Infinite banking system

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Does anyone use whole life insurance as the infinite banking strategy for their real estate deals? I'm trying to decide whether or not I should use it but there's so many people that say not to. I'm not sure what to do

Originally posted by @Tyler Patterson :

Does anyone use whole life insurance as the infinite banking strategy for their real estate deals? I'm trying to decide whether or not I should use it but there's so many people that say not to. I'm not sure what to do

 You should only do it if you want to build more wealth over your lifetime. You are quite literally putting your money to work in two places at once. It absolutely works as long as you have a policy that was designed right from the outset. And most IBC policy designs are NOT optimized for cash value, so be careful. If the illustration isn't showing about 85% cash value to premium at the end of the first year, it is not maximized. 

Think about it. If you have 85 cents of every dollar growing and earning interest. And you have a line of credit for 85 cents at Prime, any return on the borrowed money is in addition to the return on the cash value (dividends).