Alternative Lending While Protecting Your Assets With Sarry Ibrahim

Speaker 1 (00:00):

On this episode of the connected investors podcast and YouTube show exactly how we’re going to show you how to make a fortune using the infinite banking concept. We’ll break it down into three steps, figuring out what is the infinite banking concept, how to use it and how to profit through infinite banking on this episode of exactly how you’re listening to the exactly how podcast, where you’ll hear the underground, closely guarded wealth building secrets of successful people around the globe, discover exactly how to improve your mental, physical, and financial health. Feel better, make more money live, give, and prosper in today’s exciting, fast paced world, build with opportunity for those who know exactly how

Speaker 2 (00:46):

Welcome to the exactly how podcasts and YouTube show brought to you by connected investors. During this episode, you’re going to discover exactly how to use the infinite banking concept to your advantage when investing in real estate. Now, for those of you who are new, my name is Sean Young. Today’s proud hosts and member of the connected investor community. Before I introduce you to our next incredible guest speaker, I want to make a request that if at any point during this show, you like what you hear, please give us a thumbs up so that you can subscribe to the show and not miss an episode and make sure to take a look at the notes in the description of this episode, as we’ve packed it with thousands of dollars in free resources. Now, today we have the privilege to learn from a man who helped his client earn over $400,000 with one deal.

Speaker 2 (01:33):

Now, prior to his career in real estate, he was a consultant at Allstate, but all that changed when he read a book that altered his life, I would describe our next guest as determined. I like to introduce you to the one, the only Siri Ebraheem Siri. Thanks for being a guest on today’s show. Hey Sean, thanks for having me on. I appreciate it. Absolutely. Absolutely. So before we get started, is there any, can you tell that the, uh, our listeners out here a little bit about yourself and about your background and where you’re from? Yeah, definitely. So, um, I’m from Chicago, Illinois. I grew up here, lived here my whole life. And, uh, uh, what I currently do is I’m a financial planner and I, and I’m a member of the bank on yourself organization. So we, we work with, uh, financial products, specifically dividend paying, whole life insurance, mainly for real estate investors.

Speaker 2 (02:26):

That’s our primary niche. And we also work with business owners, full-time employees, but we’ve kind of niched down to real estate investors. And that’s where I pretty much helped with. And I’ll definitely get into more. And just generally the listeners to the infinite bacon concept is the same as the bank on yourself concept. So I’ll kind of use those interchangeably. Okay, awesome. Awesome. I’m definitely looking forward to today’s show and learn all about what you have to share with us. Now, before we dive into exactly how to use the infinite banking concept to your advantage, Siri, you contribute a lot of your success to allocating 15 minutes a day towards something like reading a book, you know, why do you think this has played such a huge success in your life?

Speaker 3 (03:07):

I, I think, um, it taught me a lot because, um, as humans, we’re, you know, we’re creatures of habits. So I think habits can automate our lives. You know? So if you do something for 15 minutes a day, reading a book or whatever it is running, it becomes a habit. And then you end up getting really good at that habit and it ends up like becoming a part of your life. So I think it’s really important just to kind of do something like really productive, like 15 minutes a day. Doesn’t have to be a lot of time. Doesn’t have to be a lot of effort, but every day, because it becomes a part of your life.

Speaker 2 (03:39):

That’s right. Absolutely. That makes a lot of sense. It makes a lot of sense. Now, guys, what makes the exactly how financial freedom podcast and YouTube show unique is that each and every show comes with a detailed action plan. We pull the steps out of each show and create a blueprint on how to implement exactly what we’re covering. All you have to do is visit connecting investors.com forward slash free to get the key takeaways, the resources and free gifts that Siri has generously allowed us to give you all today. Plus, you’re going to get our free training right now. All you have to do is text the word exactly to (910) 600-0630. Again, text the word exactly to (910) 600-0630 and see for yourself. Now, this is exactly how I make my money. You guys can find properties for pennies on the dollar using this software that I use each and every day.

