What is Banking, Really?
Updated: 5 days ago
What is the purpose of a bank?
What most people know is that it's a place to store money, as well as a place to secure financing. This is certainly true, but beneath that, there's another thing banks do that make them so powerful: they're leveraging other people's money. And this is how the banks make money. You deposit cash, which they lend out to patrons at a percentage.
This enables banks to make money without using any of their own capital.
What if you could control the banking function yourself? Not only would you have a place to store, save, and secure financing... you'd also have a place to leverage other people's money while yours continues compounding.
The asset that can "do it all" is whole life insurance. By making premium payments, you're getting the savings function. Taking a policy loan allows you to secure financing with the insurance company's money, so your cash value can continue to grow uninterrupted.
It's secure, flexible, and protects your family from the loss of your income due to death. It's the whole package. Learn more in my video below.
Bet the Farm, an insightful book about food production in the US. I picked this up after volunteering at the Iowa State Fair.
Wade Pfau on Retirement Thinking and Planning
Discipline is Destiny by Ryan Holiday; another fantastic and powerful read