to go about doing things. And it just, it reminds me of this whole process. It always ties back in. So look at this guy. He gives a shout out to his daily cash growth. Oops. Hey, schedule your call. He gives a shout out to his to his daily cash growth. How cool is that? So we have a whole process for you to follow. Oh, by the way, did I so far? Actually no. I'm going to ask this question at the end. I'm going to ask this question at the end. So step one, schedule your 30 minute becoming your own banker. Call Sarblo. These slides look familiar. Step two, your first infinite banking meeting where you'll review your financial DNA. You'll get some additional clarity and then we meet again to start to put together. Now this says a debt recapture plan. Keep in mind most of the people we talked to, most of the people already on the call said that at least the mortgage, they said they have debt. Your primary objective might not be debt recapture. We have many people who want to build their policy system and use it to invest right, right away or they've got other objectives that they want to take care of. Debt recapture is just very common. That doesn't mean that you're, you have to do a debt recapture plan, but I just have that on the slide. So step four, when you, when you've met with our team and we've determined that the process is a good fit, there's a good basis for you to work together with that teammate or with our team and you decide that you want to implement the process, which why wouldn't you otherwise.

You know, you can continue to give your money to the banks. It's all good. You have to put in a life insurance application because we are dealing with life insurance. Now keep in mind, ideally everyone in the family would be life insured. But that's not always how it's going to go because sometimes, unfortunately there are folks who are actually not insurable. But if you're not insurable, it doesn't mean that you can't implement the process. In fact, I met with a fellow today who was looking at putting a policy on his grandson. Nelson shares a really good example in the book. I think it's on page 82.

I could be wrong about that. Where he yeah, right there, page 82. What if I am not insurable? So there's actually an example. If you're not insurable, it doesn't mean that you can't implement the process.

Underwriting. So these policies are medically underwrite. Underwritten. Right. So the life insurance company again has a duty to assess the risk because they need to protect the risk pool. That's their job, is to make sure that, you know, they're going to pay those death benefits out, but they want to make sure you're going to be around for a long time to pay a lot of premium so that they can create a lot of profit, so that they can fulfill in all those contractual guarantees and do what they've been doing for almost 200 years straight in Canada. And then you're going to receive instructions from our new business team. That's who helps with the applications, that's who helps follow up with the underwriting and that's who will help send out your settlement instructions. Settlement means that you might have to sign something or send in your ID or certainly you have to pay premium. So you pay your premium, you settle the policy. And then step five is to create your client onboarding meeting. So that's where I'm going to, we're going to review your policy contract, some really important pieces in your policy contract. We're going to review your whole policy report and look at your values and your growth so we can show you the daily growth in your policy system. We're going to make sure that you're already set up on your Equitable Life client portal or client access. We're going to make sure you have your ascendant financial client portal set up and, and then, you know, start to get you rolling on the process and then to start to execute again. It says your debt recapture plan or whatever your plan, your primary objective is, everybody's system looks, is different, just like a.

