Privatized Banking

 

While a death benefit is often the main reason consumers explore life insurance options, many types of policies include attractive features that can factor in retirement planning.

 

Privatized Banking, sometimes known as Be Your Own Banker, is a concept that uses life insurance to build cash value which can be accessed through policy loans. This technique allows you to remain liquid, while building cash and maintaining a death benefit protection. It also allows you to borrow against yourself in a sense, without needing to go through a bank. Using high early cash value life insurance will allow you to capture more interest in a shorter period of time, but the concept applies to many types of permanent life insurance, such as whole or fixed indexed universal life.

 

As you pay premiums on your life insurance policy, you are able to take tax-free distributions from the contract that can then be used for other purposes, such as purchasing property, equipment, or other high dollar business items. The difference between the policy loan interest rate and cash value growth may be minimal, or the same, giving you better loan terms than you would find with most banks.

 

To explore Privatized Banking with your unique situation, contact Lifetime

Assurance at (800) 535-3304.