The Moral Case For IBC

- [Montoya] Hi everybody, this is John Montoya

- [Perrings] And this is John Perrings.

- [Montoya] We're authorized Infinite Banking practitioners and hosts of The Fifth Edition. Episode number 49, the moral case for IBC. Before I get started I wanna say quick thank you to all the listeners, really appreciate all the reviews, the messages that you send our way and also I'd like to say thank you to my co-host John Perrings, who is out this week. Well, I am gonna talk about the moral case for IBC because I've had a lot of thinking to do over the past month. And a lot of what I've been thinking about boils down to the moral high road that we take in life choosing between right and wrong and what's good for ourselves as an individual for our families and how it affects rest of society. And it got me thinking a lot about how Infinite Banking, it becomes something that like truth it's the end of all inquiry.

I will do my best to stay on track. In fact, I wanna share a quote that is, I believe attributed to Mark Twain, Mark Twain said that if he had more time, he'd be brief. So with that in mind, I'm gonna try to keep this concise. Let's jump right into it. So why the moral case for Infinite Banking? I think it's really important to talk about IBC and the moral case for IBC because when we understand the reason why we do something and we know that it is good for us, our reason for sticking with it and applying it becomes stickier, it becomes more long lasting.

We don't constantly have to remind ourselves, why are we doing this? The reasons why we continue to do something is because it's good for us, it makes sense and it becomes part of our truth that we never have to question, it's just embedded with us. And it allows us to take that proverbial high road when it comes to our financial choices. And the ability to not only make choices that affect ourselves in a positive way, but does so with a positive impact on our family and our society at large reducing our dependency on the government, reduces our dependency with the banks, reduces our dependency even with our employers.

So I wanna look at IBC through the lens of what's good for the individual, what's good for the family and ultimately what's good for society. At the individual level as Americans, we believe in life, liberty and pursuit of happiness. These are innate truths grounded in every single individual. As a citizen of this country, it's written to our preamble of the declaration of independence, life, liberty and the pursuit of happiness. Now, when it comes to our finances, I think it's very interesting that we outsource our life, liberty and our pursuit of happiness to third parties that have to be trusted, who are those third parties? Banks, Wall Street, the government, we willingly give up control of our money. When it comes to IBC, what you need to realize is that these whole life policies are considered property and property is a fundamental right to our freedom. And when you have a whole life policy from a mutual based company, what you have is an asset class that you own and control. You don't have to trust that the bank is going to approve you for a loan, you're automatically guaranteed. You don't have to trust that the money's gonna be there because the market might correct and suddenly you're looking at a quarterly statement that is 10 to maybe 20 or more percent down from the previous quarter. We don't have to trust the government who is paying for breads and circuses not only here, but around the world, we're parking our money into a warehouse for wealth as Nelson would call it that allows us to pursue our life, liberty and pursuit of happiness without having to ask for permission ever, once we have it, it's ours.

From a family perspective, I want you to think about the good things that IBC does for us. Since the capital that we formulate is inside of a whole life policy, it comes with a death benefit attached. That's a guaranteed legacy that's created from day one. That's something that you have for the rest of your life. If you are a family person think about the benefit that Instant Legacy has created. I wanna compare that to contributing to a 401k. If you take those dollars and you park that money into a 401k, is there any additional death benefit that that 401k provides? Nope, you actually have to spend additional dollars just to acquire death benefit. And for most people they don't even acquire it, they rent it in the form of a term policy. Now term does have its place, but it does not create a guaranteed legacy that you own and control for the rest of your life. If you think about it contributing to those 401ks are you actually putting your family in a better position? No, does it have its own benefits? Sure, they do but a whole life policy is gonna provide way more economic value at the individual and family level. And as a result of that from a society viewpoint, IBC also establishes a system where we don't have to be depending on the government from cradle to the grave. If we think about how the government has really sprouted up over the past a hundred plus years, clawing their way into every single nook and cranny of our life, they're basically becoming essential. And the bigger government is, the less rights that we have and the poorer really we all become.

And so one of the best things is to take financial responsibility for ourselves. Again, at the individual level, we do that by parking money where we own and control it and we have the ability to use that money again and again without ever interrupting the growth of it. We're not relying on banks, we're not relying on our employers and we're certainly not relying on the government, we're not waiting for that next stimulus check, we have the ability to plan for tomorrow. And if we think about what the idea, at least one of the ideas behind civilization, it's the idea that we can formulate capital and create a buffer against the uncertainties of life. The formation of capital is an absolutely beautiful thing because it shelters us from curve balls that life will throw our way and they do come. It also allows us to take advantage of opportunities. Opportunities that we otherwise wouldn't be able to take advantage of because we've locked that money away in a 401k IRA for the next 20, 30, 40 plus years. We're no longer relying on the government for handouts to take care of our family because we didn't take personal responsibility for our loved ones. To really not have to rely on the government in any way, shape or form that's a tremendous thing too.

