The Money Guys vs. Infinite Banking: Who Is Right? #234

0:00So what we want to do today is we want to play it's pretty pretty popular channel the money guys. I got a good following. They got a lot of good information. In fact, Paul's the one that that introduced me to their channel said, Hey, check this out. I kind of like these guys like their personalities. They seem like fun guys and and you know, they know. They know what they know in the lane that they're in. I think what happened with them on this episode, just like a lot of people, when they they're very good in one lane, they they decide to start jumping over into another lane that they're not familiar with. They get a lot of things wrong. Whether intentional or not, I'll give them the benefit of the doubt, right? Like you always say, assume angelic intentions. I don't think they intended to get this wrong, but they got it. They got it wrong on so many different levels. That's our lane. So what we want to do is is just play that back. Paul and I will interject. We'll pause it and give our own comments as to what they say was correct. Or what they say is absolutely incorrect and we can set the record straight. But again, I think it's really a matter of staying in your lane. I think Paul and I you you and I try to stay in our lane when it comes to life insurance.

1:05Sometimes we we talk politics, but that's kick that's everybody's lane, right? Freedom of speech. You can whatever lane you want to choose on that one. But but we want to also not let it go when somebody else is is giving bad information misinformation. Yeah, for sure. I know you and I both try to use always precise language. Correct ourselves when we catch ourselves, correct each other when we catch each other. I think there's some confusion. So I'm going to do some reading time with Uncle Paulie here in a second, but these videos they basically took a longer form video. That was about 35 minutes or so. And they chopped it up into some short five, six minute video. So we're going to do. We're going to do an evaluation in a reaction video to a bunch of short videos about the infinite banking concept because that is our real house. Not trying to be everything to anybody, but this is something that we're both practicing our life and there's you can go on the internet and see that there's there's confusion about what it is and what it isn't. What is clear to me is that

2:12it seems like they're confused on what infinite banking is and they're also confused about whole life insurance because as we'll point out, there's some I think they're talking about universal life in this video most of the time. They they are a lot of that is mixed in. So and we'll point that out as we go. So yeah, I think you're right. And we don't want to do a disservice to anybody else who follows that channel. You know, 20,000 views on that one. Little short that we're going to review here. Like that's a lot of people who got some bad information and they're probably taking it as gospel because they trust the people presenting it. So we're just going to show you what they got right what they got wrong. Yeah, so to start out, I think it's important to get some context and I'm going to read from the founder of the infinite banking concept, Arnelsson Nash and this is on page three. It's the first page of his book. This is the fifth edition. Okay, everyone's familiar with it that listen to our channel. So this is from our new segment called reading time with Uncle Paulie. That's right. So I'm going to read just a couple of snippets from various paragraphs on page three.

3:21At the top becoming your own banker, the infinite banking concept is a text for a 10 hour course of instruction about the power of dividend paying whole life insurance. It is not a sales tool for life insurance agents. And Nelson was very clear about that. It is education that the life insurance industry should have taught during the last 200 years. I'm going to skip ahead. This book demonstrates that your need for finance during your lifetime is much greater than your need for protection. Solve this need through this instrument and you will end up with more life insurance than the companies will issue on you. Further down. The whole idea about the infinite banking concept is to recapture the interest that one is paying to banks and finance companies for the major items that we need during our lifetime, such as automobiles, major appliances, education, homes, investment opportunities, business equipment, etc. This book is not about investments of any kind. It is about how one finances the things of life, which can certainly include investments.

4:28It is not about rates of return. As time goes by, interest rates are up and interest rates are down, but the process of banking goes on no matter what is happening. I think that's all I'm going to read. One of the most important pages, two pages in the book are pages three and four, which is the introduction. Absolutely. Just keep that in mind as you listen to that, maybe go back and listen to it again before it roll the film. You have a proper perspective on really where your focus should be when it comes to the infinite banking concept. It's about the process, not the product, even though most of the content out there from people who are naysayers focused on the product. We can get into that and correct the record here. Without any further ado, why don't we roll the tape? It is a way in which you use whole life insurance to build up savings and leverage cash values for self-financing. It may be pitched as an alternative to putting your money in a bank or putting your money in the stock market.

