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[00:00:41] Host: Hello and welcome to Private Banking Strategies with Vance Lowe and Seth Hicks. Seth, what’s going on my man? I am doing great, Eric. Thank you. Oh, man, I’m excited to be back with you guys. Oh, man, I’m excited to be back with you guys. I learn something every time. It’s always a great conversation. Vance, what are we covering?
[00:00:54] Vance Lowe: Well, . We’ve got a lot of people investigating this idea.
[00:00:57] Vance Lowe: We have people, actually [00:01:00] bring us their own numbers and we’re gonna let you test drive this to see if the strategy will be right for you. Or not.
[00:01:05] Vance Lowe: One of our clients, going through this process discovered that, ” Wow, I spend almost all my money in the things I think I need every month, but the discipline’s really not there. I suspect because all of my income goes into my checking account. And If I find I’ve got extra money, I don’t like to waste it, but my brain will work over time in justifying something that I need.”
[00:01:33] Host: Mm-hmm.
[00:01:34] Vance Lowe: And I think all of us find us in that same position.
[00:01:38] Vance Lowe: So In Parkinson’s law, it says we have to do a little bit of a paradigm shift because we have to recognize that if we don’t do something, we will remain slaves to the system. Now this is shocking news for a lot of people. They don’t believe they’re slaves to the system, but they are, total slaves to the system.
[00:01:58] Vance Lowe: They have to go to work, they have to [00:02:00] produce, they have to pay everyone else along the line in order to get a dollar in so that they can spend it. Once they spend it, they break a rule called “Never Spending Principle.” That money’s gone forever, and they’re right back to square one again. So we have to have a desire.
[00:02:15] Vance Lowe: So this creates that desire. If I can do this over the next eight years, and it really doesn’t hardly change anything except who ends up with the money. They create this burning desire to be able to do it. So once that desire is there, then the real change can happen. One of those things is trying to find the capital, find the money. Seth, can you address that for us.
[00:02:39] Seth Hick Esq.: Sure. Yeah.
[00:02:39] Seth Hick Esq.: Sometimes Eric people go, “Well, I don’t know where I’m gonna fund my bank. Mm-hmm. “I Don’t know how I’m gonna find the money to implement this.” And one of the things that Vance is really good at is helping people see that you don’t have to find new money.
[00:02:53] Seth Hick Esq.: You simply have to change who’s getting the money? Well, what does that mean? That means something like, let’s take credit card [00:03:00] debts you and you want to restructure your debt, and you’re making a high interest credit card payment or multiple high interest credit card payments every month and, it double digit, interest rates, and you’re burning through that cash just to stay above water redirecting some of the payments that you’re making and minimizing a payment to a credit card and stacking it in your private bank till you have enough to actually, what we call “Purchase the Debt,” purchase one of those credit card debts and put that debt into your own private bank, well some people will go “Well, you’re paying off your credit card.”
[00:03:33] Seth Hick Esq.: Yeah, you’re paying off your credit card with the money that you’ve stacked and restructuring how much payment goes to a credit card, and then you make the same payments or you structure a debt that’s even more comfortable into your private bank and thereby you’re not losing control of the money that you’ve made. What you’ve done is you begin to collect the interest as the credit card company was collecting off of you. Now that same interest is being [00:04:00] capitalized in your own banking system. You do that with credit card number one, credit card number two, credit card number three, and so on. Some people go, “Well, I don’t have any credit card.”
[00:04:07] Seth Hick Esq.: Well, let’s talk about the next step, Vance. Where might be the next place you would find money for your bank?
[00:04:13] Vance Lowe: A lot of people mistakenly think when they pay off the loan to their, they don’t have car payments. And I laugh and laugh, you know, I play with people saying, you don’t think you have a car payment? Are you driving a car? “Well, yeah.” Then you can’t tell me you don’t have a car payment unless you’ve torn up your driver’s licenses because that car is depreciating. We go into finding the money. How much money have you spent on cars your whole lifetime to date? We always like to do that because they’re not expecting that.
[00:04:42] Vance Lowe: But for the average American, if they’re in their late forties or mid fifties, is still close to $200,000 they’ve spent on vehicles. So I ask the question, do you want that money back? And they go, what do you mean? Well, I’m asking a series of questions. Do you want that money back?
[00:04:57] Vance Lowe: Or can I have it? And when the second I [00:05:00] say, can I have it? Then they’re starting to think, “Well wait a minute, is there’s something I’m missing?”