Thumbprint. Okay? So then we have, you got to stay active, right? You got to stay in the game. See, it says motivation there, advice, success, direction. You're going to have all these things, not just from our team, but actually from other people who are implementing the process. We have some people who are major advocates for this process because they've solved some serious problems that they haven't been able to solve before and they understand how it works. And you know, if you want to go fast, go alone. If you want to go far, go together. That's what this is all about. That's what, that's what insurance is about. It's about common people who got together to solve a common problem. And that's what we are. We're just, you know, we're just people trying to make a difference and building our own system and just sharing all that information with you. You have one on one strategy calls available to you with your coach. You're going to get an invitation by usually semi, semiannually a couple times a year to book a 30 or 60 minute call. It doesn't mean you have to go and book that call. We just want to make sure that we stay in communication, that we don't forget about each other because we have a duty of care to give you good guidance and meet with you at least once per. But every, every six months you're going to get an invitation. If you're, if everything's all good, you can reach out and say, hey, you know, we'll just have a quick chat or we don't need to touch base right now. But make sure we get together at least one time per year to do a strategy session, kind of review your policy and look for ways to expand your system. And you probably have people that want to connect with us. And so we can show you how to bridge a really strong introduction so that those people have the tools and resources they need. And anybody on my team will take really good care of them. So. So if you're presently a client, get in touch with your coach, have a conversation about, hey, like I've been talking to people and maybe you haven't been real successful. Sometimes I meet with my clients and they're really disappointed that they haven't been able to introduce somebody to me. They're like, Vern, I talk to everybody about this stuff, like what do I do? And often what happens is they get really deep into the weeds. And that's not a bad thing. Okay. Because you're excited and you're passionate about it. I always say to my clients, hey, let me do the heavy lifting. If you have somebody who's interested, you just need to talk to them about what's something that you got some real good value out of and just ask them, hey, are you tired of paying all your money to the bank? Right. We can show you how to implement this process. So get in touch with your coach and your coach will show you how to bridge a really strong introduction to those folks that you want to talk, want them to talk to. Or they'll talk to you about how to have a good conversation so you can introduce more people to us because we're absolutely Honored to, to serve people you care about. And we're never too busy to take care of people you. You care about. So strategy calls. And then we actually have. We're, we're. We want to get our, our, our clients coaching clients. Not really coaching them like we do, but sharing ideas, sharing success stories, and sharing opportunities to help you create cash flow, right? Because there's so many clients in our network that do amazing things and they're really good at creating passive income. So you got to get educated, right? You got to educate yourself, you got to understand, you know, have a good knowledge about these opportunities. But that's what's available. So we get these quarterly group coaching sessions where you're invited and then we have literally hundreds of clients that join these coaching sessions. And the feedback's always really great. They get a ton of value from these coaching sessions. And then what happens is those coaching sessions are archived on their exclusive client portal that you have access 24 7, 365 to your client portal. Where there's, there's admin guides on there, there's, there's calculators, there's a ton of content. There's even how to's, there's contact information for the life insurance companies. It's, it's fantastic. And we're always increasing and expanding it. So this is kind of what the, the login page looks like. And with that, let's get your journey started.

Go ahead and schedule your call. If you could put that number in the chat again, guys, and I'll just stop my. Our teammates and I'll just stop my screen share. We still have approximately 40 people on the call if team, if you want to join the panel here, just love to know if we.

Had some, some questions. And by the way, those of you who are still on the call and on the YouTube Live, if you wouldn't mind, just, again, I would love to hear from you. I'm a big boy. I can take it. We always want to get better around here, don't we, gang? I would love to hear some feedback again. If you want to leave a comment, do that. But a one for like, man, you kept me on the call for two hours and I have no idea why I'm here and attend like the second half of the webinar. You got a lot of value out of those examples and, and you're leaving with some additional clarity. So a one for like, why am I here? A ten for you got a ton of value or anything in between. How we doing in terms of a value Check.

And.

And if you. If. Don't be shy. If you want to hit some of those cool emojis, I'm totally down for that.

I'm, like, fishing for compliments. God bless you guys. Oh, the hearts. I love it. Oh, wait a minute. Roman. Hey, I'll give you a call. You're applying for another policy. We can meet. I'll hook you up. No worries.

Awesome. Thanks, everybody. I got some tens. We got some elevens. And was there any. Was there any. Lots of. Lots of emojis. So I appreciate that. Was there. Is there any. Was there any questions? Was there anything that.

That came up that was really interesting that might benefit the group? I know you guys did an amazing job answering questions. I don't know if there was a whole lot of questions, but we can take some questions now if. If folks want to leave some questions. Otherwise, we're. We're happy to give you back the rest of your night.

Yeah, you're welcome. Christian, thank you for being here.

Yes, thank you, Kim. Have a great night.

Oh, here's a good question.

Somebody wants to dive in and jump into this. Maybe.

Sukman or Satish, it says. There's a question here from Jay, and he says, what happens if you want to stop funding your policy in the future? Great question, Jay.