5:30You instead get to be the bank. That's the pitch. You no longer need to be in the bank. I'll pause that real quick. Yes, this is an alternative to putting your money in a bank. It's not an alternative to putting your money in the stock market because now you're comparing investing with savings. This is a capitalization strategy. The stock market is an investing strategy. They're two completely separate things. We never bucket them together. You should invest. Whether you invest in a stock market or real estate or a business or whatever else it is, you should. This is not an alternative to the stock market. I would say it's more of a it's a portfolio enhancer if you want to look at it that way. I agree. I think I agreed with everything he said up until that last point about investing in the stock market. I haven't heard one infinite banking concepts practitioner say that you should just do this and not do any investing in the stock market or real estate or

6:33whatever you do. I've never heard of that. This is not an investment. Life insurance is not an investment. As you always say, investing involves risk at some level. This involves no risk because it's guaranteed by contract by the company. Continue. You're no longer need a financial institution. You yourself can become the bank. Now, look, I want to play the part of helping you kind of walk everybody through this. Sometimes when I see definitions, it doesn't really tell the full picture, so how about a visual? Do you have a flow chart or a visual that can help people who may be or the learners who go beyond the words? That's exactly right. Here's what you do. You as a policy holder, you're going to pay premiums or sin cash into a whole life insurance policy. It's going to be a life insurance policy, all for buying insurance company, that you're going to pay a premium to every month. Well, with that premium, one of two things is going to happen. Part of it is going to go by a death benefit. If you were to die, a death benefit would be paid out to your beneficiaries. The other

7:38half is going to go to build up cash value inside of the life insurance policy. Well, as that cash value then, stop. All right. You and I started smiling at the exact same point. This is where we alluded to them kind of mixing in universal life insurance, which is not whole life insurance, which is not what you use for the infinite banking concept. But make no mistake. Again, they're speaking out of their lane. This is our lane. Every dollar you send to the insurance company as premium purchases death benefit. Correct. That's it. It does not buy. It doesn't buy cash value. It buys death benefit. And then how does that create cash value, Paul? Hey guys, David here. Hey, thanks for listening to me and Paul. Talk about all things infinite banking. I just want to drop a quick note to tell you about a second podcast I've started. It's called the David Beffer Show. My new show will bring you inside the minds of successful entrepreneurs, financial experts, and real leaders who've earned their stars and scars. And we'll

8:42share their lessons learned and the framework they use to produce real results. And you're not going to want to miss this because I'll be asking these expert questions that nobody else is asking. You can find the David Beffer Show on the exact same platform you're listening to right now. Thanks for checking it out. Now back to the show. Yeah. So, so whole life insurance contracts. And when I say whole life insurance, Dave and I specifically use dividend paying, also known as participating whole life insurance policies with a paid up additions rider from mutual type life insurance companies. So when you pay a premium that is going to create a certain amount of death benefit per dollar premium based on your health and your attained age, right. Also, as part of that contract, you have access to the equity of the death benefit, the equity of the policy, also known as cash value or net cash value, right. That is the part that you can borrow against. Okay. So it's not that premium buys death benefit and some of it goes to cash value

9:47that is not correct. That is incorrect way to look at it. That is not what is occurring. It buys just like Dave said, premium purchases, death benefit and nothing else. And since he's got whole life insurance written on this slide, that's exactly what we're discussing. Correct. He's not actually discussing whole life insurance. His insurance insider, whoever, or whatever that may be gave him some bad information. Correct. But I will continue. Go on. Okay. So if you need to be able to have money to spend, correct. Rather than going to the bank and pulling money out of a bank account, you can instead use your life insurance policy as the bank to pull money out of now. I already noticed something that's a little concerning to me, but was it when I talk about life insurance, I'm very familiar with buying term life insurance, which is primarily you are buying the insurance of something. Okay.