Speaker 2 (04:35):

Now, as nearly a million people know connect and investors is a social network of real estate investors. And it’s a marketplace for investment properties. In the description of this video, I’ve included a link to this episode form discussion. So Siri, let’s dive back into the steps and I’ll before the show we discussed and broke it down into three steps on how using the infinite banking concept to your advantage can be a plus for you. And that first step that we came up with was becoming familiar with the concept. Can you break that down a little bit more for Siri? Yeah, definitely.

Speaker 3 (05:08):

So it’s really important. The first step to get involved in the infinite bacon concept process is to understand what the concept is. And there’s a lot of ways to learn, or you could go to YouTube, you can go through podcasts, you could even read some books, a couple of books. I recommend. One of them is becoming your own banker by Nelson Nash. A second book is the bank on yourself, revolution by Pamela Yellen, both are really good books. So if you’d like to read, so kind of figure out which way you like to learn, either reading, listening to podcasts or watching YouTube videos, but learn the concept, become familiar with it. Um, that’s pretty, yeah, pretty much it the first with the first step.

Speaker 2 (05:45):

Okay. And, uh, that brings us to our next step, which would be scheduling an intro call with your affirm. Yeah,

Speaker 3 (05:52):

Yeah, definitely. So if you go to a fin asset protection.com, there’s a calendar, you can book an appointment with our firm. All our consultations are free. Um, and, and you can book a 15 minute appointment. We could do it over the phone or over zoom if you like to do a video call. And this is pretty much, we want to just see if you have the same page with what we have in mind. Um, we want to make sure, like, you’ve, you’ve kind of researched the infinite banking concept of the bank on your self-concept. You have an idea of what to expect. Um, cause we just had people call before and schedule appointments that are looking for simply like loans or they’re looking for like other things. Um, and we worked specifically, even though our clients are mostly real estate investors, we work specifically with the infinite banking concept for real estate.

Speaker 2 (06:33):

Understood, understood. Well, that’s awesome. And that takes us into step three, which is, you know, go through a financial analysis.

Speaker 3 (06:41):

Yeah, definitely. So, so Sean, there’s a lot of different companies out there. Um, and then each company has different products and each one of those products has different funding amounts. Some of them can be funded, you know, monthly or annually or a one-time payment. So it’s hard for us to kind of judge which product and company would be the best for the client. So it’s really important that we do a thorough financial analysis that gives us an idea, a more thorough idea of which company and which product and which amounts would be most feasible for the client to meet their financial needs.

Speaker 2 (07:12):

Gotcha. Good. Well, sir, let me ask you this. Let’s say, uh, an investor comes in, um, you know, they’ve been invested in for a year or two. They they’ve got some, you know, some change in the bank that they’re, they’re wanting to do something with, or they’re not really knowing what they do. Do you actually help people with that as well? Like if they, you know, reach out to you, can you help guide them into, they might not have a clue in what they really want to do. Do you help with that as well?

Speaker 3 (07:34):

Absolutely. Yeah. The, the financial analysis helps us uncover like all their assets, all their property own the values, outstanding loans they have. And we put together based on that we put together a proposal or a solution that could help them get to their, their financial need or their financial one, you know? So absolutely. Yeah, definitely. If you don’t know, um, what to do with your money. Yeah. We can definitely

Speaker 2 (07:56):

Help you with that. That’s awesome. That is awesome. Well guys, as a reminder, if at any point in the show, you like what you’re hearing, please give us a thumbs up or subscribe to the show so that you never miss an episode. It’s your engagement that keeps us doing this for free for the community. So Siri, you know, what do you think your life would be like if you had never read that life changing book and you were still working as a consultant at Allstate?

Speaker 3 (08:22):

I would S I would never, um, I would have, I would never think like a bank. I would never think like a large corporation. I would just kind of use banks and use wall street to help me with my wealth, but I would never create, I would never think of a way to create that own source or to own that source of financing. And that’s pretty much what the bank on yourself concept is. It’s a method for you to become your own source of financing and for you to own pretty much have control over your money, regardless of economic conditions. And regardless of the loan decisions by banks, you never have to get underwriting for loans from the insurance company on your life policies you’ll always have access to those. So I think if it wasn’t for the books, I would have never realized that one could even do something like that.