[00:05:05] Host: Yeah.
[00:05:06] Vance Lowe: And so yes. Okay. You can have that back. So I’m gonna show you how you can get the money back.
[00:05:06] Vance Lowe: We always ask the question, and Eric, you’ve asked this throughout many of our podcasts, who ends up with the money?
[00:05:13] Vance Lowe: The banks always end up with our money, don’t they?
[00:05:16] Host: Mm-hmm.
[00:05:17] Vance Lowe: And no matter what we do, the banks get it. But also how do they work? How do they make money? They make money by lending it, right?
[00:05:26] Vance Lowe: So I put their money to work and they always get it back. that branch has to be self-sufficient. It’s always paying on a debt. Or whatever else. The money always comes back, and as people start to learn the economy and the environment of what money does, we can discover, we can use money, essentially more than one time.
[00:05:47] Host: This is gonna be fantastic. Really think about the story that you’re hearing and realize that you’re probably part of this. Vance, what story are we gonna talk about today?
[00:05:55] Vance Lowe: Well, We’re gonna jump in with both feet and talk about a typical family who’s self-employed [00:06:00] professional, who fell on hard times. I’ve gotten permission from the client to narrate his story a little bit so that we too, if we find ourselves or a loved one in some of these same situations, we’ll be able to relate.
[00:06:15] Vance Lowe: His profession was a chiropractor, so we’re gonna call him a Mr. Chiro. Alright. Circumstances evolved to a point where a couple made an appointment with me. They drove up from Houston, five hours to get to my office. They came in and introduced themselves and they looked like they were worn out. And They told their story and my heart went out to them.
[00:06:38] Vance Lowe: And I guess it was because they were full of tears many, many times. Evidently this client, Mr. Cairo was misdiagnosed with Lyme’s disease. And in this type of profession, you cannot practice with that on your record. He was misdiagnosed for two solid years before they found out their mistake. Mm. So think of the spiral that [00:07:00] happened to this couple.
[00:07:02] Vance Lowe: They were on their last effort before they were going to file bankruptcy. They had gone through all of their assets, all of their monies.
[00:07:10] Vance Lowe: And some miracle, they said they had heard about our practice and that, “What Vance and Seth tells you, you can rely on, they’re gonna tell you the truth.”
[00:07:23] Vance Lowe: Mm-hmm. So they were hoping that that was true. They wanted to hear what we had to say. And when I asked him, a question, ” ” “What is it that you want from me? What can I help you with?” So They told me they were getting ready to file bankruptcy. They were back employed.
[00:07:36] Vance Lowe: And they were making a little bit of a profit, but combined with the monthly payments and the profit, they could never see themselves clear of the heavy debt that they accumulated. Hmm. So I wanna just jump into the debt a little bit so you understand. There was right at $450 to $500,000 of excess debt.
[00:07:59] Vance Lowe: Wow. [00:08:00] This was second mortgages along with mortgages.
[00:08:02] Vance Lowe: Loans. All kinds of loans from different banks to help them out during this period of time. They had tapped every resource they knew and had borrowed right to the limits and it was back to work, but they couldn’t see themselves out and they didn’t want to be strapped for the rest of their lives under this mountain of debt, the average interest rate was over 16%. As we progressed, I asked them, what’s the first thing you want to do? And Mom in this case was there.
[00:08:33] Vance Lowe: She just broke down in tears and says, “Do I have to take my two sons out of university?” They were attending Michigan University at the time, and there was no money to continue to pay tuitions. So we proceeded, We looked at all of the debt. And I asked him, “Is there any additional resource?” And when you look at the numbers, we come up with approximately just a little bit over $30,000. A little bit into [00:09:00] savings that they swore they would never touch. Some stocks owned by parents that was willed to them. A little mutual fund, a little bit here, a little bit there. They had a Roth IRA. They didn’t want to touch that because I might have to pay penalties, but they had about $33,000. But how far is that gonna go against a mountain of debt of mm-hmm.
[00:09:16] Vance Lowe: Almost a half a million dollars at 16%?
[00:09:19] Vance Lowe: He said, now that I’m back to work, I can afford the money I make off of two patient visits per day towards this system that I’ve heard about. Mm-hmm. To see if it will help me get out of debt.
[00:09:32] Vance Lowe: And to tell you what that is, folks that equated to $20,000 annually. So if you, times that by the number of weeks, days that he worked per week and and weeks he worked per year came out right at $20,000. Mm-hmm. So, I told them in that scenario, I need to go to work. I need to put the power of banking.
