[00:00:00] Intro: Welcome to Private Banking Strategies Podcast with Vance Lowe 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] Seth Hicks Esq.: Hello and welcome to Private Banking Strategies Podcast, Vance Lowe and Seth Hicks Vance, how are you?
[00:00:44] Vance Lowe: I’m doing, I’m great and looking forward to, uh, what we’re gonna discuss. Today
[00:00:49] Seth Hicks Esq.: we’ve been talking about the private family bank and creating a hundred year. Wealth, legacy within your family, and it’s been awesome. [00:01:00] We’ve got some great feedback and we want to continue talking on that topic today.
[00:01:04] Seth Hicks Esq.: And something that I want to focus on, Vance is the dawn of this private family bank. There’s not a lot of people that are showing. Folks how to do it or even talking about it. Maybe that’s because it’s a specialized expertise, but you know, most families, they build wealth accidentally. We find, you know, they might have a windfall here or get a good job there.
[00:01:27] Seth Hicks Esq.: Investment pays off. Maybe their rental properties, they figured that formula out. You know, those type of aspects. But it’s financial. Risk management a lot of times that people don’t calculate properly and that fail to preserve their wealth, you know, from generation to generation. So we want to talk to people.
[00:01:48] Seth Hicks Esq.: About that. What is a private family bank? Vance.
[00:01:52] Vance Lowe: Well, yeah. Lemme make a comment a little more on the state of society today. [00:02:00] In a hundred year plan, in a private banking format, people have not got role, even role models out there. A pattern after we have big corporations that are successful. We have small business where people are very successful in producing, you know, and manufacturing or providing a service that provides a lot of income, but wealth preservation beyond those owners, those individuals who made the success.
[00:02:35] Vance Lowe: It’s not gonna be lasting. And through our education system where they’ve completely eliminated anything to do with wealth accumulation or how money works. Our society today is really behind what’s called the eight ball. You can see it in the kids today. They don’t have any clue at all that their wealth has gotta [00:03:00] depend on their handling of the money that comes under their control.
[00:03:05] Vance Lowe: Private family banking can be a structure to teach the family, replace what was taken away out of American education about money, how money works, and how you set it up, and how you can compound this not only in your generation, but the generations to come.
[00:03:27] Seth Hicks Esq.: We’ve often talked about a proverb and it’s. An explanation of how families have built wealth and then lost wealth and study after study.
[00:03:38] Seth Hicks Esq.: Show that even across different nations and economies and over long lasting time, same pattern, forms and repeats itself, first generation builds, creates wealth, has success. The second generation, how to maintain that, sometimes maintain it, steward it. Somewhat. Well then the third [00:04:00] generation, the grandchildren inherit those things and they lose it.
[00:04:03] Seth Hicks Esq.: They didn’t have to put in any sweat equity. They didn’t pay any price. It was just handed to them many times and without a A system. Now, contrary to generations, which lose wealth over time, for those that are successful, they operate within a system. They operate within a structure, and they have. Lines on the road that show them how to drive forward.
[00:04:28] Vance Lowe: Right? You, you know, I see that every day. Even in our, our clients that we’re teaching how this works, I, um, kind of classify people into three categories, and the first category is the people who actually make things happen. They’re on the ball. They don’t wait. They do their research, they do their homework, and they just make it happen.
[00:04:51] Vance Lowe: The second group, which is pretty much the majority of the people, they watch things happen. Some of ’em will analyze to death, but never [00:05:00] act. Some of ’em will just sit by and go, well, that’s nice, and they’ll listen to one great idea after another and never really come on board with it. They put forth enough effort.
[00:05:13] Vance Lowe: To maintain a lifestyle that they perceive that they want, but they’re not quite in the leadership position. They’re more of a support position and would much rather be told what to do. And then there’s the third group. I love ’em. The third group sits back and wonders what the heck happened. They don’t have a clue.
[00:05:36] Vance Lowe: They’re in a different sphere. They just don’t know they have their own way of life maybe, or think the grass is greener on the other side and they have their own opinions, be it right or be it wrong, but they really don’t have a clue and they wonder well. Why can’t I do that? Mainly more of an entitlement group also.
[00:05:56] Vance Lowe: So that’s how I categorize these people. And when [00:06:00] you put it to text, because Seth, what you’ve said here is absolutely correct. The first generations are the ones who put it together. They’ve got the idea, they’ve got the spark, the energy, and they put it together. Hopefully they did it right, because if there’s loopholes and if there’s not a structure set up.
