While there is technically no minimum, we seldom recommend beginning this type of program with less than $6,000 per year ($500/mo).

Not really. Since the focus is on building high cash values and storing money, the age of the insured is not as important as the health of the person being underwritten.

BUILD Banking is a strategy that takes advantage of the unique characteristics of a specially designed life insurance policy. It uses a dividend paying whole life insurance policy that is specially designed for high early cash values to help entrepreneurs and savvy investors fill a serious gap in their cash flow planning.

This concept can be marketed under different names and may have some similarities but they should not be assumed to be the same thing. Much like religion and politics, there are many views, ideas and applications for this concept. Products, funding, cash values, funding periods, loan provisions and support can vary drastically and is why these plans should only be designed by a well seasoned professional such as the team here at BUILD Banking.

The provisions of a life insurance policy combined with the tax benefits granted by the IRS makes for a unique synergistic blend of benefits for the policy owner. Tax free growth, tax-free loans, easy access to cash, uninterrupted compounding growth, consistent returns, and no market risk all make for an opportunity for the policy owner to build wealth using money they may otherwise spend.

There are three specific reasons for this:

1. The typical financial entertainer or advisor often makes the mistake of comparing these programs to the stock market or they try to categorize it simply as an insurance tool. These comparisons are comparing apples to oranges. They are not the same thing and should not be compared as being similar.
   
   
2. Insurance agents and many financial advisors often don’t like using these programs since the compensation of these designs are significantly reduced and takes money out of the agent’s pocket if used.
   
   
3. Historically, many cash value life insurance programs are set up wrong and are underfunded which translates to under performance and bad experiences.

This can be for many reasons but there are three primary reasons for this:

1. The simple fact is that most financial advisors don’t get paid to recommend this type of program so they lean away from using any form of insurance in their clients planning.
   
   
2. Many insurance agents do not know about or understand how this works themself. They don’t know these designs exist and aren’t equipped to explain this strategy to their clients.
   
   
3. There is also a lot of regulation around these programs, which limits the marketing of how they work.

The truth is that many people do end up using these programs once they have been exposed to the fact that they exist and after they take the time to understand how they work. Those that end up not using this program in their planning often discover that they need to get some things fixed or cleaned up in their financial situation before they begin using this program or determine that they are not good enough with money to effectively use the benefits of the design.