Infinite banking system

[Tim Flickinger]

Hello. I've recently come across this system and it is my understanding it is an investor friendly way of accessing cash. Any agents out there that can assist?

[Josh St Laurent]

Tim,

I have to chime in here.  I'm a professor of finance at GGU and a financial advisor for the last 12 years including insurance.  I am a Certified Financial Planner and I now run a firm specializing in helping RE investors and entrepreneurs.  

Stay away from the "infinite banking system"

The main features of putting your money into an IUL (Indexed Universal Life) which is the vehicle used by infinite banking include incredibly high fees (Most of which go to the agent selling it to you during the first year), inability to access your money for 7-10 years, and you having to go through an insurance company to access your own money (As a loan that needs to be paid back per Infinite Banking "rules")

If you are someone who is simply looking to invest in properties just do it through a business bank account and save yourself the headache and fees.  Most people will never need whole life insurance as a "bank" where they can loan themselves money.  If someone is recommending this to you it is almost certain they are making a handsome commission.

Hope this helps and feel free to ask any questions