Yeah, I can lead on. And then team, as you guys feel you want to add anything in, you.

Guys can jump in.

Jay, great question. So the systems actually become efficient around year seven or eight, where the dividend can actually take over and pay the minimum required premium. So in that case, you don't have to fund the policy system further than that. However, if your system is growing and you're putting money in and you're getting access to more money, the question would be, when do you want to stop funding that system?

Rhetorical question. Hopefully it's never.

Yeah. So, yeah, obviously, if you're going to get a lot more out than what you put in, why would you want to stop? But, you know, circumstances can happen. Life can happen. You might have another opportunity that's better to, you know, that you want to. Maybe you want to fund a different policy or put money somewhere else. So, Superman, what are some of the options? Like, how does that work, though? Can somebody even stop funding their policy? Like, what does that look like?

Yeah.

So the required premium, as Vern, in the video that you showed, what Richard really goes over, the required premium is what's required of you to actually keep the policy enforced. So that's how much needs to be funded right now. Remember, the cash value has a loan available of 90%, you could actually use that to pay off the loan in times of hardship or whatever the case is. So that's another way to actually fund the premium in times of hardship when maybe you can't cover that premium payment. So hopefully that kind of gives people different ideas. Right. Again it's about, it's an exercise of imagination and the infinite banking system is infinite. So there's different ways to cover that premium in that way as well.

So you can decrease your premium, you can offset your premium using either some of the cash values or the dividends within the policy. Again, that's not the ideal scenario because we want to keep on capitalizing it, but there are many, many options in terms of what to do with your premium, how to sustain the policy. And sukman, the longer the policy is in force.

The more easily the policy can sustain itself. Right?

Exactly.

Yeah. And then usually that's around year seven or eight. And then again the biggest thing that comes up to me as you were saying that Vern, is the control all lies in one person's hands. And that's the policy owners, you are the one that gets to decide if the premium is going to decrease. And that's up to you. You're the only one that can change that. No one else can decide that for you. Which is pretty amazing.

Awesome. Awesome. Thanks Sukhm.

So sorry, can, may I add something to that, that what just mentioned? So you know, if your system is well capitalized and then you stop putting money into it, what I'm going to share is what's not going to happen. And what's not going to happen is your cash values are not going to stop growing. It'll still continue to grow. And just like any other asset class out there, if you stop contributing capital into systems, in this case, system will still grow as I mentioned, it just won't grow as much. And whose behavior will trigger that? That's the key question to ask. Is an insurance company is going to force you to pay, stop paying the premium or is it you who's going to choose to stop paying the premium? So again, exactly what Warren mentioned. It's all about you becoming your own banker. You being in total and absolute control. So again, what we're gonna, what, what, what we're gonna say is that once the system is well capitalized, what's not going to happen is your cash value is not going to stop growing. It's always be going to going to grow. So which is great. And then you can still access the capital. No different than how you would if you were capitalizing this system.

Awesome, Appreciate that. Hey, that's great. There was a question that came. I happened to catch it. It was in the chat and it was Shannon left a question. We can have just a kind of a general talk about this. Guys, I have some or gang, I have some thoughts about it but she just said hey, can you just briefly explain one more time what are, I think it was what are some of the options or how does it work to use that, that windfall from the death benefit? Can you summarize again how to utilize in your system windfalls after death?

Anybody have any comments to make there?

Yeah, I think we could, we could go back and, and think about the options. So Nelson gave us lots of you know, kind of example. So after death you can use it to replenish like so someone passes and their death benefit pays out to whoever their beneficiaries are. Well they can use those to pay debt back in a policy or you can simply you know set it up so that it sustains premiums in a policy of someone that's still alive. And you know you can use it multiple ways like that. So there's lots of options. You know, some people that use it for you know, the next generation and generation after just set up a simple I'm going to play the premiums on my grandchild for the next 20 years with my death benefit or whatever that may be. So there's lots of things you can do like that.

