[00:00:00] Intro: Welcome to Private Banking Strategies Podcast with Vance Low and Seth Hicks, your secret weapon to protect your assets and never have to start over financially again. Vance and Seth help high net worth individuals, families, business owners, and investors structure and asset protected fortress for their families.
[00:00:21] Intro: Learn how to keep what you earn and use the velocity of money. To create your own private banking system. Join us on this journey as we explore the secret strategies of the rich and political elite and help you take total control of your financial security. Now onto the show.
[00:00:37] Eric (Host): Hello and welcome to Private Banking Strategies with Vance Low and Seth Ethics.
[00:00:41] Eric (Host): Gentlemen, how are you today? Doing great, Eric. Absolutely fantastic.
[00:00:45] Seth Hicks Esq.: Alright, so what are we talking about today? We’re talking about asset protection, the first pillar of private banking strategies, Eric, and one of the reasons that we’ve put it as pillar number one is because it’s not what you make that counts.
[00:00:58] Seth Hicks Esq.: It’s what you keep. Mm-hmm. That [00:01:00] counts. And perfect illustration of this, I’m gonna tell a story about a client of ours, right? And then Vance is gonna help me explain how this person utilized private banking strategies to their benefit. They have a $10 million revenue. Cumulative business over the past, less than a decade.
[00:01:18] Seth Hicks Esq.: And when we first started talking about asset protection with this client, he basically shirked it off and thought, well, you know, I don’t really need asset protection. Didn’t identify the reasons for it. Well, since that he is been sued four times in just normal business disputes and business litigation, none of which were his fault really, or responsibility.
[00:01:38] Seth Hicks Esq.: But yet it identified the fact that we all need asset protection, that we need to keep what we make. So one of the fundamental things that certain states provide with the private banking strategies is law that protects your cash value. So you have banking capitalized and your cash value in there is untouchable by creditors, [00:02:00] and it’s regulated state by state.
[00:02:02] Seth Hicks Esq.: So some states are not as friendly and favorable as other states, and those, we have other workarounds that help you to create a cash vault is what we like to. Call it. And that vault is an in penetrable fortress, so to speak. So if you happen to have litigation and turn up a liability or a judgment against you, the cash that’s in your private bank is untouchable.
[00:02:24] Seth Hicks Esq.: Now, that’s just one aspect of the asset protection pillar. Litigation, we’ve been talking off camera, some about the current administration and the policy that’s going on with. What we consider to be the most expansive new deal, error, expansive government since FDR. And there’s about two places that those people can reach for coming up with the money that’s being printed.
[00:02:46] Seth Hicks Esq.: So Vance, I’m gonna let you kind of chime in a little bit about what we’ve been talking about with the government expansive spending policy and how that’s gonna affect taxpayers and investors. One of the
[00:02:57] Vance Lowe: things we’ve gotta understand [00:03:00] in today’s economy is the behind the scenes effect of the erosion of our retirement money.
[00:03:07] Vance Lowe: It’s not that the account balances are gonna go down, it’s that inflation is gonna outstrip those amounts of money and it’s already happening. The best example I can give you today, and this is almost across the board folks. If you go into like Home Depot or Lowe’s and you need a two by four, you’re gonna be absolutely shocked at what the price is today.
[00:03:28] Vance Lowe: Six months ago, you could buy it under $2. Today it’s right at $9 per eight foot, two by four. I mean, how many times has that doubled what’s happening on a, a retirement basis, like your 401k or your IRAs? You’ve got 400,000, 500,000, a million dollars there. By the end of the year, the purchasing power of that will be cut in half, and if not stopped, it’ll be cut in half again.
[00:03:54] Vance Lowe: Absolutely critical. Also, the place, what we’re talking about and what we really want to [00:04:00] explore. And Erica, we want to draw out from you maybe some concerns if you see yourself and maybe our audience sees theirself in a situation, well, how can I protect my money? Where’s the best place to store my money if it’s not in banks?
[00:04:12] Vance Lowe: ’cause we want to talk about the effect of the Dodd-Frank Act and how close banks are there. FDIC insurance. How there’s no money there. I think at this point, just as a caveat, the government is thinking that if a run on the banks happen, they can print enough money to supply FDIC insurance and that’s not gonna work.
