Have you heard about Steve…?

A simple but profound statement “We don’t know what we don’t know”. It’s uncomfortable and counterintuitive to seek out and embrace unfamiliar concepts. People are more comfortable with what they believe is right. The fact is we seek change only when it is absolutely necessary. Only when we are uncomfortable are we motivated to change; to learn new things and open to new ideas. Unfortunately, that motivation may come too little too late. When it comes to creating wealth, seeking new ideas and searching for unfounded truth is the crucial first step to secure a financially successful life.
There is an accepted truth about emotion in creating wealth; people buy when they should sell and sell when they should buy. The tragedy lies in our own human condition; the herd mentality. Like a startled herd of cattle, people will run off a cliff just because the person before them did. In other words, “If everyone is doing it, it must be right”. Take the economic debacle of 2008. The stock market lost more than half of its value essentially wiping out approximately 7.4 trillion dollars of Americans’ wealth. That translates in a drop of approximately $64,000 per American family. The peculiar thing is the decline happened quickly but it didn’t happen overnight. The market fell 54% over the span of 17 months. The proactive, independent thinkers cut their losses while the rest were told and believed they should ride out the storm; all while drowning in it. As the market fell why didn’t the masses make the necessary changes? Three words: fear, faith and ignorance. People listened to their “advisors” who were scrambling to protect their volume-driven fees, people put faith in the talking heads on TV as they declared “The market will come back!” and “It’s (the market) gone so low it can’t get any lower”. Unfortunately an ostrich can’t hear an attacking lion with its head buried in the sand. The old adage “Ignorance is bliss” was not the case when the majority of Americans’ wealth was lost in “can’t lose” investment vehicles. When it comes to our money we are taught and believe that 2+2 will always equal five. Ask yourself, who is teaching the lesson and what do they gain by teaching it. The moral of the story: we are told and believe that to grow money efficiently losses are a necessary evil and the gain will always make up for them.
Here’s a story about an old man named Steve. Steve never prepared for his later years properly; most likely because there were more pressing issues like planning a vacation or deciding on the next car to buy. In his prime,Steve was a renowned nuclear engineer who was sought after all over the world for his expertise in designing nuclear energy facilities. Steve did fairly well financially, but as he earned it he saved what he thought was adequate based on his colleagues’ advice and the rest he spent. Today, at age ninety-two, Steve lives in a two-bedroom apartment by himself. He sustains on meager, monthly social security benefits and the obligatory support of his three grown children. Without their financial help life would be much more difficult, if not impossible. His lifestyle is dictated by a strict budget, one which he has no control over. Instead of creating a legacy for himself, he has become a burden to those around him. The situation does not bolster self-esteem or create a sense of purpose for a once proud southern man. Financially, Steve followed the herd. He outlasted his 401k by many years all while believing his financial future was secure.

Hopefully, at this point you are asking yourself “Is it too late to do things differently with my money?” The answer is in a little-known but progressively accepted process. A person utilizes their own money as collateral (OPM) for financing purchases. This process never depletes their saved principal; therefore never interrupting the effect of compounding interest. Albert Einstein said it best “Compound interest is the eighth wonder of the world. He who understands it, earns it … he who doesn’t … pays it”. This process eliminates the need for outside financing; ideally creating a personal banking system.
The Infinite Banking Concept (IBC) is not difficult to understand, it requires an open mind and conversation with a person knowledgeable on the subject. Large corporations and the wealthy have been using this process for decades. IBC is not an infomercial get rich quick scheme, but a non-proprietary process, when established correctly will create significant wealth. However wealth is created on a realistic premise without the unrealistic expectation of getting there overnight.
Seeking financial truth requires diligence. To find the truth you need to actively ask questions. Question the provided proof and don’t take ideas at face value. Finding truth means questioning the status quo. Accepting we don’t know what we don’t know is the driving force in learning and expanding the circle of your knowledge. Knowledge is power and indeed the truth will set you free.