Why Infinite Banking is a SCAM!

Sure is a good thing he’s not actually talking about infinite banking

This guy doesnt even know the difference between whole life and term life. He supports the pyramid scheme insurance companies like Primerica. Dont listen to this moron, hes another Jim Cramer. Whatever he says do the opposite.

But wouldn’t this still be good to be your own bank for the purpose of paying for things like cars etc

America is great

Scripted ❓🤣🤣🤣

I do the opposite of whatever Dave Ramsey says.

Dave wants all his followers to be broke.

Dave Ramsey has some good logics but his logic to insurance i am sorry i cant agree to , i think yall should do your own research because unfortunately alot of these wealthy families use infinite banking (LIFE INSURANCE) as a wealth tool .. not only that ALOT of big companies use LIFE INSURANCE to store there money because its tax free .. some people will give you enough info just to keep you dumb .. dont believe all of what you hear do your research and see whats works for you and your family . I LOVE WHOLE LIFE and honestly i purchased millions in life insurance and have a trust that it will pay thru .. not only tht while i am living i can borrow money from my policy TAX-free and pay it back while it still grow interest .. BANKS put money in insurance .. this isnt a once size fits all ... stay blessed and please do your research .. dave dont personally know you guys and everything dosent work for everybody

Dave Ramsey is either an incompetent totally confused moron or a misinformation pawn for America's corrupt financial system.

does anyone know anything about the IUL policy?

Insurance companies make a lot of money from investments not only policyholders premium payments.

Prudential has not been a mutual carrier since the 1950s. Also these insurance companies have multiple income streams and not necessarily only by overcharging premiums. Also the dividend is often more than the premium and is tax free. Ramsey has no idea what he is talking about.

I am looking into that IB thing and stumbled on your page… 😢

My hero!
Making arguments based on simple facts and math…. At the end all these poor people who refuse to accept simple math concepts will never accept the out comes that’s why at the end you don’t see any successful videos of these couples or agents showing off their own accounts and products on the works neither success stories
But Dave has helped thousands using Simple concepts and simple math anyone on their right mind can see if they want to

He still didn’t explain it well 😂

Dave hangs up on 99% of customers way before his rant 😂 anyone else notice he's such a narcissist he has to have LAST WORD😂all in the name of Jesus😒

He isn't attacking IBC at all. He is just comparing whole vs. Term insurance in terms of the goals of purchasing life insurance. Even in this comparison, he is not considering the pros and cons of each type of policy as to what your actual goals are. If you goal is just to have insurance until you retire, well go with term. If you are thinking of passing on wealth to your children, you might consider whole life. Non of this has anything to do with IBC. He has no clue what IBC is.

scam? a lot of people say its not... what makes your point more valid than others?

You're not fully explaining whole life correctly. You're not mentioning the compounding that happens long term on the dividends that actually make the policy at retirment worth much more than you've put in. And the death benefit does give more than what you've invested in it 100%. Also, you're not mentioning that you can borrow money you've put in WHILE YOUR MONEY STILL GROWS in the account.

He doesn't talk about everything regarding infinite banking. I have a policy and works just fine for me. And no I'm not a life insurance agent. I just purchased a car with my policy. A d it works just fine. The loan is a simple interest Loan and all my cash is all there still growing. I never use infinite banking as an investment. I only use it as an alternative line of credit.

See the problem is that dave tells me you to pay for everything in cash. With today's home prices, and unless you are willing to wait 30 years, this is mathematically impossible.

He had the luxury of buying his house when prices were really low. We don't. So why should we live the same way he did?

At the time when infinite banking was incepted. Those plocies had a 10% average return on dividends. That isn't the case anymore. A 5-6% return can be easily obtained in dividend stocks.

I understand the premise of infinite banking. And it wouldn't hurt if you had that big of a surplus of cash from your income. But right now. That isn't the case. Either way, it's better than a savings account.

Just about everything is a scam

Ok help me understand this. Dave pushes term life so you can invest the rest? He says a mutual company is only paying a dividend because they over charged you.

96% of term policies don't pay out so that means 96% of those policies were straight profit for the insurance company. Don't forget if someone takes out a loan from cash value and doesn't pay it back the company gets it back from the death benefit.

What about the policy holders that surrender their policy? They lose portions of their cash value. Even the policy holders that don't touch their cash value surrender 100% of their cash value to the company.

News flash, those funds are distributed in the form of dividends to those that retain their policies. "Infinite banking" is just overfunding a whole policy for the living benefits and guaranteed death benefit to your family.

100% of your overfunding goes into cash value and earns a consistent rate better than a savings account. My $250k WL with $250k 30 year Term rider has guaranteed $500k death benefit (up 30 for term) while in 10 years we will have $100k accessible in cash value. If all we do is save cash along with this policy we'll have $200k liquid. That number also factors into your net worth unlike term life.

You need to have extra money for something like this. Listen to this man to get your $#!+ together and when you advance stop coming here for guidance.