Speaker 2 (09:10):

Well, yeah, that is definitely amazing that, you know, and I know a lot of folks out here have life insurance policies, you know, even myself, of course. And, uh, you know, I’ve heard, this is maybe the second time I’ve heard this concept, but it’s definitely sounds really interesting, you know, how you’re able to utilize your insurance policy in some way to, to use that as investment capital.

Speaker 3 (09:32):

Right? Right. And Sean, it’s important for the listeners to know that not all life insurance policies could do this. It has, there are some specific things to keep in mind, like number one, it has to be whole life insurance. They won’t work with term or universal. So it has to be whole life because whole life has a cash value part as well as the death benefit part. And then the second thing is, is that it has to be from a mutual insurance company, not a stock owned insurance company, mutual insurance companies give dividends and profits back to the policy owners. Whereas stock owned companies give their dividends and profits back to shareholders. So it has to be a mutually owned whole life company. And the third part of it is that it has to be a non-direct recognition as opposed to direct recognition. And what that means is let’s say, Sean, you have a whole life policy, right?

Speaker 3 (10:21):

And let’s see you have a hundred thousand dollars in cash value in the policy. Now let’s say you’re a real estate investor. You come across a deal that requires you to invest $50,000 into the deal. You have a couple of options. You can go to a bank, you can go to a private money lender. You can also go to yourself to borrow from your own, from your own money. But the difference is is that when you go to use that $50,000, you’re not deducting from the $100,000 cash value. You’re borrowing from the insurance company’s general funds leveraging your cash value. So what happens is, is that Anya $100,000 cash value, it continues to compound and continue to earn interest as if you’ve never

Speaker 2 (10:57):

Touched that money as if it would have a 700.

Speaker 3 (11:00):

Yeah. You still be at 100 and I’ll keep growing. Now, when you take out that $50,000 loan, you have an agreement now with the insurance company that you can control. It’s like a personal loan. The insurance company gives you 50,000. And these aren’t specific amounts of just to give the listeners an idea of how the loans work. Now, let’s say with the policy loan, there’s going to be a simple interest rate of 5%. And you pay that back. Now, let’s say, after you pay back that loan, you pay like $53,000 total. So principal plus interest comes out to like $3,000, $53,000 total, uh, the listeners might be wondering like, why am I going to pay interest on my own money? The reason why is because on your $100,000 cash value, it continued to climb. They continue to earn interest. And maybe after like five years, depending on the rates and everything, depending after five years, it might beach a point where it’s got $165,000 in cash value.

Speaker 3 (11:49):

So now there’s a split between you earning 65,000 and back 53,000. So like an arbitrage of like $12,000. So you made money in the policy and then back to the $50,000 a use for real estate, you most likely to hopefully made a profit on that too. So your money worked for you in two different places. And this is exactly, this is exactly what banks do. So banks use whole life insurance, and then they borrow from the funds from the insurance company and then loan them, the loan, the funds out via credit cards, auto loans, home mortgages, lines of credit. And then they earn interest from those, from the customers and from the insurance company at the same time. Uh, but in order for you to do that has to be non direct recognition. So when you borrow the money, you’re still earning interest and dividends on your cash value. As if you’ve never touched it. If it’s direct recognition, you will be penalized kind of penalized for using those loans. You won’t receive as much dividends or as much interest if you didn’t take out the loan. So you want the non-direct recognition. So that way your money grows uninterrupted.

Speaker 2 (12:49):

Awesome. Siri, this is some awesome information guys. Are you listening to what he’s laying down? I mean, this, this is very powerful, especially, uh, if you’re wanting to take your careers or your investment at Tino to the next level or have other options. I mean, this, this sounds like the path to help grow your money. Um, I mean, this is awesome. Let me ask you a question. You said it only works with the whole life, um, policy. What if someone has a term policy, can you switch to a whole life policy or is that something that usually can’t be done?

Speaker 3 (13:21):

Yeah, you can. Yeah. There’s ways that you can convert from your term to the whole life. And it, this is what we do too. In the financial analysis, we ask about life insurance, current life insurance. And if we do uncover there’s currently term policies, we’ll try to go down that angle where we can convert it over to a whole life, but it depends on the company depends on how long they have the policy for, but definitely worth that. We will look into that to see if we can get a converted into a whole life

Speaker 2 (13:44):

And the whole life. Is that, is that what that, for that, for our listeners benefit and even from my inquisitive nature, would that be a higher policy, premium policy, a whole life policy versus a term policy?