[00:04:32] Vance Lowe: Let’s talk about the ramifications If the banks start getting more wishy-washy than they are today.
[00:04:39] Seth Hicks Esq.: So we’re describing certain categories of potential liability. One is litigation, like the gentleman we described, who’s a successful entrepreneur and businessman, and getting sued and having your cash assets being subject to judgments.
[00:04:53] Seth Hicks Esq.: Well, with an expansive government printing money and bank deposits being [00:05:00] robust. It’s an obvious place ripe for the taking. And people go, well, how are my deposits safe in the bank? Well, the Dodd-Frank Act basically says that you are a unsecured creditor of the bank, and the bank actually owns those funds when you make the deposit and they give you an IOU.
[00:05:18] Seth Hicks Esq.: They promise to pay you your funds when you come to withdraw them, but you or may or may not recall a bank called IndyMac. Eric and IndyMac Bank was a bank that failed in 2008, 2009 time period, and there was a bank run on IndyMac and there were actual armored police vehicles and mounted patrol at. The banks all across Southern California, keeping the peace at IndyMac Banks because of the bank run that was made on that bank.
[00:05:47] Seth Hicks Esq.: And if you actually do the math on what the FDIC insurance is good for, it’s about 1.30 cents on the dollar. So your bank deposits in a centralized bank are not safe. [00:06:00] And with the inflationary ask. Of our current economy and the continued printing of money, they’re becoming more and more unsafe. So you go, well, who’s gonna pay for the printing of money?
[00:06:10] Seth Hicks Esq.: Taxpayers and depositors taxpayers are going to have increased taxation, and our current administration has promised that. And there’s only one place that you can keep your cash asset protected by law, and that’s in a private banking strategy contract in the right state. So this is not fearmongering.
[00:06:28] Seth Hicks Esq.: It’s really just a real hard look at reality and facing the facts.
[00:06:33] Eric (Host): Well, this is not new though, guys. I mean, let’s face it, it’s a wonderful life, right? There’s a scene in there where everybody runs into that bank or credit union or whatever it was at the time, and they all want their money out, but he doesn’t have it because it’s in Mary’s house and it’s in Joe’s house, and the money’s not there, right?
[00:06:49] Eric (Host): And so all these people wanted it. They couldn’t get it. And chaos and pandemonium hit, and it sounds like that’s what you’re describing, that that happened in Southern California.
[00:06:56] Vance Lowe: Remember when they first got into the billion dollar [00:07:00] deficit area, we’re gonna have to do a stimulus package or something for $1 billion.
[00:07:05] Vance Lowe: Everybody thought, oh my gosh, we’re going to heck in a hand basket. And then it immediately went to 50 million and a half and then multimillions. And it wasn’t very long ago. I think Obama’s administration, when we got into the trillion dollars, $7 trillion and behind that scene was a $16 trillion riding of new money.
[00:07:25] Vance Lowe: And now it’s in every. Day occurrence. Yeah. So government I think has totally lost reality sight on what they think they can print out and go after. Seth, you’ve had a client in Cyprus that actually lost money from the bank overnight, taking a large portion of everybody’s capital. Tell us what happened there, and if that clients recovered anything.
[00:07:51] Seth Hicks Esq.: Well, there was offshore havens where your cash assets were supposed to be safe and enjoying financial privacy and other [00:08:00] aspects that people look for offshore. And it was 2013 in Cyprus, one of the centralized banks came insolvent and they bailed in, meaning they had to take depositors money to balance their books and everything.
[00:08:15] Seth Hicks Esq.: Over a hundred thousand dollars deposited was taken at 50%. So you had some massive. Wipeouts of millionaires in deposits and there’s actually litigation still ongoing trying to recover certain cash assets from that. But the bottom line is that you don’t want to take on that risk and you don’t have to take on that risk.
[00:08:34] Seth Hicks Esq.: You don’t have to play in that sandbox. You don’t have to have hundreds of thousands of dollars or millions of dollars in centralized banks, domestically, foreign or otherwise. There are other absolute bullet. Proof protective vaults that you can keep your cash in, access it with complete liquidity, and it’s never going to go backwards and it’s never gonna be confiscated.