Caller: "thank you for taking my call", "I had a question for you", "I've been working with a financial advisor and is giving me some advice". All in the first 17 seconds of the call. Talk about Ipso Facto.

This guy talks shit about everything that works.

Infinite Banking aside, does the Mutual Insurance company not invest/loan out to others the premiums paid in order to earn a real profit? Shouldn't we also compare such real income vs premiums paid to the mutual insurance company?

If you wanna be successful, you most take responsibility for your emotions, not place the blame on others. In addition to make you feel more guilty about your faults, pointing the finger at others will only serve to increase your sense of personal accountability. There's always a risk in every investment, yet people still invest and succeed. You must look outward if you wanna be successful in life.

Do taxes smell like a rat 🐀 died but you can’t find the rat?

Infinite banking is the new whole life insurance.

For some reason I still don't get why Dave is so opposed to Custom Whole Life. Maybe someone can help breakdown the reason. I could care less about the death benefit and I will never borrow against it. The way it was explained to me over a decade ago is basically you fund it every month and can start carving it off kind of like a pension/income at a certain age based off of the illustration at the beginning. I am contemplating surrendering the policy and just taking the cash value and putting it all on my mortgage. Any thoughts for or against that?

Dave, Prudential is NOT a mutual company!

Whole life has been around for hundreds of years, has a variety of effective uses and has provided financial security for generations of Americans. Here is an example. If you buy term to protect against a premature death, what do you do when that term policy becomes too expensive (due to increased age) and there still is a need for insurance? Do you self-insure? Do you go without? Do you pray? Whole life makes it possible to have insurance your whole life. Yes it's more expensive than term when you are younger, but it's still affordable when you are older.

Recently I was almost convinced to buy an insurance product (deferred variable annuity) by two smooth talkers. But my brain kept coming back to the fact that I just didn’t understand how the product worked. I kept reading the literature and just got more confused. I started to doubt myself, so I talked with a wise friend who was surprised. They told me I know a lot about money and if I was confused, I should back off. Son8 did, and am I glad! That product was a mess.

Dave’s advice keeps you debt free but still broke. 😂😂

Hannah Kessler needs to see this hahahahah

when did dave get so angry and start taking the Lord's name in vain on a consistent basis??? I was going to recommend him to people but this clip is shameful

These people that promote concepts like infinite banking play on people’s desire to simply be financially secure and play on the notion of “hey, here’s a trick that rich people don’t want you knowing because they can’t keep getting rich if everyone else knows it.”

Weird, my net death benefit is higher than the policy was written for. Thought my excess money died with me?

And instill think that life insurance is the cheapest way pass on wealth to your children. Please tell me a better way Dave. ..

Also, the insurance companies make a profit based on the investments they make. Your monthly payment is not how they profit lol

The insurance companies lobbyed for this treatment by the irs so the customers wouldn't need to pay taxes on the money lol. Thats a good thing lol

i have a Northwestern life insurance plan now. got it when i got married 15 years ago. my wife handled all of the paperwork etc.. neither of us even looked at life insurance until we got kids. about a month ago, i heard about this so called infinite banking concept and i started to discuss this with my agent. he sent me documents on whole life with cash value. and his numbers didn't add up. there are so many hidden fees and the interest rate i have to pay just to give my money back to my self is ridiculous.

Food for thought.........Ramsey is anti debt! Wealthy people love debt! Why?

Uninterrupted growth - even borrowing your own money does not affect this. Tax free accumulation & tax-free withdrawals (again, the loan ability). Set it up correctly with the right company. Why use qualified accounts when the timing could destroy you? Who would you be paying interest to on loans otherwise? Why not pay yourself? Mr. Ramsey, what is infinite banking? You sound like you do not know. Please correct me.

What shows his lack of common sense is trying to use the IRS statement to define a dividend instead of understanding that the IRS classifies the dividend as an over payment of premium.
So heres whats shows he has no idea what hes talking about a properly structured policy usually breaks even after about 6 years then from thereon the policy is growing past what has been put in. So how can you get a refund of an overcharge that surpasses the overcharge 😂?
For instance i've ran illustrations where a client has a million dollars theyve paid in in 10 years and by the 30th yr theres more than 2 million in the policy so how is that a refund when the client hasnt paid in 10 years lol. By the time the client is 65 they are receiving over 100k per yr increasingly.

I will never have a life insurance policy. Years ago with dependents and working, I had a term policy.

There are a lot of bashers on this comment thread. You have to remember that life insurance should never be an investment. It’s just risk management.

Gotta say Dave taking Jesus name in vain is pretty disappointing beings he's a professing Christian and all.🙄

The problem with Dave’s response is that he doesn’t address so many other aspect of the banking concept. It’s like half truth and for people who doesn’t know will just take that as the answer when there’s more to it to address what he is saying.

It’s abundantly clear in this 10 min clip that Davey knows nothing about what he is talking about. He’s the scam! Everything he said here is a complete lie! And Davey’s process is all about scarcity and accumulation so the IRS can tax you more in retirement. Go ahead and get screwed by Davey…