10:50So we said earlier that we should stay in our lane. We just had an admission that we know nothing about whole life insurance, whether it's participating whole life insurance or regular whole life insurance. They know nothing about it. Okay. And that they just said it with their own words. Right. I don't know what he's concerned about though. So let's roll the tape and continue. So if something happens to you, you get paid, but it doesn't build up cash value, meaning that there's not an element of investing or making the premium level in a permanent way. But I also noticed the thing that gets me this says whole life insurance. Why don't you tell us what variables or factors are needed to really set this up? Because that's already a unique thing to be whole life insurance. That's right. In order, and this is what we were told again by our insurance insider, how you got to make sure that you're buying the right type of policy.

11:51And so let's talk about the elements that make up this infinite baking policy. The very first thing that you need, though what you have to buy is high dividend paying whole life insurance. Now you're immediately alluded to something. Stop. Is there such thing as high dividend paying whole life insurance? I'm not aware of anything that is high dividend paying whole life insurance. There has never seen that. Dividend. Never. Correct. There is dividend paying whole life insurance or participating whole life insurance. There is no such animal as high dividend paying whole life insurance. I mean, because high is all relative. I don't know what that means. I don't know what that means. But again, if you're not in this business, this is very troubling actually. That is not a term in common usage. And it's not something I've ever heard of until I've seen it on this slide a couple of years ago. So yeah. So I'd be curious to know who the insurance insider is because whether it's an AI, well, this is a couple of years ago. So maybe

12:54not an AI bot. Right. There's like three years ago. But the insurance insider was definitely not too well versed. Let's just say continue. Is this something, Brian? Immediately our spotty sense goes off. When we hear you have to go by whole life insurance because we know all the time that we talk about term insurance versus whole life insurance is a very tangible reason why we like term insurance more. Wait. Well, first of all, life insurance, I think, is a period certain need. Like, you're hopefully the goal is is you're saving and investing. You're building up your army of dollar bills. So hopefully at some point we become still unsure. Hopefully. Hopefully doesn't sound like a good financial strategy. Hopefully the market returns 12 percent. Hopefully I don't die early. Hopefully I don't die after that term and policy expires.

13:55I, you know, to me, I'd rather have a little bit more certainty in the conversation. Yeah, hopefully your investing has gone the way you intended it to. You didn't have any emergencies. You didn't have any unexpected expenses that came up. But again, going back to the purpose of infinite banking, it is not the death benefit. The death benefit is the result of putting this process in place. So the death benefit is it's like the bonus. You're going to have it whether you need it or want it or not because that's the entire engine that makes all of this work. Yeah, I think that's critically important to understand is that separating product from the process. The infinite banking concept is a process. It is the process of becoming your own banker. The product through which we get to that point, we use specially designed participating dividend paying whole life insurance policies. And I'm sorry to the insiders and

14:55everybody else that that is the way it is. But until they invent a better financial product through which to practice this concept, which will not be done, will not be done. But if they do, I'll use it. Sign me up. Yeah. Anyway, absolutely. Keep going. Roll. Self-insured because you're financially independent. You don't need to replace your income anymore because your assets will talk for you or protect you and your loved one. Dave, how many people would you say are financially independent at some point? I don't know if we have a stat or anything, but it would be worth just doing your personal survey listener. How many people do you know are personally financially independent? Are your parents not? Yeah, I don't know the status. I mean, what does that even mean also? Right? But if you listen to, I'm a big fan of the greatest secret in the world by Earl Nightingale. And I've listened to it maybe 80 times.

15:58It's worth a listen. Look it up. But he says at the beginning of that, he kind of quotes a stat. And this is from like 60, 70 years ago when he created this. But 100 people started the age of 25 and they all want to be successful by time they get to age 65. Only one of them is rich and five are financially independent. That's what he says. Again, I don't have the data in front of me to back that up. But that's a very good question. How many, yeah, how many people listening would consider to themselves financially independent or even their own parents because everybody depends on somebody else for financial support. If even if you're retired, you depend on your own. I don't know if there's a good stat. But you walk around and maybe they're just trying to keep busy. You walk around a loaise or a home depot or grocery store and how many elderly people do you see working there? Some of them are there because they want to be. But a lot of them are not.

