The Disadvantages of Policy Loans from Non-Direct Recognition Companies
Yesterday, we discussed the advantages of using a policy loan over a withdrawal to access your cash value within your whole life policy. Today, let’s look at the disadvantages to using a Policy Loan to access Whole Life Cash value, which are: There is a short term cost for the loan. In normal circumstances, for […]
The Advantages of Policy Loans from Non-Direct Recognition Companies
The advantages to borrowing from your life insurance company to access cash (in other words, to take a Policy Loan) are: Your present and future compounded cash value is not affected by the loan. Your death benefit and growth of future death benefit are not affected by the loan.
Policy Loans
It’s important to remember that a policy loan is a loan from the mutual insurance company from which you get your whole life policy, and not a loan from yourself (as a 401k loan typically is). If you don’t understand this, the following won’t make much sense. We feel like, in most cases, policy loans […]
Accessing Money from a Whole Life Policy
Lately, a few people have asked how policy loans work when you have a whole life policy. We’ll address this in the next couple of posts. There are two typical ways to access cash from your in-force whole life policy when you are still young. There are other ways to get creative, and options that […]
What is the Proper Allocation of Reserves?
It’s impossible to give a one size fits all opinion on the best allocation and diversification of your Reserves. It’s best when we work together to determine this based upon your personal situation as well as which of the savings vehicles that you feel best suit you after you understand the advantages and disadvantages of […]
Silver
Silver is much more volatile than gold. As compared to Dollars, you can increase or lose the value of your capital much more quickly with silver and so it should not make up a large part of your Savings and should really be the last portion that you add in order to diversify your savings. […]
Where Do You Buy Foreign Currencies?
We’ve discussed all the reasons for diversifying away from the Dollar. Now, we’ll quickly lay out some practical ways for exactly how you can do so. We’ve spoken at length about gold and silver as possibilities, but let’s revisit sovereign currencies here. There are a number of ways to hold foreign currencies. It’s important that […]
Gold Held in Your Name in a Foreign Country (Pooled or Allocated)
We’ll repeat here that in 1933, the US lead by FDR confiscated all Americans’ gold and then paid them what was then the stated rate, followed by a change in the stated rate which effectively dropped the value of the Dollars exchanged for the confiscated gold by almost half. None of us like to think […]
More on Buying and Owning Gold
Jewelry There is a company (there could be more, but this is the one we know about) which makes 24kt (pure gold) jewelry. Most gold jewelry has much less gold in it. The thinking is that when the government confiscated American’s gold in the past and made it illegal to own gold coins, they did […]
What Kind of Gold Should You Buy?
This won’t be everything you ever needed to know about buying gold, but we do want to give you some things to keep in mind and some very specific ways that you can purchase gold. One good thing to do is to go to www.kitco.com and familiarize yourself with the many different kinds of information […]