Speaker 3 (13:57):

Yes, it would. Yeah. On average, whole life is about five times the cost of term. And it’s mainly because it’s permanent. It never expires. And because you have the cash value built up the policy and because the fees in a whole life policy are typically the highest and the first two years, but then start to decline as the insured ages, the policy, the insurance company, it takes into account those, um, those costs. But the way we structure the infinite banking concept of the bank on yourself, concept the way we structure whole life policies, you could, there are ways where you could break even with your money where your cash value starts exceeding. What’s, you’re putting into the policy maybe around year four, year five, which is really good in the whole life insurance world, because a lot of people don’t like whole life insurance because they assume it’s old-fashioned whole life insurance or traditional whole life insurance, where it has no cash value or very little.

Speaker 3 (14:49):

So they see it as a low ROI or very low return on your money. But the problem with that is it referring to, you know, a whole life insurance from over a hundred years ago, which is structured differently. So the policy, so back to the whole life insurance, how it’s structured, it has to be mutual. It has to be whole life. It has to be non-direct recognition. The policy also has to be structured properly. What that means is there has to be, so every time you invest or pay into the premiums into a whole life policy, a portion goes towards the death benefit. And another portion goes towards that’s benefit. I’m sorry, towards the cash value. Let’s say you’re building a home and let’s say you want it to allocate like 2000 square feet for this home. If you put in 2000 square feet entirely into the base, you’re going to have a really huge basement, right?

Speaker 3 (15:35):

You’re just going to have a basement, only nothing on top. But if you did it like more strategically, more, more of a wanted house where it was 1000 square feet in the base, and then another thousand square feet on top, it’s still 2000 square feet, but it’s structured differently. Same thing with whole life insurance. If you were investing like $10,000 a year or saving $10,000 a year into the policy, and it went all into the base of the policy to the death benefit, you’re going to have a really tiny amount of cash value, which is not going to be favorable, especially for real estate investors who are always looking for liquidity. Rather if the policy is structured properly, maybe you might have 5,000 going towards the life insurance part and another 5,000 coming towards the paid-up additions rider, which is the cash value part of the whole life policy. And that’s what, turbocharges the cash value. That’s what creates that increase in cash value that you could use to become your own source of financing.

Speaker 2 (16:27):

Awesome. This is great. Great stuff, Siri. I really appreciate you breaking that down for our audience and our listeners out there. All right, sir. Well, that brings us to the part of the show that’s called the rapid fire session. And this is basically where I ask you a about 10 questions and you just give me the first answer that comes to mind. Okay. Ready? Awesome. Scale of one to 10. How strict were your parents? Seven out of 10. Okay. Get up early or stay up late. Early. How many hours of sleep do you get per night? Eight hours. Favorite or last book? Read a mindset by Carol Dweck. If you could be any superhero, who would it be? A Batman. Okay. Something everyone should do less of, of social

Speaker 3 (17:23):

Media with, for just for fun. Yeah.

Speaker 2 (17:26):

Smart. It’s something everyone should do. More of read books, love reading books, Bitcoin bank or bust. Uh, I got me there. Um, I’d say bank. Okay. Well, people live on Mars in your lifetime. Probably not. Okay. Awesome. Awesome. Well, I really appreciate, I mean, great, great answers. And guys, you’ve all made it to the end of the show. And as we know, most people never finish what they start. So you’re special. Now, if you got any value out of the show today, please share it with a friend shared on your Facebook page. Like this video, subscribe to our channel and send us topics that you want to learn more about in the future. And like I said earlier, nearly a million people use the connected investors, social network and marketplace to connect. Now in the description of this episode, I’ve included a link to this episodes, discussion forum, tap that link asked me and other pros questions in that form and see what other investors are saying about this particular episode. So guys, until the next episode, you can catch me on the inside of connecting investors. See on the inside guys,

Speaker 4 (18:38):

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