16:59Continue. Your loved ones. That's not what what I'm seeing here because when we talk about whole life, the premiums are substantially higher. And I don't even have some research on that. Yeah, if you look at how much insurance coverage costs and this is for a female and excellent health for a $500,000 policy. If you were going to go buy term insurance, it would cost her $188 at the age of 30. That same level of coverage for a 30 year old would cost $4,000 a year. So $4,000 versus $188. Fast forward to a 50 year old. So poll. There's there must be something wrong with every one of our clients because I'm pretty sure everybody can go online and look up how much would a million dollars in term insurance cost me at my age and how much would a million dollars of whole life insurance cost me and they can see the price difference. So but yes, they got this

18:02correct. The premiums are going to be far greater for whole life insurance than they are for term insurance. I got that part correct. I'm hoping I'm wondering if they they point out why that might be the case. Yeah, I don't know if they do, but earlier Brian did say, you know, with term policies, there's no equity, right? It's like rent. It's like rent renting versus zoning a home, right? You're just there temporarily. And then eventually that lease is going to end and you're going to leave just like that term policy. It's a 30 year term. Eventually that term policy is going to expire. Now, if you're on the term insurance train, please listen to this by convertible term life insurance. There's going to be some underwriting involved. There's there should be some bloods and some fluid, you know, some urine, but that is convertible the whole life. In case you need it at a future, at some point in the future, that in let's face it, the future is unknown. So you might need it. You might need permanent coverage. You just, right, you don't realize that yet. So I don't know if they get into it, but let me let me let me actually say this

19:05to about cost. Actuarially, the cost of the insurance is exactly the same. It's no different. What is different is that a whole life insurance policy will pay a death claim. Will a term policy statistically, depending on where you read, less than 2% of the time does a term policy actually pay a death claim. That is why it's cheaper. It is less risky to the company. They know that more likely than not, they will just collect that lower premium for 30 years and never pay a claim on it. Right, because the term will expire and the people, the person will continue going on living. And maybe they have to buy another term policy, which is going to be way more expensive that newly attained age. Right. Continue. All right. Let's go. Well, and excellent health. If that lady wanted to buy a $500,000 policy, she's going to spend

20:07about $644 a month for that term coverage. If instead she wanted that same amount of coverage in whole life insurance, it's going to cost over $90 for $100 a year. So these are very different when it costs of getting that. I don't know if anybody noticed this, but he talked about term insurance as he said per month, although I don't know if that he meant to say that or not, but he said term on a per month basis and whole life on a per year basis. So you're not even comparing apples to apples there. Yeah. And I can't, and I have no way of knowing whether, you know, $188 a year for the one on the far left there is correct for the amount of death penalty he talked about for 500,000 for I don't know. Yeah. Thank that was probably just a mispeak on his part. It was supposed to be annual, but he said, I think so too. Bottom line. I'll give him the benefit of the doubt. He meant to say annually $644, right? But yes, the fact remains, you're going to pay less

21:11premium for term insurance that expires with a 98% chance before you expire, then you will for permanent life insurance that is guaranteed to last one day longer than you. Lost of getting that insurance coverage in place. But it is. It's called permanent insurance for a reason. This is meaning you're planning on buying this policy and holding this policy until you pass away. Yep. Whereas term as the title kind of eludes is only for a period certain of time. So it's positive real quick. I'm a little confused. I want to raise this point to the listeners who ever is watching too is that they they showed you a $500,000 death benefit. What they did not go into and I don't know if they go into the detail or not. Maybe they do is that that is the initial face amount of the policy. That is the initial death benefit that that premium purchased. In the infinite when practicing the infinite banking concept, we use participating whole life insurance policies. The policies get larger every year. The death benefit increases

22:14every single year. You pay the premium and therefore the cash value follows it, which also gets larger every single year since the cash value is the net present value of the future death benefit. So I don't know what they're quoting here. If it's just vanilla non-par whole life or if it's dividend paying all like we have no way of knowing that. But just hard to tell. But just know the policies get increasing value every year. I'll let you keep keep us on this journey. So specifically this you want to make sure that you're buying high dividend paying whole life insurance because you can use other types of other ways. No one is dividend paying dividend paying or also known as participating policies are the ones that work best. There's a few reasons why they work best. Number one, the premiums don't go up as with other policies. So you can actually lock in a fixed premium for the life of the loan. The other big way that these policies. My favorite policy is that the cash values are guaranteed to go up. If you look at other types of cash value whole life policies, they have a guaranteed rate that says no matter what we're going to make sure that this