[00:09:51] Vance Lowe: To work for you and show you how soon you’re gonna get outta debt. And I asked them and reiterated, do you think it’s gonna take a lifetime to get out of debt? And they said, “Yes, we [00:10:00] can’t see our way clear.” And I said, “Well, if I can get you out before that, can we celebrate? What can we do with, the extra money?”
[00:10:06] Vance Lowe: And they assured me that they could put it to work. The short of the story as we built a plan together, we introduced a strategy that the banks use every day. We’ll all agree that the banks always get the money back, right? Mm-hmm. So when you and I do our thing during the day and the month, when do we get the money that we spend back? Well, we don’t. And that’s because we’re not following the same strategy that the banks do.
[00:10:34] Vance Lowe: So the simple equation is we’re gonna put the bank strategy in this client’s life, and we’re gonna show them how to get money back on their payments and use that money over to compound the payments down so that they can get outta debt. One at a time. We usually start a strategy close to the smallest owed debt and then work towards the largest.
[00:11:27] Vance Lowe: So All along this time, we’re not gonna require the client, Mr. Cairo, to work any differently. He’s not gonna have to work harder. He’s not even gonna have to change his cash flow. What we’re gonna change is who ends up with the money?
[00:11:43] Seth Hick Esq.: What Vance started to lay out for them was an absolute roadmap, step by step of how to climb out of that hole.
[00:11:51] Seth Hick Esq.: And although they didn’t see that they could do that, and they came in with literal tears, doubt, uncertainty, and unbelief really they decided to take [00:12:00] that leap of faith and, and follow the roadmap. And they are an absolute rockstar because, they did that. They actually had the fortitude and the courage to follow the advice and follow the plan step by step.
[00:12:10] Seth Hick Esq.: And as they did what we call a headwind that forces drag in your financial, prosperity became a tailwind and it lifted them and accelerated them such that they never went backwards again. And that’s one of the pillars, the seven pillars of Private Banking Strategies®, is that this strategy you’re investing in a discipline and in a strategy, and you’re putting your money in a place that now gives you lift.
[00:12:35] Seth Hick Esq.: Yeah.
[00:12:35] Seth Hick Esq.: Rather than a headwind. And that lift, accelerates. And as they began to accelerate year upon year, they became more. Hopeful, less anxiety ridden. They were on top of their bills. Everybody wants to be with winners, Eric. I mean, who wants to be, with losers? “I wanna be with winners.” Yeah.
[00:12:45] Seth Hick Esq.: Everybody wants to be with winners. They want to be secure.
[00:12:48] Host: Well, Seth, I’ll tell you one of the things that strikes me about this story specifically is that this gentleman was a chiropractor and we know scientifically it’s been proven when you carry stress, you carry stress in your body. Your joints ache, or [00:13:00] your neck aches, or you get headaches because you’ve got this stress. I can’t imagine the amount of stress that they were going through, the lack of sleep. I mean, I’ve been in situations where you’ve got worry and concern you don’t sleep well, you don’t eat right.
[00:13:10] Host: I mean, there’s so many things that it affects and I can imagine the place that they’re at when they came down and sat in your office the very first day, and how that changed over that timeframe.
[00:13:19] Seth Hick Esq.: Absolutely. I mean, You gotta have compassion for people, especially if you’ve gone through trials and troubles of your own mm-hmm.
[00:13:25] Seth Hick Esq.: That, kept you up at night and the stress, like you said, weighing on you like a 400 pound bar. These folks, as they began to get lift, which really didn’t take that long, they saw. These principles in action in the first few months, and they began to catch that lift and that stress lifts and the anxiety lifts and they began to breathe a little easier.
[00:13:40] Seth Hick Esq.: Let’s be real, a lot of Americans spend more than they make. They accumulate toys and things that they really can’t afford. And that’s just the American way. And if you cannot forsake that mindset and step into another strategy where you actually control the money and the money doesn’t control you, then we can’t help [00:14:00] you.
[00:14:00] Seth Hick Esq.: But That’s why I said these guys are like rock stars because they actually took the advice, the eight year roadmap that I’m describing, and they put it into work.
[00:14:08] Host: Yeah, and that was actually my next question. I know that Vance just barely scratched the surface on this story.
[00:14:13] Host: But The timeframe is what I was wondering about. So you said it’s like an eight year roadmap, correct?