It's better for all of us because the smaller government that we can have, the more freedoms we'll take back. I'd next wanna pivot to the moral case of IBC compared to banks. If you're establishing an infinite banking set of policies for yourself and for your family, you're reducing your exposure and your liabilities to the traditional banking system. That's a huge thing because if you think about why banks exist, banks exist because we do a very poor job, one of saving money, but two of saving it in the right place. Basic examples, a lot of people will throw extra money at a debt like a mortgage that traps that money in the walls of their house where they can't get at it unless they do what? Refinance or sell the property.

The other thing they do, contribute to 401ks where they lock it up for 20, 30, 40 plus years depending on their age. When we have the ability to formulate capital with a whole life policy, I know we don't think about this a lot, but the traditional banking system it's, oh man, it, you know, Nelson used to talk about snakes and dragons, that's a pretty good description, a graphic description really of what they are. I heard it said once that instead of calling 'em banks, call 'em loan sharks, for example, not Bank of America but loan sharks of America. And if you do that, you'll start to really get an idea of the purpose that banks serve because they're there to take advantage of our need for capital, which IBC solves for. And if you look at all the disgusting insidious things that banks do, traditional banking leads to moral decay. And it's something that we don't really think about because we're ingrained to think of traditional banks as a safe place, almost reverence for banks in our lives, but the truth is banks are guilty of discrimination, money laundering, creating fake accounts in our own names, creating money out of thin air, probably the worst sin of them all. If you got a dollar bill in your wallet or purse, pull it out and what does it say at the very top? It says Federal Reserve note.

Most people still don't realize what the Federal Reserve is. It's a central bank. If you've ever read "The Communist Manifesto," one of the 10 tenants of communism is central banking. We don't truly have capitalism in this country, we have a tenant of communism hiding in plain sight called the Federal Reserve and they create money at a thin air and they do it with the help of traditional banks. And we're actually conditioned to believe the banking system is our ally. They're out to take advantage of our need for capital and that's what IBC solves for. It's our need for capital that we can deploy over and over and over again and do so with the safest leverage that we can possibly get because the leverage that we've tied our policy loans is to our cash value, which is guaranteed to increase every single year and then has a guaranteed death benefit that guarantees that the loans get paid off when we pass on leaving the remainder tax free for our beneficiaries. That is good for you, that is good for your family, that is good for society too. What are the banks doing? They're just creating all kinds of problems. And I'll tell you this, this is probably, not probably, this is the worst sin of the banking system, the traditional banking system, it's inflation.

We are told we need inflation, this is simply not true. It only seems true because the rules of the game, were designed that way and we never learn otherwise. We go through kindergarten to the 12th grade and for those that continue on with their bachelor's degree, master's degree, we never learn about the history of money. Just this past couple days I got an email from one of my kids, European history, it's an AP course, there was an email that got sent out, came from the teacher, and I wanted to reply back, just curious but did you guys cover the history of money in Europe over the past 500 years, anything at all? And I already know the answer to that, it's no. Now think about this, why would public education not wanna cover the history of money? What happens when we dumb down society and never have them thinking about money? We start to believe that politically controlled money like Fiat, we think that money is the best money that exists, it's not, but it's what we have to work with but we never question it. And we go do our work, whatever it is that we do and we exchange our time and labor for money that's devalued every year for our entire life. And who contributes to the devaluation of this money? It's the traditional banking system, because think about it, when you go apply for that mortgage to buy your house where does that money come from?

When you send your kids to college and maybe they need a loan, where does that money come from? It's created outta thin air, it didn't exist before. And all new dollars that gets created outta nothing, no cost to the institutions that are creating it, it actually devalues all the money that currently exists and that's inflation. It's not that the price of things are going up, it's that there's even more dollars circulating in the system and as a result, those dollars are worth less. And with our traditional banking system, we're contributing to this rat race of a society where we're trying to earn a living and then once we get paid, make sure that money grows, so we can stay ahead of inflation, which is largely caused by our traditional banking system creating money outta thin air. Well with IBC being a full reserve system, we don't have that happening. Life insurance companies can't create money out of thin air. It's the difference between fractional reserve banking and full reserve banking. Life insurance companies can't operate like banks, they don't have the ability to great money outta thin air. When you become an Infinite banker, you are not contributing to financial and moral decay of society like banks do. And of course it's legalized because the government says it's okay. The banks, the bankers and the politicians they're in cahoots on this but it doesn't make it right, but it just is.