23:17goes up not all cash value policies work that way. Some of them can actually decrease in cash value. But if you buy a guaranteed whole life policy, you can assure that you're going to have some minimum rate of return that you received. Now here's the problem though. When it comes to buying whole life insurance, there are often a lot of very expensive commissions, very expensive fees that go into this. So consumer reports came out and said, hey, we look at all the different cash value whole life policies out there. The average rate of return and this is including the dividend payments. But with the guaranteed cash value built in is only about one and a half percent per year. So if you look at the average of all the policies out there issued, the average is one and a half percent. Now we're going to talk more and a moment about how we're going to try to use a policy that's custom built to satisfy infant and banking, but right there on the start even though they're guarantee a guarantee one and a half or a round one and a half does not get me superع, everybody. Well, they're completely shocked. So like we learned in reading time with

24:19Uncle Pauli, this isn't about rates of return. So if we get into the rates of return argument now you're comparing apples with oranges or apples with bricks, like completely different species. One's an investment. That's where rates of return come from. One's a guaranteed vehicle for you to be able to recycle your money over and over and over and create another asset that's going to last your lifetime along with it called the death benefit. The one and a hat, I don't know where they get the one and a half percent return because typically, whole life policies, especially structured for use with the infinite banking concept, are going to over a 30 year period return somewhere in the neighborhood of four to five percent tax-free. Now again, we don't want to get in the rates of return because that's not what this is all about. But I don't know what one and a half even means when the contractual

25:19rate of growth is somewhere between two to four percent at this time, at the time of this recording. That's the rate it has to be. So I don't know where one and a half comes from. No, and it seems made up almost, I don't... Nothing's going to be exactly what it happens to. They're treating it like it's a savings account and that's how it's calculated. It's not like that at all, is it Dave? There's not some account that your premium dollars go into. It's not like that. So you have a policy ledger value, but the internal rate of return, and it's at including dividends, is far greater than one and a half percent. It's more like you said, three and a half, four, four and a half, maybe even up to five in some cases. So it's their way off. Maybe that stat came from nonparticipating whole life policies, but no, the whole life, I don't know, but even at that, there's a guaranteed rate. The floor

26:20for the guarantee is 2 percent right now based on the IRS requirements. At least at the time of this recording, presently. The basis of values calculation is... Yeah, this floor is 2 percent. That is correct. But the internal rate of return is actually greater than that. It's an inverse relationship actually. Sure. But again, it's going back to rates of return versus the whole purpose of this, which is to finance the things of life and never lose opportunity costs that comes with paying cash. Yeah, because they never... I don't think they ever address the fact that you said this earlier, Dave, that I can recycle my cash value over and over again. I can take loans, pay premium, repay loans, take more loans for this need or this investment, this opportunity, repay those loans, do it again and again. If I did that with a savings account, or a money market, or a CD, or some other banking product, I just keep interrupting the compound line of that money. In fact, that's known as a sinking fund, more or less, isn't it? It just

27:25doesn't go anywhere. This is more efficient. So this is a better... If you're going to have your liquidity, your cash somewhere, this is just a far better place to put it. But anyway, it's more efficient because even while you're borrowing against that and using that cash somewhere else, you're earning growth on that cash value as if you never borrowed any because you interrupted. That's right. Because there's not another pot of money that's your cash value. No, there's not. So your equity continues to grow uninterrupted while you get to leverage it and borrow the insurance company's money. That's it. I'll say it. Our producer just had a good observation is it's... Unless you're practicing the banking concept and you own participating whole life insurance and you're taking loans, paying premium, repaying loans, you have no idea how it actually works. So then how do you speak on it? Well, you have your insurance inside, or I guess. Get the insurance inside. At least shock me because whenever I hear the word

28:25guarantee when you're talking about financial products, that's a heavy burden. That's a word. I know when you're doing securities training, they tell you never, ever, ever use the word guarantee because that's something that... I mean, if you are taking on risk, by the sheer nature is not... You're taking a risk to reach a premium in return. All right. Pause that. So I like what he said because I assume this guy... What's his name on the left there? That's Brian. Brian, he's a securities license and even a minister in securities training. You're told never say the word guarantee exactly. You're not allowed to when you're security license and also during securities training, they go through almost zero training on life insurance. I think I've heard it's something like two hours of training on life insurance.