Powerful. Yeah, there's actually some really good examples. In fact Jason gets really vulnerable and he shares about his own family where his father in law passed and he was able to you know, take care of any final expenses that were there a backfill policy loans. That's what Dan was referring to when he said pay the debt back to the policies. Like if you have policy loans outstanding you can backfill those policies with the death benefits. And also I believe they started nine more policies on the grandkids with that death benefit. And I also have a webinar that I hosted with my teammates help on on our YouTube channel called Life Cycle of the Family bank where I, I walk through some examples of what my own system could look like because I'm not there yet. But I show how I can use my own kids policies to help fund my own passive income time, my own later years in life and I, I leave those loans outstanding because I plan to backfill those policies with my own death benefit. So there's Many different things that you can do with. With your death benefit windfalls. So hopefully that helps. Shannon.

How can you. Okay, I'm not sure about this question. Maybe just Alex, maybe get in touch with one of our teammates. How can you. How can we implement more policies as needed? I. I thought I covered that, but I'm not. Hunt, maybe I'm not picking up the question totally. So maybe just get in touch with our team.

But what.

If I may just add here the answer to this question in the next question, you know, from Markian, where they ask, you know, if when adding new policies to a family banking system, is there a point in time where total benefit value, the insurance company says we are overinsured.

Right.

So probably the answer is lying in the this question as well, because this system is expanded not on a single life, but on multiple lives in whom you have an insurable interest.

Right.

So probably you can keep expanding the system. Yes, the insurance company ensures that we are not worth more dead than alive, so there are limits to how much insurance each person can have on their lives. But, yes, you can always add more lives to the system and keep expanding your policy system, and that's how you implement more policies as needed. Probably you can add in some more to that, but I think this is what's coming to my mind.

Yeah, you're absolutely right. The death benefit has to have merit. Right. We have to show the life insurance company that there's a purpose for the death benefit, and they want to see that you're able to sustain the premium. So there is medical underwriting, and there's some. In some cases, there's some more heavy financial underwriting. But that's exactly right. That's why it's a creative process and you rethink your thinking. Right. You always can. You can find ways to expand the system. Technically, yes, there's a maximum that one person can be insured, but if you get to that level, man, that's a pretty good problem to have.

If I may, please let's Open up page 65 of Nelson Book, because that's a question comes up all the time in terms of, you know, opening more policies, capitalizing system. The answer to that question is on page 65. And I can't remember how many times I've read that page. I read that chapter. Every time I read it, I get super excited about opening more policies. And my question to my wife is, hey, how can we find more cash flow to go and open more policy? So who wants to do us the honor? So when do you Want to do the honor and walk us through the first and second parallel on that chapter?

You know what else I can do? Sarblo? Thanks for bringing that up. I'm actually going to do a quick screen share.

Yeah, yeah, digital copy. That would be good.

Yeah, you bet. So just bear with me. Thanks for bringing that up.

Here we go. Let me just scroll down to page 65 and then I will share my screen.

Yeah, great point. And. And you know what? It's a great reminder, Sarbo. Like, I go to the book very often, but I still don't think I go to the book often enough. Like, it's all in the book. It's all in the book, right? So here I'm just going to share my screen.

It was always there.

It was always there.

Where do I find that answer? Yeah, it's in the book. Okay, here we go. I'll get there. Team. And so what. What specific you wanted to go through these first couple paragraphs? This is actually my favorite part.

Yeah, I think the first two paragraph has everything that we need to know regarding capitalizing system. And once the system is capitalized, adding more to your system, meaning expanding your system with more policies.

