Infinite Banking Question of the Day: What's The Best Way To Re-Pay A Policy Loan?
As an IBC'er, you are in total control of your cashflow which puts you in a unique situation compared to traditional bank borrowers who must maintain a fixed payment and set schedule of payments for the life of the loan.
With Infinite Banking, not only is the process for accessing cash value SUPER easy (phone call, online request, or faxed request depending on the life insurance company), but re-paying loans is simple, too.
Here are the 3 options for repaying a policy loan:
You can mail checks to the life insurance company (be sure to include a note stating your policy number and "loan repayment"--sometimes the person in the processing department might apply the check to premium by accident).
You can set up an autodraft for loan repayments with the appropriate form which will then draft a designated amount you choose to repay the loan.
You can set up an online bill pay thru your traditional bank and have your bank mail a check to your life insurance comapny. Be sure to note on the memo: Policy Number and Loan Repayment.
That's it! Simple and easy.
Of the 3 methods, I prefer option 3 because it gives me the most control to manage my cash flow without having to contact the insurance company to make any changes.
If you have questions I can help answer about Infinite Banking, please let me know by visiting http://www.vcita.com/v/john.montoya where you can request an appointment or leave a message with your question.
Thank you,
John A. Montoya
JLM Wealth Strategies, Inc.
(925) 386-6639 Office
Infinite Banking® Authorized Practitioner
Bank On Yourself® Authorized Advisor
CA Life#0C42222
