I’m sure it’s common in the IBC footprint to see policy owners use credit unions instead of conventional banks for their checking/savings accounts. Has anyone done the research, or seen someone do the research, of comparing ownership of the banking function with a mutual life insurance company versus a credit union? I can foresee someone making an objection to IBC in that they “own” the banking function because they are a member of a credit union similarly to a mutual policy owner.

I am confident that more discussions should be held on this subject because it is so REAL. Is there anyone who can prove otherwise or that there is a method in beating this monster? Would be interesting to learn of methods being used.

Hi everyone, I recently revisited some discussions by Paul and Dave regarding cash flow management in relation to our policies. They emphasized a sequence where cash flow should first go towards paying off loans, then allocate any available funds for paid-up additions (PUAs), and finally save for future premiums. However, I am wanting to prioritize saving for premiums and PUAs first, with any remaining cash flow directed toward reducing policy loans. I currently have structured loan repayments stretched over three years, which has given me some flexibility. I’m curious to hear your thoughts on this strategy. What are the potential risks and benefits of prioritizing premiums and PUAs over loan repayment? Have any of you faced similar challenges in deciding how to allocate your cash flow? Looking forward to your insights and experiences!

I thought people might be interested in this application of IBC that I touched on in my introduction post. In December 2024, we received funds from our health sharing plan to be used to pay our midwife. It turns out, the funds were almost exactly what the annual premiums (base + PUA) are on my wife’s policy (renewal is in December). Well, I’m using rounded numbers here, we paid $5,000 in premium for an increase in over $4,500 in cash value. From there, we took a policy loan to pay the midwife, and this worked well because our monthly expenses were low. We were able to save money through loan repayments very quickly. What I mean to say is, we had a plan to pay it back, which is needed whether slow or fast. This isn’t the whole story though. The death benefit increased by something like $15,000, a guaranteed number from now on…without needing to prove insurability. Sometimes pregnancy can cause complications with getting insured. That paid up death benefit is now producing more dividends which are buying more PUA, so our $5,000 premium paid in December 2024 has been working for us every day since then, and will continue until the day we die.

This is in response to Rebekah’s post about introducing ourselves. I am a husband and father of 4 (6 years old and under!), and I live in Texas. I am about to start a new job as a Maintenance Engineer in Dallas. I have been practicing IBC since 2022, though not with Dave or Paul. I found their podcast in May, 2024 and have since listened to every episode. My wife and I have used our two policies to pay off debt, finance the things of life, live off it when I lost my job, pay rent 6 months at a time, pay the down payment and closing costs on our second home, and we’ve paid premium before taking a policy loan to pay for midwife services.