[00:14:17] Seth Hick Esq.: Yeah, the roadmap that Vance puts together for folks is an eight year roadmap, and that can be changed and modified as things change, assets change. But that’s where we start with that eight year roadmap.
[00:14:27] Seth Hick Esq.: And if nothing changes and you don’t have to work any harder or take a second job, you can follow that roadmap right to the end. And know exactly where you’re gonna end up in financial freedom and security. I mean, these folks scraped together about 30,000 bucks. That’s all they had to their name?
[00:14:43] Seth Hick Esq.: Yeah. From friends and family loans and selling used things on Craigslist, and that’s not a whole lot, but they went all in. They jumped in the deep end and they trusted us to put this to work for them. This is the thing that we’re after with this. It’s a new form of banking to most that they’re unaware of now, but it’s not new in our history.
[00:14:58] Seth Hick Esq.: It’s a 200 year old [00:15:00] concept of private banking through whole life insurance, and it’s the contract that we’re after in these situations.
[00:15:06] Seth Hick Esq.: Your bank really steps in the shoes of what a traditional bank typically does, and for those folks, this is where it gets really easy because a lot of people have some form of debt, whether it’s mortgage on their home, whether it’s mortgages on investment properties or credit card debt or car automobile debts.
[00:15:24] Seth Hick Esq.: Your bank can be utilized to effectively purchase the debt from that third party and keep the dollars within your own family economy. So you got $25,000 auto debt and you’ve got a $25,000 loan that you can make from your private bank to purchase that auto debt from a third party lender, you begin to make.
[00:15:45] Seth Hick Esq.: Cash flow and the interest payments on that auto debt into your own private bank. So This works in small increments, Eric, whether we’re talking about minor credit card debt or a little bit larger auto debt, or even larger home debt, or if we’re talking about a [00:16:00] multimillion dollar business acquisition.
[00:16:02] Seth Hick Esq.: It’s the same principle.
[00:16:03] Seth Hick Esq.: You’re able to capture what we call the velocity of money, getting multiple touches on the same dollar and being able to capitalize your private bank with a dollar and pull that money out of your private bank and loan it and you’ve got that money in your bank ready to use yet again for further business expansion. Or another. Real estate acquisition or another purchase of credit card debt or auto debt, and there’s that cyclical velocity of money and you’re getting internal rates of return that will blow your mind. And when you say, well you get a 50 and 60% internal rate of return on some of just these basic transactions, people go, “No way.”
[00:16:39] Seth Hick Esq.: But then Vance will show you. He’ll lay it out for you and demonstrate to you in an eight year roadmap exactly how that’s working.
[00:16:44] Host: I know that we’re getting close to the end of our time together. What do we need to finish up with this podcast?
[00:16:47] Seth Hick Esq.: Well, If the light bulb is coming on for our listeners and the things that we’re describing are resonating with what we’ve said, then go to our website at Private Banking Strategies and there you’ll have a “contact us,” form that [00:17:00] pops up and you give us your name and your email and we’ll begin to email you content that is informative on these very topics.
[00:17:06] Seth Hick Esq.: And we also give our prospects a free book. We like to call it a red pill book. And you can read that or listen to it, and that’s available on our website. And you can begin to dive into content that we’ve spent years putting together in the form of podcast and blog posts and emails that really educate the listener as to how this works.
[00:17:29] Seth Hick Esq.: And if you’ve done that and these things are resonating with you, we offer you a free consultation, an exploratory call with Vance where he kind of drills down on. Your particular goals and how it would work for you, and that’s how we jumped this process off, Eric.
[00:17:42] Vance Lowe: What’s so important, if we’re not happy with the results we’ve received so far in life, in working and everything else, something has to change.
[00:17:49] Vance Lowe: A change has to be made in order to get a different result, and we’re offering that change. . For people to learn and literally take in. You can give a person a fish and feed ’em for a day, or you can teach someone [00:18:00] how to fish and feed ’em for a lifetime. Money is not what people think it is. Although we think we know about money, it’s quite a bit different.
[00:18:08] Vance Lowe: And Once we understand how money works and grows, we’ll never look back and the results will be far more to our favor than in any other process.
[00:18:18] Host: Absolutely. Well, gentlemen, again, thank you so much for your time today. . Go through the listening audience. Thank you so much for tuning in and listening to the Private Banking Strategies podcast with Vance Love and Seth Hicks.