[00:08:54] Seth Hicks Esq.: You’ve sold me, where do I put my money and how do I set it up? Well, [00:09:00] that’s what private banking strategies is all about. We help you set up a. Where you maintain your cash liquidity in these contracts and you’re able to use that money over and over again and you treat that money just like you would from any other bank.
[00:09:16] Seth Hicks Esq.: You make sure that you are collateralizing the loans. If you go out and purchase an investment property, or you’re financing equipment like we’ve talked about in prior episodes, you structure those just like any bank does with any other borrower. So that you get the money back, your bank gets the money back and has a first lien priority interest in
[00:09:36] Midroll: it.
[00:09:36] Midroll: Did that story feel like it was about you? Do you feel like you are generating a lot of revenue but are not moving forward as fast as you would like? Do you feel you should be making more progress toward your financial goals? Do you feel stuck? Let us help you get unstuck. Are you ready to take action and get your own private bank?
[00:09:58] Midroll: Please visit [00:10:00] us at www.privatebankingstrategies.com. Bank
[00:10:07] Seth Hicks Esq.: your cash in a whole life insurance contract, a high cash value life insurance. Affords you with complete liquidity to your cash and allows you to have that growing tax free compounding year after year without the threat of it being taken from you by the government or a super creditor or any other creditor.
[00:10:27] Seth Hicks Esq.: And so you go, well, how is it regulated? It’s regulated state by state. So each state has its own insurance code, which dictates whether the contract in that state and for that resident is gonna be protected or not protected, or to what level? So for example, Eric, in Texas, the insurance codes provides that a hundred percent of your cash value is completely protected from creditors.
[00:10:54] Seth Hicks Esq.: And also with the life insurance contract we’ve talked about, there’s a death benefit. And so whoever your benefit. [00:11:00] Fisheries are, if they have a liability or create some type of problem, their creditors cannot access those funds either. In Texas and many of the southern states are similarly codified, Florida, Oklahoma, Tennessee.
[00:11:16] Seth Hicks Esq.: And the reason that is, is because it’s a post civil war error, codification of law, and it was to prevent carpet bagging. But many of the outside ocean states, the west coast, the east coast, northern states, they don’t provide some of those same protections. And so there’s other ways that we work around to accomplish that.
[00:11:34] Seth Hicks Esq.: Mm-hmm. But the best states are the ones that the legislatures codified for their residents complete asset protection. So mostly southern states accomplish that. Let’s talk
[00:11:46] Vance Lowe: for just a minute, a little bit about timeframe. So I’m a listener. I’m now worried that my money’s not safe, so I’ve gotta have a timeframe.
[00:11:54] Vance Lowe: Can I go ahead and make a deposit into a life insurance policy tomorrow?
[00:11:58] Seth Hicks Esq.: You’ve gotta go [00:12:00] through an application process, but comparatively speaking, we’re talking about a few weeks,
[00:12:05] Vance Lowe: let’s say we think things are going to heck in a hand basket. Right now I’ve got a half a million. I’ve got a million. I want it to end up in my bank, and I don’t want it taxed because I want it private and nont traceable.
[00:12:16] Vance Lowe: There’s other strategies out there, and I’m just gonna open one up. We’ll have to go into it another time, but an immediate five year annuity where you can actually go buy an annuity. It’s like a pension. The money is spent and now I receive one fifth of what I put in there, plus the interest. It can move directly into my bank without any legal or ramification.
[00:12:37] Vance Lowe: From that point on, it’s all handled at the life insurance company. There’s no risk. It’s all guaranteed. We can handle, no matter what your circumstances are and what level of want or fear that you might have, we can show you and build a plan that you can choose from and decide what you want to do.
[00:12:55] Seth Hicks Esq.: The general rule would be you divide what you want to capitalize your [00:13:00] bank with and get it in over four or five years, Eric, if you have a primary need or an overriding need to get it in faster than there’s other strategies.
[00:13:07] Seth Hicks Esq.: And then there’s also premium deposit accounts, which I’ll let you explain that a little bit. And what that does, Eric, is it actually puts that corpus of money. Let’s say that you had $250,000 and you put it into the custody of the insurance company and it’s earmarked for. The upcoming annual premiums.
[00:13:26] Seth Hicks Esq.: Mm-hmm. But it’s also asset protected. It’s not subject to the Dodd-Frank regulations, like being in a centralized bank where there could be a bail in. It’s not subject to you having a judgment creditor, confiscating, or attaching your bank accounts. It’s not subject to any of those gaps and holes, but it’s in the asset protection vault that we’re describing.
