Bank On Whole Life for Individuals
Seed To Legacy Financial Group is a leading provider of strategic wealth planning, using proven whole life and legacy-building concepts to help individuals and families gain lifelong financial control and build generational wealth.
What is Bank On Whole Life for Individuals?
Participating whole life insurance policies that are structured using one of our Bank On Whole LifeTM concepts provide you with insurance protection, a tax-free death benefit, and a cash value that is intended to become a supercharged asset that you own and control. This allows you to accumulate equity over time through potential dividend earnings and guaranteed contractual returns.
Consider our Bank On Whole LifeTM concepts as the turbo fuel injector that powers the tactics required to increase the cash value over time, and participating whole life insurance as the savings vehicle. This equity in your policy can be used to finance anything at any time. It’s similar to having a personal, lifetime savings account that keeps growing even when you take out loans! Your finances are under your control.
The whole life policy must be constructed by a professional life insurance agent with specialized training and qualifications in these kinds of concepts, such as Bank On Yourself and the Infinite Banking Concept, because our Bank On Whole Life concepts are distinct and complex.
Our Bank On Whole Life Concepts
Our Bank On Whole Life Concepts
The Bank On Yourself® idea and the Bank On Yourself® Professional Training program are only offered in Canada by SET Financial Solutions, a key partner of MacDev Financial. Our certified life insurance agents have finished the demanding training to become Bank On Yourself® Professionals, making them the top authorities on Bank On Yourself in Canada.
A concept “focused on helping people achieve their financial goals and objectives using a little-known variation of a whole life insurance policy” called as participation or dividend-paying whole life insurance, Bank On Yourself® (BOY) was created by Pamela Yellen in 2002.
With a 160-year track record, this tried-and-true financial method allows you to increase your money more quickly, safely, and predictably—even when stocks, real estate, and other investments plummet due to erratic market conditions. In her New York Times best-selling books, Bank On Yourself and The Bank On Yourself Revolution, Yellen describes the advantages of the Bank On Yourself® approach.
Infinite Banking Concept®
The Infinite Banking Concept (IBC) was developed by Nelson Nash. He is also the founder of the Nelson Nash Institute and author of Becoming Your Own Banker—the first edition published over 20 years ago! The mission of the Nelson Nash Institute is “to educate and inspire individuals to take control of their financial lives by reclaiming the bank functions from others.” Similar to the Bank On Yourself® concept, the Infinite Banking Concept® uses participating (also known as dividend-paying) whole life insurance as the ultimate savings vehicle.
How Does Bank On Whole Life Work?
The cash value of a participating whole life insurance policy, when properly structured using one of our Bank On Whole LifeTM concepts, is akin to the equity you accumulate in a home or real estate property when you make mortgage payments.
A home can be used as collateral for a loan known as a HELOC (Home Equity Line of Credit) if it has a specific value. Your home equity, or the value of the percentage of your mortgage that has been paid off, increases when you make mortgage payments. Your home’s value is unaffected, but you are using the equity as collateral for the HELOC.
A participating whole life policy is a type of permanent insurance with a cash value that also generates equity. We frequently compare it to homeownership because this monetary value is similarly seen as an asset that can be used as collateral. Similar to the HELOC situation, the cash value of your entire life insurance policy remains unchanged when you take out a loan because you are using the equity in the policy’s cash value as collateral.
One significant distinction between a Bank On Whole LifeTM structured participation whole life insurance policy and a HELOC is that the former allows you to access your funds without using financial services. You only need to ask for the policy loan, and you get the money in a matter of days.
The time-proven potential to produce dividends is another significant distinction with this kind of policy. Remarkably, these kinds of policies have been paying out dividends in North America for more than 160 years. The policy is set up to use these earnings to buy additional insurance, or “paid-up additions,” which quickens and expedites the growth of your policy’s cash value and death benefit.
These are just a few examples of how a Bank On Whole Life plan is a special, all-in-one financial solution that helps you plan and self-finance many of life’s major purchases today while working to safeguard and maintain your estate and legacy in the future.
- Saving for Education: Rather of using a RESP to direct your child’s or grandchild’s education savings, use a Bank On Whole Life plan. In order to start saving for your child’s post-secondary education ahead of time with guaranteed growth, you can take out a policy on them during the first year of their birth at lower, more inexpensive rates. This way, you will know what is available when the time comes to use it.
- Lifestyle Purchases: The equity in your Bank On Whole Life plan policy provides you with flexibility and access to a liquid cash reserve that you can utilize to finance your own needs as they arise. Vacations, new business equipment, cars, home improvements, and just much anything else you can imagine have all been paid for by our clients using their Bank On Whole Life plans!
- Securing Retirement: When you retire, a Bank On Whole Life plan provides an extra source of income. Even better, on the day you expect to access your account, you will be able to rest easy knowing the precise minimum guaranteed value. An RRSP can’t give you the same guaranteed worth of money when you retire because it is tax-deferred and vulnerable to market swings and volatility.
- Planning for Legacy: In addition to assured profits, a Bank On Whole Life plan gives you the opportunity to collect yearly dividends. These dividends can be used to buy more insurance, which speeds up the growth of your policy’s cash value and death benefit—a fantastic way to accumulate wealth and leave a legacy for future generations.
- Charitable Giving: A Bank On Whole Life plan can strategically increase the size of your charitable giving and lower the income tax on your estate without affecting your family’s inheritance if you regularly donate to a charity.
Benefits of Bank On Whole Life for Individuals
- Tax Benefits: You can access your capital and growth without paying taxes if you generate a tax-free retirement income under current legislation.
- Insurance Protection: Leave a legacy and safeguard your family financially.
- Cash Flow: Make the most of your money to concurrently save for retirement, build an emergency reserve, and cover your own living expenses.
- Annual Dividends: Increase wealth through safe, steady, long-term savings growth.
- Guaranteed Returns: By removing financial loss and needless risk, you can keep more of your money.
- Financial Control: Be able to access your funds without incurring penalties for any financial needs you may have for today and tomorrow. Ascertain the value of your retirement account on the day you intend to retire.
- Legacy Planning: Leave a charity legacy or safeguard your estate for future generations.