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Old 09-02-2017, 04:34 AM   #1
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What is the Catch Here? What is the Catch Here?
I know that an 9.94% annual ROI is impossible with whole life insurance. So what is the catch here? Is this 9.94% before all of the fees? I can't post links but it's this bankonyourself dot com site.
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Old 09-02-2017, 06:26 AM   #2
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What is the Catch Here? Re: What is the Catch Here?
Are you an agent or a client? Do you understand how max funded perm life works, in particular how WL works - and how the "banking" concept works? Yes, 9.94% is not what you actually earn, but its a broken down equivalent you would have to earn in another investment when you factor into taxes, fees, etc.

A properly structured max funded policy can definitely earn over 5% internal rate of return, sometimes close to 6%. It can be a great thing for the right people... and there are many benefits of using this type of planning as a part of a whole financial plan.
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Old 09-02-2017, 07:19 AM   #3
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What is the Catch Here? Re: What is the Catch Here?
BOY tend to embellish things and tends to be quite salesy .. so I would continue to post questions here if you are skeptic about what they preach. There are a few agents here who know WL pretty well ...
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Old 09-02-2017, 10:44 AM   #4
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What is the Catch Here? Re: What is the Catch Here?
What fees are you talking about?
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Old 09-02-2017, 12:28 PM   #5
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What is the Catch Here? Re: What is the Catch Here?
And an even higher ROI can be achieved with a variable contract, over time, especially if the agent is able to get institutional-priced COI, which the majority cannot.
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Old 09-02-2017, 03:36 PM   #6
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What is the Catch Here? Re: What is the Catch Here?
Originally Posted by eersfan View Post
And an even higher ROI can be achieved with a variable contract, over time, especially if the agent is able to get institutional-priced COI, which the majority cannot.
The op was asking about BOY and WL. Variable is totally different game, and imo not even close to being suited for BOY type planning.
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Old 09-02-2017, 04:30 PM   #7
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What is the Catch Here? Re: What is the Catch Here?
Originally Posted by pfg1 View Post
The op was asking about BOY and WL. Variable is totally different game, and imo not even close to being suited for BOY type planning.
This is an integral part of my practice coupled with deferred comp planning.
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Old 09-02-2017, 05:07 PM   #8
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What is the Catch Here? Re: What is the Catch Here?
That may be true, but you aren't doing BOY with VUL, right? Completely inappropriate use of VUL. The concept of "banking" is best done with over-funded whole life and IUL policies, not variable policies.

I agree that the best place for VUL is for deferred compensation plans... but this is on TOP of other life insurance and 401(k) deferrals for executive planning and/or executive compensation plans.
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Old 09-02-2017, 06:25 PM   #9
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What is the Catch Here? Re: What is the Catch Here?
Originally Posted by DHK View Post
That may be true, but you aren't doing BOY with VUL, right? Completely inappropriate use of VUL. The concept of "banking" is best done with over-funded whole life and IUL policies, not variable policies.

I agree that the best place for VUL is for deferred compensation plans... but this is on TOP of other life insurance and 401(k) deferrals for executive planning and/or executive compensation plans.
I don't ever talk about BOY since the individual market is not a priority in my practice. I prefer working the corporate market where 6-figure premium checks are the norm.
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Old 09-04-2017, 01:38 PM   #10
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What is the Catch Here? Re: What is the Catch Here?
Originally Posted by eersfan View Post
I don't ever talk about BOY since the individual market is not a priority in my practice. I prefer working the corporate market where 6-figure premium checks are the norm.
but the thread is about BOY and the individual market
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