Infinite Banking Concept

Financial Planning That Makes You Your Own Banker

The infinite banking concept was created by Nelson Nash* who served as a life insurance agent for 35 years. However, the concept of infinite banking and using it to generate wealth has been in existence for over two centuries.

Before you get into the game of wealth management, you have to generate wealth, right? The infinite banking concept allows you to do just that.

For instance, what if I were to tell you there’s a way to recapture every dollar on the purchase of your next automobile, and every automobile from then on? Ruminate on that for a moment if you will. That’s thousands of dollars being redirected back to you rather than a lender.

A more important question: how much money have you recouped from the purchase of all those cars? I’m guessing very little.

However, savvy financial management provides an avenue where reclaiming those expenditures is totally possible. I’m referring to the private reserve strategy known as the infinite banking concept.

Infinite Banking 101

It works like this…you finance everything you buy. EVERYTHING! You either pay interest to someone else or, by using cash, you give up the interest you could have earned on that money over time. This is called opportunity cost.

Today’s traditional financial management teachings lead us to believe that we need to expose our savings to risk by parking them in some form of Wall Street account while using cash to buy the things we need and want. Once that cash is used, however, we’ve lost the opportunity to earn any interest on it forever. On a long enough timeline, all those lost opportunities will add up to a one big missed opportunity to generate wealth. By mastering the infinite banking concept, you will be able to cease those opportunities in the future.

The first major component of the infinite banking concept is to set up a whole life insurance policy (aka permanent life insurance) on yourself. Unlike term life insurance, the premiums you pay go into the account and can later be drawn from…sort of like a bank. So, the next time you need to buy a car, you can use the money in the permanent life insurance policy to fund it rather than a traditional lender. This means that any interest paid on the vehicle will be paid towards yourself.

Redirect Your Money Back to Yourself

Money continuously flows. When you deposit a dollar into a bank, the bank doesn’t just let that dollar sit. They loan it to someone else and charge an interest rate for the use of your dollar all the while paying you a much lower interest rate for the convenience of “housing” that dollar for you.

The critical component to understand about this transaction is that it doesn’t just end there. When someone else borrows “your” dollar from the bank, they typically put it to use. They buy a car, remodel their kitchen, or maybe they use it to send their kid to college. Once the dollar is paid out to the dealership, the handyman, or the university, where is the first place they take that dollar? You guessed it – the bank.

Banks recapture dollars that you give them and make a wonderful profit doing so. Foresight Financial Design can show you how to profit like the banks by creating your own private banking system!

Contact Foresight Financial Design Today!

In addition to helping folks understand and create an infinite banking system, Foresight Financial also offers the following services:

  • Financial planning
  • Financial management
  • Private wealth management
  • Small business finance management
  • Estate preservation and transfer
  • Protection planning services

For more information, call the team at Foresight Financial Design at (913) 346-3465 or email us at

*Foresight Financial Design has no affiliation with Nelson Nash