“There are many people when they see the word ‘loan,’ their brain goes into deep freeze.
‘Loan means something bad – something I should not do.’”
— Nelson Nash
Many people still hold on to the old meaning of the word “loan.” They think of loans as something they should avoid, and rightfully so. If you have been told not to do something your whole life, then it is likely that you will try your hardest not do it. Most individuals have been told to never get in debt to anybody, so when we coach them to use the money in their Family Banking System (policies) through policy loans, they worry about having to pay the money back into the policy. When they have this worry, they forget about the whole idea of the concept!
Think about it like this: when a bank receives money from an individual as a deposit, it is recorded as a liability to the bank. The bank then has to loan out that money to create an asset to offset the liability! Loans are assets to the bank, and the main way that they create assets is by using the money that is on deposit! When you follow the principles taught by the coaches here at Living Wealth, we teach you to turn loans into assets.
When you make payments to someone else, that becomes a deposit into their account, right? And when you make loan repayments to a bank or financial institution, doesn’t that money immediately become available for them to loan out to others as well? So, if you are making loan repayments to an account that you own, isn’t that a deposit instead of a payment? Once you make a payment into your own Family Bank System that money becomes immediately available to use again. Like conventional banks, your goal as an owner of a Family Banking System is to keep your money in motion! Money today is more valuable than money in the future. So, having the ability to use your money now to recapture debt, finance cars, vacations, education, etc., invest in your business or other profitable investments, and many other things (remember… this is the INFINITE Banking Concept) can help you grow your wealth and improve your lifestyle without hurting the growth of the policy itself (policy loans do not hurt the internal growth of the policy)!
To truly “Become Your Own Banker,” you have to get to the point that you are not afraid to loan yourself the money that is needed for various things in your life. Banks do not let money sit in their vaults for many years and neither should you. When you loan money to yourself from your Family Bank System and pay it back to yourself over a period of time, all the money paid in will be back in the account and ready to use for the next transaction. Since this is the case, maybe you will not be as afraid to take that dream vacation, or buy a new car, or send your kid to a private school, etc. When you are in control of the system, the fear of repaying a loan should turn into the joy of depositing into your account! The financial and emotional freedom experienced by our clients is a testimony that this concept can surely work for you.
If you would like to understand this concept more fully or if you have not started your own “family banking system” and would like to know more about the system in general, contact me or one of the other Living Wealth coaches. We would be enthusiastic to lead you into a much more free, hopeful, and prosperous future.