Yeah. So assuming that you are by now sufficiently convinced that this is the course of action that you would like to take or that you would like to take, the question becomes, how do I get started? So that's a great question. Well, how do I get started? Interesting. What I like about what, what Nelson shares here, he says the most important word that comes to my mind is desire. He doesn't talk about anything about premiums or anything to do with numbers at all. He says without it, you probably can't do it. And isn't that true? Remember Parkinson's Law? So just a quick summary. If you haven't read the book. Parkinson's Law can be defined as your. Your expenses will rise to match income or a luxury once enjoyed becomes a necessary necessity. Try to downgrade your vehicle. Very tough thing to do. Your. Your brain isn't a big fan of that. So the. The Parkinson's Law, back in part one, he says everyone is all. Everyone is already spending all financial resources on what he thinks is best. Right. We're spending all financial resources on what we think is best. There has got to be some honest introspection at this point and a commitment to get out of financial prison must be a burning passion. Right. This paragraph as well, Sarblo.

Yeah, yeah, absolutely.

Yeah. So this is going to be. This is going to require a change in priorities, man. This is so good in your life and recognizing that controlling the banking function personally is the most important thing that that can be done in your financial world. I strongly recommend that you find a life insurance agent that is thoroughly familiar with the infinite banking concept to act as your coach in all profitability such in all probability such an agent will be thoroughly familiar with question with questionnaire that will help you find out just how you you are spending your money. This is financial DNA your money now and show you ways to redirect that's we literally walk through that. One of the examples to redirect that cash flow to build your banking system above all you must be, you must be patient. It is going to take years to get started and it needs to be a lifetime commitment because you're going to be here anyway. Yeah, that was awesome. Sorbo, what a great pick that you pulled there. It's awesome.

So I just want to say so when Nelson says going to take years he's not saying 10, 15, 20 years, he's saying this calculation period it, you know and then after that surpass you can start using the system. Most of our clients will start using the system right away within a day of getting started. Now anybody who asked a question in terms of you know, how do we expand a program and in capitalization think about this. Isn't it true today that all your income that you're earning today is going to the books of someone else's bank? And you're okay with that? You're generally okay with that. So if you want to become your own banker, should you not build your system to point where you can put all the income in into your system but it's not going to happen overnight. So it'll take multiple policies to get there. It will happen, but good coaching, good guidance will get you there quickly. So book a call if you already have it.

Hey Starblow, you're going to love this question.

Are the second or any subsequent policies on individuals, Individuals each with different insurance companies?

So what's the question?

Basically the question is it sounds like hey should I diversify? Like if I add policies to my system, should those new policies be with different life insurance companies?

So here's an interesting thing. All these life insurance companies put their money into work into very similar instruments. It doesn't matter which insurance company you select. You know, get the same kind of experience from the investment portfolios. But here's the thing. All these life insurance company are also protected by common assurance company. So if any of the companies fail, the other company is going to step in and take over the assets. It's caught, it's, it's, it's bounded between all these companies so you can if you wanted to.

But keep it ridiculously simple and get it with the company which is best suited to implement this process. And the best company to implement this process is a mutual life insurance company. A mutual meaning a company that you as a policy owner is 100% owner. We don't have many mutual life insurance companies Canada so we've selected the ones which are best to implement this process and majority of our clients are with that company. And to know more about it again book a call. We're not going to do commercial for life insurance company on. On a webinar. It's not accurate.

Very well said Sarblo. Speaking of which, if you're a co owner in the mutual life insurance company like think about the grocery store example in Nelson's book. Like if I owned a grocery store would I ever be caught dead storing my inventory and paying a fee at a Walmart. Right. Why would I store my inventory in someone else's warehouse? And this is a shout out to. I hope I'm saying this right. Sherry, I want to say Sherry, this is a really great comment. She said the people in your family create the diversification. Diversifying lives insured. Yes. Great. Great comment. Thank you.

And then can you, can you write it's a great company because it's not about just a company. We also value. So. So here's a question for everybody on the call. We have 41 folks. So how important is for you to have an amazing customer service experience?

Pretty important.

Pretty important like every. That's where it all begins. So we haven't just done a due diligence on the best company to implement this process but a good company to give you the good customer service experience that we have tested ourselves. Shocking. We practice what we teach.

Awesome. Awesome job. Well, I think, I think we pretty much covered it. We're, we're just a few minutes past our time and we still have you know, 40 something people. I guess it's 30 including subtracting our team. Go ahead Sarbo.

