Infinite Banking, Is it cut out to what it is said to be?

[Clayton Hepler]

Does anyone have serious experience with using the Infinite Banking Concept or Bank on yourself concept to invest in real estate? The only people I talk to that love it are trying to sell me policies.

I am having difficulty seeing the benefit of Infinite Banking from a policy loan standpoint, which is my biggest selling point. Salespeople talk a lot about the VELOCITY OF MY MONEY In the policy... 

If my policy is receiving dividends at 4% and I am getting a loan at 5% to buy a real estate asset that kicks out 10% return... that is called negative leverage. There is no other way to put it.

If I just saved that money and put it right into real estate than I could do better, instead of using this capital vehicle

I've heard that this is a 100% return on my money from people in the prosperity economics movement, 5% to 10%(100%), which is false, because it is still a loan?

What am I not seeing? 

[Mark Welp]

@Clayton Hepler

I own multiple high cash value life policies in my family and I use them for multiple purposes, including real estate purposes. If one understands them and if they are designed correctly, they are better than any qualified plan and they are the best place to store your cash to build capital.

And if you store enough capital to build a big enough “bank”, then the loan provision beats any commercial bank loan out there to go capitalize on investment opportunities.

If you ever want to chat on the phone about them, shoot me a message.

Thanks,