Stop Losing Money: Control Your Finances Now

First and foremost, a fundamental truth, right? That your money must reside somewhere and that everyone in your family is going to need the use of money for the rest of everyone's lifetime within the family. And you have a need for finance for things like vehicles, property, appliances, weddings, homes, cars, RVs, the list goes on. Anything that you can think of that you would otherwise pay cash for lease or finance. Well, when you understand that you're doing all the work to earn your income and you're not keeping any of it because you're systematically transferring it away through every financial transaction in your life, and all that money ends up on the books of someone else's bank, which is where it landed to begin with, when you got paid, that's a problem because it's unnecessary. And the solution to the problem that you've described around the infinite banking concept is taken to a different level when you're describing the phases. So capitalization. You're paying premium into dividend paying life insurance contracts, ideally a system from a reputable mutual life insurance company. Then you're at the point where you're implementing the process. You're actually gradually and incrementally taking control of the banking function as it relates to your needs. So you're in process, you're accumulating more and more capital. The family's money pool is continually growing and getting larger. And when you get to the point, I'll just skip over and you get to the point where it's passive income time and you know that you're going to get back out more capital than you put into the system. You're going to do it on a tax free basis, so you don't have the government hovering over those assets with a giant knife and fork waiting to devour them. The family understands that everyone's going to pass away at some point. It's not a matter of if, it's when. So if you're diversified in lives, insured, when death comes, the family's money pool gets replenished. And in simplicity, if you know that using the best tool to get this job done, which you've just, you know, you've described and I, I've described, if you know you can contribute almost unlimited sums, you pay no tax on the daily build up, you have capital that is accessible on demand, on your terms, without reducing the asset's value and without triggering a taxable event.

How much capital.

Do you not want residing there? If you think of your diverter example, do you want partial diversion or do you want gradual and incremental and Eventual full diversion where. Where everything is diverted into the family banking system. And from that base of operation, financially, the family can achieve everything that it needs to achieve as it relates to the. All the things that you need to finance throughout the course of your lifetime, including investments.

Well, I think we can take that example and we can actually even expand it one step further. So, you know, when we're done this recording, Jay, it's a beautiful day outside in Chilliwack. We have a hot tub here at our house, but we need to go and clean it. So when I'm done here, I'm going to go help my wife take care of that. And, you know, imagine you've got this diverter. Now. We've managed to. To turn off the flow of energy going to a third party.

Yeah.

And we now have 100% of the diversion of that flow of energy coming into this. This other direction, this other hose. But now what if that hose were also deposited into a large basin, a containment facility. So like an example is a hot tub or an aquarium.

Okay.

Now we have a circulation pump that's taking that energy and it's cycling it. So now we're containing it and we're building it up. And we have a. We have a warehouse of it. We have new money coming in, new flow. There's new income being generated, income from, you know, let's say my children, my grandchildren, the, the, their spouses and, you know, that myself, passive income, real estate, all these, you know, books that we sell. There's all these things that are creating income streams. That's that flow of energy coming in, okay? Money that's coming in and landing on the books of the banking business. And then there's the containment facility. So that containment facility, and it's recycling that capacity. So, yeah, you got to clean it every once in a while. You got to make adjustments, you got to make tweaks, you got to modify. You got to, you got to shock it every once in a while. That might be a family banking meeting where you bring everyone around the fire, you know, and you have a conversation about, hey, you know, little Sally, I know that you didn't make some loan repayments recently. So we're going to shock the system and have a good discussion about that. You're keeping everyone accountable to, making sure they're managing and maintenancing that pool of money very effectively. Because even if you think about a swimming pool, swimming pool is a big, giant filtration system. A lot of it. Yeah. There's new stuff that comes in But a huge amount of that is getting cycled through, but it's going through a filtering process. But if you don't clean the filters, if you don't go in and maintenance that pool, it's going to be shut down and nobody can use it in the whole community. Nobody can use a pool for months and months and months because it's got to go through a big renovation to fix everything. The same way that happens in the community pool that's happening in your money system.

Right? Yeah, really good point. And we again, in our book titled Don't Spread the Wealth, we tackle that on page 75, where we start to talk about how to conduct, you know, your family banking meeting. And when people, when they're first introduced to the infinite banking concept, it's, it's something that's very unique. It's, wow, okay, help me understand what it means to become my own banker. Like, what is that? What does that even mean? And if you think about the essence of controlling how you finance the things that you need throughout your lifetime, recapturing the interest that you would otherwise pay to someone else's system, to some other finance company, and that money ending up inside of an entity where you never lose control. And so as a viewer, if you were to think to yourself, what disadvantages would there be to being in a position of total control as it relates to how you finance the things that you need in your life? Think about something as simple as a car. When you go to buy a car, and this is something that rich, you do a great job of sort of walking through the options you know of. You can pay cash, you can lease, you can finance, you can utilize the infinite banking concept method or steal it.

We don't recommend that.

So if you were to think about this going in the direction from that you see here on the video, if this is cash lease finance, infinite banking concept theft, well, most people, if I'm talking about 99.9% of North Americans, they're going in the, in that direction as it relates to how they buy cars. With leasing, actually now in front of the financing option, like leasing is up significantly. All three of those methods, paying cash leasing or financing involves a permanent transfer of money away from you. Think about it. When you pay cash, you pay cash. Poof, the money's gone, you got the car. When you lease, you're essentially renting something that you may never own. Every payment you're making is someone else's passive income. And when you finance it, you're repaying it on someone else's. Schedule on their terms, not yours. And you don't own the damn car until you make the final payment. So what's the difference between someone who paid cash for it and someone who financed it? You both end up back at zero. Why would you want to be in that position and posture financially if you could pay premium into dividend paying life insurance, accumulate cash value, borrow against the accumulation without interrupting it on demand, on your terms, go and buy the car. The car. The lien for the loan is not on the car. It's on the death benefit of the insurance policy. You own the car. The loan's not reported to TransUnion or to Equifax. It's private loan. You're not interrupting any of the daily growth of your cash value. You still have a permanent death benefit which you didn't have in either of the other three options of buying the car. And God forbid if the unthinkable happened to you, your family still owns the car, there's no indebtedness left behind, and you've got an ever increasing pool of value that can't be repossessed. It can't go backward. So again, tapping into our logic, how much capital do we not want residing inside of an entity like that that we control?

Well, in that car buying example, I mean, especially if you're like the person who's using the illegal option of acquiring a car and stealing it, not only do you not have any death benefit, you might have a death wish actually. So very different. And to taking that one step further. You know, we learned from Nelson that in the. You said leasing is up. Yeah. Well, just think about it very logically. If, if you're going to lease someone else's equipment, right by default, it's not yours, it belongs to the other party. So the other party is the owner. Is the owner a fool? You don't think that the owner of the equipment is going to get their monies back out out of you like by default. You should recognize that you're going to pay more for the lease than if you owned it and financed it with a third party. So if leasing is up, that should tell you that a higher percentage of the flow of your financial energy is going away to a third party. Now if that third party is some other owner, great, maybe that's better than the banking system, but probably not much more so, you know, it's really about control. How does the control about the flow of energy, the diversion of that flow towards a source that you have control over or do not have control over. Right, is really the essence of what we're talking about, you being in the driver's seat of literally, we're talking about buying cars. You're in the driver's seat, but what about the driver's seat of your money? It's the car that never stops moving. It's the engine that's flowing throughout your life, your whole lifespan. How much of that are you controlling? That's really what it boils down to.