[00:13:49] Vance Lowe: So the reason that this is Eric and for our listeners, is that most the life insurance companies are well over a hundred years old, which means they predate [00:14:00] the IRS and everything else, and they have grandfathered immunity with a lot of the principles that are going on. A lot of the regulations going on with our government right now.
[00:14:10] Vance Lowe: They’re governed and regulated under state law and not federal, so they have a lot of immunity out there. The premium deposit account, the best way to explain it is like the life insurance company having their own money market account for you. You can deposit the money. It’s earmarked for premium.
[00:14:29] Vance Lowe: However, it’s liquid, which means you could access that money should you need to. Most life insurance companies have this available because of lack of use, which means the life insurance agent force was not educated enough. To tell their clients about the use of this. A lot of companies have discontinued that, but we still have a few that have that opportunity.
[00:14:54] Vance Lowe: And you can pre-fund your life insurance premiums. You actually get an interest rate in that [00:15:00] account, which is higher than at the banks, but that part will be taxable. ’cause it’s not life insurance yet until the premium actually gets put in.
[00:15:08] Seth Hicks Esq.: Yeah. Asset protection is best when it is preemptive. It’s best set in motion before you have problems.
[00:15:16] Seth Hicks Esq.: And like the gentleman that I described with an eight figure revenue, annual revenue business, now he sees a great need for asset protection and we’ve set those things in place for him and he, and more importantly, his wife, sleep. Very well and rest peacefully knowing that they’ve got their cash protected in something that by the legislature is untouchable and, but contrast that if someone has been sued or they’re getting tax lien notices from the IRS or other entities, we could still help people out in those situations.
[00:15:49] Seth Hicks Esq.: But it’s best to plan before you have the need for it.
[00:15:53] Vance Lowe: I would like to just add as a final note, it’s very important to avoid what we call the [00:16:00] ostrich syndrome, where you bury your head in the sand. Well, sometimes we call it the herd mentality. Well, everybody’s doing it this way, so it must be right. It’s not right.
[00:16:10] Vance Lowe: The herd mentality was never correct. You’ve got to plan. You’ve got to decide now what you’re going to do for the future, or you’re gonna be left wanting. Folks, we’re here to help. There’s a lot of resources for everyone out there for you to decide, but make the decision. An unsuccessful person has to build an absolute career of making choices to be unsuccessful.
[00:16:34] Vance Lowe: Did you know that? Do yourself a favor. Make the right choices. Find out what your alternatives are. Don’t take risk. You don’t have to. In this strategy. I hope if the listeners are interested, they’ll take another step.
[00:16:47] Eric (Host): Yeah. Seth, can you tell them where they can go to get some of those resources, what the website is?
[00:16:51] Eric (Host): They can start really digging into this.
[00:16:53] Seth Hicks Esq.: Sure. It’s private banking strategies.com and there we’ve got a free book offer that comes in an [00:17:00] ebook form or audio book, which serves as a red pill device to help people spot some issues and may shed light on things they didn’t realize could be problems for them, like the Dodd-Frank Act among a few others.
[00:17:12] Seth Hicks Esq.: But the asset. Protection content that I’ve published, I’ve taken great time and energy to really educate our audience with issues, with regards to asset protection issues. And so that comes in email form and they can sign up for that free, cost them nothing, read them at their own time and begin to educate themselves into some of these asset protection needs.
[00:17:33] Eric (Host): That’s fantastic. Guys. Thank you so much for your time today. I mean, it’s always a pleasure and again, every time we get together, I’m learning a ton and hopefully one step closer to working with you very soon. Awesome.
[00:17:43] Seth Hicks Esq.: Thank you
[00:17:44] Eric (Host): Eric. Thanks so much, Eric. You bet. And of course, our last thank you goes to you, the listening audience.
[00:17:48] Eric (Host): Thank you so much for tuning in and listening to the Private Banking Strategies Podcast with V Low and Seth,
[00:17:53] Outro: that story feel like it was about you. Do you feel you should be making more progress toward [00:18:00] your financial goals? Do you feel stuck? Let us help you get unstuck. Are you ready to take action and get your own private bank?
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