Is IBC A Scam?

Is IBC a Scam? Transcript

Chris Bay:

Welcome to the life success legacy podcast. My name is Chris Bay and I’m joined today with the founder of Life Success & Legacy, Mike Everett. Mike, today we want to talk about a question that if you do too much Googling it doesn’t take you long to find the question, “Is IBC a scam?”

Mike Everett:

All right.

Chris Bay:

So when people bring that up in their investigation of the Infinite Banking concept, we always tell them education research, those kinds of things are going to tell you whether it is or not. We know it’s not. Everybody on our team was a client at one point.

Mike Everett:

Correct.

Chris Bay:

So including myself, this is something that we experienced personally. And then I personally left a 22 year career to teach other people how to apply Infinite Banking into their lives.

Mike Everett:

That’s correct.

Chris Bay:

The way that I got there was through educating myself. So walk us through the education process that helps people understand and learn why IBC truly is not a scam.

Mike Everett:

Well, first off you’re using a 250 plus year old product called dividend paying whole life insurance, number one. Number two, because we are using a dividend paying whole life insurance, all we’re doing is we’re re-engineering or reallocating the money. So literally we’re using this product that’s been around for all these years. So how could it be a scam if we’re using a product that is sanctioned by every state in America, and we’re utilizing it as a financing option in somebody’s life? We don’t really do anything but educate people about dividend paying whole life insurance. But the Infinite Banking concept just happens to be a strategy that we use.

Chris Bay:

It’s not fancy.

Mike Everett:

It’s not.

Chris Bay:

I tell people all the time, it’s not fancy, it’s not sexy. It is simply dividend paying whole life insurance. And then what Nelson introduced in his book, Becoming Your Own Banker, is simply re-engineering it.

Mike Everett:

A hundred percent.

Chris Bay:

De emphasizing the death benefit, emphasizing the cash value part of it, and then you have a tool that you can use to finance your entire life. That can be debt. That can be your living expenses. That can be investment. That can be business. It can be all kinds of… It could be your family members debt. Some of our clients, they’re doing very well for themselves simply by financing their extended family’s debt. They have become the bank for those people.

Mike Everett:

A couple of questions that we always ask somebody is, “Would you spend $0 to find out the possibilities? Or would you take two steps backward to go 10 steps forward?”

Chris Bay:

Unpack that a little bit. That, “Would you be willing to spend zero to see what was possible?” If a client contacted us, and we always encourage people to just call us, we love teaching this concept to people. We will never ask you. We aren’t going to try and sell to you. We just want to educate people. And when we do that, it becomes pretty clear. So can you talk about for that $0 that they’re going to pay, what do people get as they go through our education process?

Mike Everett:

Well, literally when we say spend $0, we’re talking about potentially doing one of our online webinars or attending one of our boot camps. We don’t charge anybody any money to find out what’s possible in their lives. The only money that they will ever spend, ever with us, they’re going to spend $20 if they buy the book, it’s 25 on the website, cause we got to send it to you. So we’re going to charge you five bucks, even though it costs me 6.95 to send it to them. But the bottom line is we want people to educate themselves, spend some time learning about this, because if half of what we’re telling people really does work, it would be totally worth their time to check it out.

Chris Bay:

If it were a scam do we think that our existing clients would be coming back to us to open new policies?

Mike Everett:

They would not. And I’ll tell you where this all came from. This came from back in the late seventies, early eighties, when a company called AL Williams was doing buy term invest the difference, they got kicked out of all 50 states. That should tell you something. But part of the reason why it’s been coined it’s a scam, is life insurance agents in general have not done very well in educating themselves about the products that they sell. We do. We spend hours and hours and hours educating ourselves of what is the best possibilities. What is the best design? What is the best strategy for each and every customer?

Chris Bay:

Yeah, it’s interesting. Since the time that I came on board with Life Success & Legacy, of my client base, and I’m going to say it’s, I’m going to guess, I know it’s probably about 170 or more now. Not one client has dropped their policy. Not one. Now I attribute that to several things. One, is we do an unbelievable job in my opinion of educating people up front.

Mike Everett:

Yes, we do.

Chris Bay:

And we do not let them move forward with this until they understand what they’re doing.

Mike Everett:

That’s correct.

Chris Bay:

And that if there’s a marriage that both parties are on board.

Mike Everett:

That’s right.

Chris Bay:

Secondly, we do an unbelievable job, in my opinion, of not overextending people. We design policies. We design IVC strategies to address their needs, to solve their problems.

Thirdly, we become their coaches going forward. You and I know that all day long we’re getting emails, text messages, phone calls from our clients, and they’re paying how much for our…

Mike Everett:

Zero.

Chris Bay:

Zero. We become their coaches going forward. One of our biggest challenges that we face is when we have clients who this really clicks in for them and they get down the road a little bit using their policies, they see the power of it with their lives, they want to start new policies right away.

Mike Everett:

Right away.

Chris Bay:

And what do we do?

Mike Everett:

We have to pull them off the ledge.

Chris Bay:

So many times we’re saying, “Yes, we understand, but you’ve got to wait. We got to capitalize this what your system that you’ve got in place first. And then we’ll go from there.” So yeah, we’ve got returning clients who are wanting to do more policies, not one of my clients has dropped their policy. It’s because of all these reasons that we listed. And that truly is a reason why, if you do all that, you know it’s not a scam.

Mike Everett:

That’s right.

Chris Bay:

Yeah. Well, it’s a good question. There’s, of course, lots of information out there. I’ll finish with this. I’ve read some stuff out there on the internet, around looking at IBC. And the main thing that people forget when they start analyzing it is, they look at it as an investment. It is not an investment. In fact, in Nelson Nash’s book on page three, second column, first full paragraph, it says “IBC is not about investments of any kind. It is a way to finance your needs in your life.” And that certainly can include in vestments, right?

Mike Everett:

Yeah.

Chris Bay:

Good discussion, Mike. Thanks for the time. For those of you listening in, again, we encourage you to go to our website, lifesuccesslegacy.com. If you have not read Nelson Nash’s book, Becoming Your Own Banker, it is a life changing read. Again, it is not a how-to book. It is a book about imagination and possibilities. If you want to see what is really possible in your life, we will charge you $0 to find out. Just give us a call. Thanks for joining us.