29:28And it's... Yeah, they admitted that at the beginning of video. They're only really familiar with term insurance. Yeah, familiar. So there's a... There's a reason life insurance companies can use the word guarantee and legally get away with it because they've been guaranteeing for hundreds of years. Like, and you as a policy holder, he's talking about taking on risk. We don't take on risk. In fact, the purpose of an insurance company is to offset risk. What we do as policyholders, whether it's with your automobile insurance, your home insurance, your health insurance, you're offsetting the risk and placing that on a company who's well-suited and has got in the case of the companies we use well over a hundred year track record of managing risk and being able to guarantee outcomes. And this is the only financial product, one of the only financial products in the world that can guarantee and certainly that have a track record of, you know, 200 years worth of guarantees. Correct. Been profitable every year for well over a hundred years in a row.

30:35Yeah, several companies. And the ones that aren't, they don't tend to last a long time or they have very poor industry rankings. And it's pretty easy to stay away from. Yep. I'll say. So not all insurance companies are created equal. So I'll give them that. You don't want to go to some company that's going to demutualize and then, you know, you're not now no longer receiving dividends or something like that. You need to pick the right company. So when you, they say, when you buy a policy, you're actually buying the company. You own the policy, you're buying the company because you're on, you're an owner of it now. All right. Go. Reward from that. A guarantee has to be at a lower price point. And that's why there's fees. There's lots of other things that I completely get while a guarantee is going to be a much lower rate of return. Okay. Yeah. Again, I think you said it right there, Dave, comparing apples to to bricks, totally different species, right? Participating whole life insurance is life insurance.

31:40It is not a security. It's not an investment product, right? And the product is contractually guaranteed. And then it's backed up by the state guarantee associations as well. You can look that up. It's also true if the company were to fail or something. Right. So you know, I mean, in a certain secondary guarantees, it's not just whole life that offers the guarantees, right? It's also the term life that he promotes. Like you wouldn't be buying that term insurance if there wasn't a guarantee behind it. Correct. What would be the point of that? Because how would you ever know if they actually paid out? You won't. You're dead. Right. Correct. So yeah, there's there's reasons companies exist to make guarantees because they're in the banking and the insurance industry. Banking has guarantees, right? I mean, the FDIC insurance. Not, yeah. Not insurance. Not really but that you said in the name to make you feel good because insurance provides guarantees. Yeah. Yep. And just so just so listeners are clear and our normal listeners know this,

32:47we also promote owning term life insurance policies. Absolutely. I own them ourselves. We have I guarantee you I have more term life insurance than Brian and both probably come by. You just said guarantee. You know what's great about this industry and the fact that we work in the life insurance realm is we get to use the word guarantee. I love it. I like being able to use that word and it says it right on your contract. All you have to do is pay your premium and the company will guarantee that it will pay the death claim upon your graduating to the next life. Yeah. So we've got another episode for anybody interested in learning the whole life insurance is actually actually cost you less money over time than term life insurance does. So episode 132 will give you an idea on why when you do the calculations because if you think about it, the reason the premium is so much more is you get access. You're basically going to have access to everything you paid in at some point and you're going to have a short limit in death benefit

33:48that's that's bigger than what you paid in. So at the end of the day, your life insurance actually didn't cost you anything in the traditional sense of you had to pay money to get something, right? Because you have access to 100% of what you put in after so long. Right. I think it would be that's not incorrect to say. I think it would be you're going to have your policies cash value and of course the death benefit obviously is going to outpace the premium you've paid in and I don't think Brian or Boe realize this but depending on the policies designed, right? After about eight, nine, 10, 11 years, every dollar you've paid in premium, you will have an equal dollar of cash value that you could leverage. That's called people call that cross over or whatever. I don't even pay attention to it. I don't really care about it but it's true and then of course it'll just get more efficient over time and it just runs away. So the cash value would be many

