Chances are you know one or two friends who speak well about the bank on yourself strategy. Or maybe you just want to try it out and see whether or not it’s worth opting for. Either way, you need to be fully aware of the numerous benefits set to come your way before taking this route. After all, there is no way you can downplay a strategy you know nothing about.
Luckily, this article will help clear some of the doubts you may have regarding the bank on yourself strategy. Read on and unearth the benefits of using bank on yourself strategy when compared to traditional investments.
Your Principals and Gains Stay Protected and Locked During Down Markets
Before taking this route, you ought to keep in mind your moneyis not in the market as is the case with a traditional investment. Instead, it is in a dividend-paying whole life insurance policy. As the money keeps on growing, the safety is assured by the best companies in the world of life insurance companies. In short, your principal and gains are entirely protected and locked in during down markets.
Quick Access to Your Money
At times you might be in dire need of money to cater for an emergency. Rather than moving from one financial lending institution to another in search of the best loan rates, leverage the bank on yourself-type policy to get quick access to your money. All you have to do is get in touch with the insurance company taking care of your policy and ask for money.
Of course you need to share some information like the amount of money you want and where they should send it. The good thing about this strategy is that you can borrow about 85%-90% of your policy’s cash without completing any paperwork.
It is evident that the bank on yourself strategy has numerous benefits to offer. If you are looking forward to taking advantage of this strategy, be sure to understand what it is all about before jumping into any conclusion.