Proper Protocol and Procedure

“Banking is a process not a product” is what I frequently remind people who seem to concentrate too much on the insurance part of the Infinite Banking Process instead of what they are supposed to be concentrating on.  It isn’t the insurance policy that is going to make IBC perform best, it is you and the procedures that you follow.

This became crystal clear to me the other day when my flight instructor told me to follow proper procedural landing protocol as I approached a new runway.

What in the world is proper procedural landing protocol, you might ask?  Well, it’s like this.  You want to enter an airport’s airspace at a specific altitude above ground, at a specific angle, and you need to announce your intentions and follow the airport traffic pattern.  You also need to make sure that you follow the correct airspeeds for your make and model of aircraft or you could end up tail down on the ground.  Each phase of the landing has a unique airspeed and angle of descent that must be adhered to or your landing could be your very last.  Those last landings are the type you want to avoid and that is why there are proper procedural protocols to followed because they will insure that each landing is a success and not terminal. (And I’m not referring to the airport terminal!)

Being your own banker can be successfully enjoyed by many if they will follow the proper protocol and procedure.  But when these principles are ignored or violated you will kill the most profitable business in the world.

So, what are the proper procedural protocols for being your own banker? 

R. Nelson Nash, the author of Becoming Your Own Banker, tells us there are four proper procedural protocols to follow:

• Think Long Term --- at least three generations
• Capitalize --- pay your premiums
• Borrow against capital
• Pay yourself back with high interest rates --- it’s the only way to eliminate other bankers in your life

These four simple procedures will create more wealth in your life than anything else that you can imagine.  The problem for some folks is they lack the desire, discipline and determination to accomplish these basics.  They instead want to focus on the life insurance part of the equation, and in doing so, they fail to master the proper protocol.  The end result can be financially debilitating.

Again it’s much like landing an aircraft.  If you do it well you get the opportunity to do it again.  If you don’t do it well then things can become terminal as you crash your future financial opportunities.

Tomas McFie