34:48times over the premium. So when you've owned this product for 30 years, let's say and you hit age 65 where you can quote self-insure like a lot of these by term invest a difference folks talk about. But you've built a product where now every dollar you put into it as premium is creating seven, eight, nine, ten dollars of cash that you have access to tax-free for the rest of your life. Do you think you're going to be sorry you did that even because oh I have all these other assets. I don't need life insurance. You may not need it but wouldn't it be nice to have that money machine that's just multiplying your dollars every year? Yeah and I really like permanent dividend paying whole life. I almost said high dividend paying. I like that. I don't know where that high dividend. The dividends do become quite large. In fact, the dividend is in roughly. The dividend is as big as the base premium in most cases. Yeah and 20 years in the dividends bigger

35:50than all the print you couldn't use all the dividend to pay the premium because you're not a lot of put that much premium in. That's how big the dividends become. I would like to ask them. Right so how do you most people don't have pensions? How are you addressing sequence of returns risk in retirement on the backside of the of the mound? Now we're in retirement or passive income time, whatever you want to call it. How are their clientele able to address downturns in the market? How are they turning that accumulation strategy into income over time? I don't know. If they have nothing to borrow against, do they have cash, do they have whatever but this is the best place to store cash because you can never interrupt by choice. You can never interrupt the growth of it. So you can borrow against the cash. It's still going to grow at the contractual rate. You're still going to get the declared dividend, the full dividend. You'll get the full dividend even on the money that you have leveraged out. And then when things recover, you know, you have to be have a windfall or something. You could pay back that policy loan. And the policy is going to continue

36:54to grow. Even if let's say you did a pay to 65 policy or a pay to 75 policy and the policy is now bought and paid for. No more premiums will be accepted. That policy is still going to receive dividends every single year. It's going to be still growing. It's still breaking out cash at a very, very good rate. And that dividend, really, what most people do is use it to buy more death benefit. Correct. You should buy paid up additional insurance. That's correct. That's exactly what we do. Yeah. And then it shows up as cash value as well because that becomes permanent equity that you own from day one that you buy it. So now you have access to the equity and you bought yourself some more death benefit along the way. So pretty cool. The longer you live, the more you leave behind and the more you have access to tax free to to finance the things of life, take care of care. Maybe suffer a down market long term care or you get the long term care writer on the policies that essentially acts kind of like long term care. So some other a lot of other benefits that and I think we'll do a part two where we run through another one of their

37:58shorts, another five or six minute short video and again, go through what they got right and what they got very, very wrong. And just give everybody a full glimpse because if you're only following one channel, if you're only following us, listen to other people. You know, I'm not saying we are the only place you need to go. We're definitely not. But that should be the case with with anything almost, almost there. Just not quite. Yeah. And we'd love to go on with with those guys and have they seem like cool guys and we'd love to do some education on that channel. If they would be up for it, it wouldn't be a debate like we went on Dave Ramsey would just be a fiery back and forth debate, you know, mud slinging fist fighting. No, kind of thing because I think these guys are much more open to understanding things. Yeah. And a couple of points, you know, we all want the same thing for a clientele. We all want everyone to be healthy and profitable and in abundant, right? But that's and I think I think a both and strategy is the way to go. I think you need to include.

38:59You have the traditional investment products, but you also need a hedge against down markets. And if you don't have that, you're exposing yourself to unnecessary risk because you think whole life insurance sucks. Yeah. So get over it. I used to think broccoli sucks, but turns out it's actually pretty good for me. And I don't mind the taste anymore. So you know, get educated. Get it broccoli. Yeah. Get educated. And maybe you might like what's being cooked up. Who knows? All right. Well, hey, we'll be back next time with a part two. Until then, if you want some more resources, some more education, go to the wealthwarehousepodcast.com. Join our school community. We've got over 150 people. We do live webinar events regularly for our school community. You can bring in questions. You can talk with other people who are learning this, who are living this, and and get input from people other than us who are also selling this, but we also live it too.

39:59But don't take our word for it. Join the school community and see who else is out there that you can learn from. All right. Well, thanks everybody. Until next time, control your capital or somebody else will.