That's actually a deeper conversation about natural law versus positivism, which if that's something that you haven't thought about before, basically it goes like this natural laws are innate, they're intuitive, we just know without having to think about whether something is right or wrong, that it's right, that it's good. I'll give you an example of slavery. We all know that slavery is bad that should be against the law, but for a portion of our country's history, it was legal. It was legal because the government said it was, and that's positivism. Natural law is us as individuals determining what's right and wrong. Positivism is a group in power deciding what is right and wrong. Now, if we think about Infinite Banking to circle back to this, IBC is rooted in natural law. We have the ability to pursue life, liberty and the pursuit of happiness, and we have the ability to pursue the formation of our capital by putting it into a whole life policy, which is considered property, it's an asset. We don't need permission from the government. If you think about what a 401k is, an IRA is, it's permission from the government to save money for your retirement. We don't need the government's permission to save for retirement, we can do that on our own. In fact, people have been doing it through whole life policies for, well, over a 100 plus years. IRAs and 401ks they were only created in the mid 1970s.

We don't need the permission from the government to formulate capital. Natural law is embedded in IBC. We have the ability to take financial responsibility for ourselves, and we have the ability to do so, so that we can prosper as an individual, we can prosper for our family and we have no need for government intervention for our prosperity, we don't need permission for our rights from the government. And I'll finish with this, the moral case for IBC is that it aligns with natural law. It gives us protection for individual rights, something most governments are slowly abandoning. And the sad reality is that the world is becoming more and more tyrannical. Those in power, both on the left and right, pursue their utopian visions instead of protecting our individual liberty. If you care about protecting your individual rights and your families, then IBC is what we must pursue. So, which do you prefer? Natural laws that we create, that we know to be true or positivism? Well, hopefully it's the former not the latter. If it's the latter, then I'm guessing you probably wouldn't be interested in listening to this podcast so IBC is not for you, but if you do believe in life, liberty and the pursuit of happiness, you believe that IBC allows you to take the moral high ground that I think, no, I know that you're onto something good. I know because I've been practicing this for 15 plus years and I'll share one personal story with you that involves life, liberty and the pursuit of happiness because the idea for this episode came about 'cause my family was hit with a crushing life event. My wife diagnosed with breast cancer a year ago, we were told that she was cancer free last November, so she was diagnosed in May cancer free according to the doctors in November. Well, we went to Costa Rica, had an incredible time in January, came back and something was off. Didn't know quite what it was, but after a week of worsening pain, my wife on a Friday night basically told me, "Call 911." And so I did, we had to get her carried out of the house, rushed to the hospital and within a few hours we were told, she had stage four cancer. The tumors in her body had spread to her bones. The long and short of it is that the doctors basically gave her 12 to 36 months to live. We could have accepted that and we could have accepted the new recommendations that they were giving us, but we decided to go a different way. We decided that we were going to seek alternative advice. The parallel that I make here is that, if I think about what I've done financially in my life with IBC, it's definitely an alternative to the traditional banking system, 401ks, Wall Street. It's an alternative.

And for my wife and I because we've been so committed to IBC, we've been able to formulate a lot of cash value over the years. And that cash value basically provided us with an opportunity to make an alternative health decision for my wife that otherwise maybe wouldn't have been available, not just because we had the cash to do so and go outside of the system and pay outta pocket, but because we also had the mindset to think, you know, we don't have to accept at face value what these doctors are telling us in the US. And we're certainly grateful that we had that mindset and we had the capital at our disposal to go outside the network and that's so that's what we did. And the reason why I was gone the last month or so is because we took time off and we went down to Mexico at a place called CHIPSA hospital. And the treatments there have saved and prolonged my wife's life. Now, why am I bringing this up? It's because if we think about what IBC does, it's so much more than just cash value in a policy, it's so much more than, you know, the death benefit that we have to protect our families once we pass on, it's about opportunity, it's that pursuit of happiness that's in the preamble. If we didn't have our IBC policies, we wouldn't have been able quite in this way at least to pursue these alternative opinions to extend my wife's life. And to do so by giving her the quality of life that we both want her to have. Instead of suffering through chemo, radiation and clinical trial drugs with nasty side effects, something that I saw my dad go through when he succumbed to stomach cancer 20 years ago, we said no and we had the ability to pursue happiness, to pursue alternative opinions that gave us something that we didn't have once that stage four diagnosis was confirmed and that was hope. So the moral case for IBC, remember this, it's a good thing.

If you wanna pursue life, liberty and then pursuit to happiness, pursue IBC. And hopefully that will get you to start thinking about your own situation and what's good for you, your family and society at large. And if this is a conversation that you'd like to have with us, definitely reach out to us. You can find us @thefifthedition.com. We're open, any questions that you have, John and myself will be happy to connect with you and it's all there at TheFifthEdition.com. I wanna thank you all for listening, for all your incredible feedback. To my clients who know about my situation, you guys have all been wonderful and I can't say enough how much I appreciate the opportunity that I've had to work with each and every one of you because I know that everybody has their curve balls in life and to be able to share this experience with all of you listeners, just another story of how impactful IBC can be. So I hope you take advantage of the opportunities that you have in your life to take the moral high road when it comes to your finances and do what's best for yourself, for your family. Set that appointment up and let's get you going. All right, everyone, thank you so much, take care.