So we're have a very important question to ask you because what you shared today was fantastic. It brought a lot of energy. By the way, can we get some hearts for run. Didn't he do a fantastic job? Let's give Warren some hearts. That was fantastic. When it takes time to put content together, it's not easy. So thank you for doing that for a team. Now when you were first, when you were first introduced to the process of becoming a banker. So talk to me about that journey for the benefit of all the attendees and how was that introduction and how important was for you to read Nelson's book. Now you're a practitioner today, but when you were introduced to this concept, although you were in this line of business, but you weren't a practitioner, so how important was for you to, to get a copy of this book and read it and, and, and share what came up for you?

Yeah, actually hugely important because my journey, when my journey first started, you know, I didn't, I couldn't find necessarily the resources that I needed in terms of coaching. Right. I got the book and I had a general idea of what the process was all about, but I actually got stifled because I asked, asked a couple of, of would be prospects. I didn't put the right amount of work in to really even know what I was talking about. And I didn't get the coaching and mentorship that I needed. I talked to some regular, for lack of better terms, life insurance advisors and they shot me down. They're like, Vern, why are you complicating things? Like just, you know, do the regular stuff is what they wanted me to do, right? So I, I just kept kind of trying to stick my square peg into a round hole. Like I knew that there was something here, but it took me a while. Talk about desire. It took me a while before I found that mentor. I discovered Nelson's book in 2013. I didn't meet Richard until 2018 and I didn't really start implementing the process fully until 2016. And I had no idea what I was doing. I was just buying insurance policies and accessing loans and just kind of winging it, right. I didn't know anything about stock versus mutual or any of that stuff. I just knew that there was something here. In fact, this is really what actually kept me in the business. If it wasn't for this book, I would be long gone out of the insurance industry. So I was pretty grateful when I met Richard and pretty grateful when he introduced me to, to Jason and then Jason connected me with you. So I'm grateful for all you guys.

Oh, we, we, it's been great journey, you know, doing this together and we're going to do some amazing things together as a team. But it's a key thing. Guys, what Vern just said, although Warren came from this line of business, he was already in the industry as a life license advisor, but he had no idea about the process of becoming your own bank. The first time when he got started he does, he didn't even know as he shared what it was until he got the good coaching and guidance from someone who has been practicing this for several years prior to him. So coaching is important, but most important thing is coaching from the right team, right company, right person is even more important so that they can reduce how much time it's going to take for you to get to stage where you're not financially free. There's difference in being financially free and financially independent. I hear all those things about financial freedom. I borrowed all this money from third party bank and I bought all these investments. I have this cash flow. Well yeah, you are financially free based on you have enough passive income to sustain your lifestyle. But that lever of financial freedom is actually controlled by someone else. If the lever goes the other way and interest rates change, well, your freedom now goes sideways. Is, and I, and I, I say this to my investor clients all the time. One question that I ask them is hey, has the change in interest in the marketplace impacted your cash flow? And all would say yes, it has impacted my cash flow. And then I will go on saying, I said let's rethink on thinking, is it the change in interest rate that has impacted your cash flow or is it not being able to control the banking function in your life has impacted your cash flow flow? Something to think about. Interest rates go up, interest rates go down, Stock market goes up, stock market goes down. One thing that continues no matter what is function, call banking. If you're not the one controlling it, you will definitely be negatively impacted by the interest rates from cash flow standpoint. So get to a stage where you're 100 controlling it. So if interest rates go sideways, you're still in total in absolute control and it won't impact your cash flow.

We didn't need a two hour webinar. We just needed that three minute speech right there. That was it, man. That's the whole thing, right?

You know one thing that I took from Nelson's book, it changed how we think. That's the key thing. The more you read it, the more you rethink.

Bang on. Awesome. Thanks Sarblo. That was amazing. Amazing finish. Thanks everybody. Have a great rest of your night.

Awesome. Thanks for all the love and gratitude. I really, really appreciate it.