Breakaway Wealth: Episode 20 – In the IBC system, there are different levels at which you can make use of your own bank to help you build wealth. What is one basic plan you can implement? How do you implement the more advanced fundamentals of the system?
On this episode, Nick Kosko and I discuss IBC strategies that can help you gain financial control and build wealth on your own terms.
“The debtor and saver let the bank control their situations. The wealth builder is in control.” -Jim Oliver
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Three Things We Learned from this Episode
- Why buying a car with cash isn’t as great as people think it is
The traditional options of buying a car are leasing it or buying it cash. Many wealth experts tell you to buy cash, but they don’t tell you what you lose out on when you do that. With a lease you pay interest, and with the cash option you lose out on the interest that money would be earning in an account.
- The huge challenge business owners face
Business is seasonal, and this creates a challenge because it has to turn a profit in order for you to stay in business. This means you have to have a cashflow system, which means dealing with the bank but that isn’t always the best option.
- Why the bank isn’t your friend when it comes to financing
When you deal with a bank to get financing, you’re completely at their mercy. They can choose to turn your line of credit into a loan, they can change terms on you when it suits them, and it means you have zero control of your finances.
In order to truly get the benefits of IBC and put it into action, you have to change your mindset from that of a debtor or saver, to a wealth builder. You have to think of freeing yourself from the bank’s control, and that’s where IBC comes in. When you borrow from your IBC, you can dictate your own terms, and there won’t be any surprises. The other bonus is there are tax benefits, and it pays dividends. That’s a win-win that makes it worth investing time and effort into.