[00:06:19] Vance Lowe: The second generation, they try to maintain it because they were taught by their parents, but they didn’t have the initial drive to put it together. So they’re out there trying to function. Human beings usually follow the path of least resistance. We don’t pass on, or we don’t teach our children enough in our society as it’s the breakdown of the family unit.
[00:06:45] Vance Lowe: So they want society to teach the children instead of the parents. And the parents need, you know, with two income families, we don’t teach the children what. We value, and in wealth [00:07:00] generation, the children have to be taught, they have to understand, they have to sacrifice, they have to go through a lot. And that doesn’t carry on to that third generation.
[00:07:11] Vance Lowe: And there’s no society out there. There’s no group of people out there. If they’re just handed something, they think they’re entitled, they don’t value it, and they’ll lose it. They’ll make decisions not based on sound principles, but on fads and fantasies and follows this path almost every time,
[00:07:32] Seth Hicks Esq.: right?
[00:07:33] Seth Hicks Esq.: Yeah. When wealth doesn’t have a structure to support it, it often dissolves and it also needs. Uh, as we described in the pillar velocity of money, this is one of the seven pillars of product banking strategies. That money has to be in motion and have a purpose, and without a purpose, it begins to disintegrate, divide, get eaten up by [00:08:00] inflation, improper planning and structure taxes.
[00:08:03] Seth Hicks Esq.: So. The families that have a governance that creates a system and a strategy that the children have to participate in the banking liquidity by those set of rules, create a shared purpose, shared governance, and put everybody with a common goal, which is their collective preservation and expansion. And that’s generally what families have been over.
[00:08:36] Vance Lowe: Yeah, you’re right. When it comes to money. It’s like any other formula of success out there. A corporation has to have a formula of success in order for it to, you know, survive new startup companies all the way down to building furniture, cooking food. There’s always a recipe [00:09:00] if you want repeatable results.
[00:09:03] Vance Lowe: Money’s the same way, and I’ve spent a lifetime helping families, individuals build assets so that they can feel more freedom and still fight the basic things that needs to happen with money. There are certain things we all know that we have to do with money, but we consciously, I don’t know if it’s because we’re too busy or we’re too bored or whatever it is, we choose not to follow these principles and wonder why we can’t succeed.
[00:09:38] Seth Hicks Esq.: Well, most people haven’t been taught the principles, and so it’s best to commence that education when they’re children.
[00:09:46] Vance Lowe: We can touch on one of the things that we teach when we have clients come in, and this is widely known and everyone should know this, and if you don’t pay more attention, one of the things about money is called [00:10:00] Never Ever Spending Principle.
[00:10:02] Vance Lowe: Well, what’s principle? Well, it’s the new money coming in under your control, the earned money, your paycheck or whatever else. And so everybody gives up right there because everyone around them, everyone, they know everyone they trust and they believe in spends their money, but the banks don’t spend money.
[00:10:23] Vance Lowe: Whenever a bank gets money, they put it to work, don’t they? So we have living examples. We have the strategy right before us to be successful. Banks are the best there is in the business with compounding and accumulation of money. And yet we think there’s a better way. There’s another way. You know, there’s a lot of principles that we can look at and we can teach, but that’s one of ’em.
[00:10:47] Vance Lowe: You know, if you could just switch that in your life and it’s so easy to switch, that’s what’s amazing. People don’t think they could do it, but they can, and it doesn’t even take 20 minutes of understanding to switch from [00:11:00] spending your money to using it and getting it back.
[00:11:03] Midroll: Did that story feel like it was about you?
[00:11:07] Midroll: 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? Please visit us at www.privatebankingstrategies.com.
[00:11:34] Seth Hicks Esq.: Where people may get hung up is they think, well, here I am in my situation. I just met you, Vince. I’ve never heard about private family banking. This sounds hazing. I make $5,000 a month and my bills are 4,900. You know, how do I not spend principle today? And that’s where people go. I, I don’t understand. So what you’re talking about is when someone has sufficient [00:12:00] cash flow, that they’re not suffocating in debt necessarily.
[00:12:03] Seth Hicks Esq.: I mean, the application’s a little bit differently in the sense that if someone’s suffocating in debt, we go and purchase that debt and recapture. The interest that was getting away from us. And so thereby we’re, we’re recycling and getting multiple touches on the same dollar, but for someone to operate at, never spend principle that’s like the black belt.
[00:12:27] Seth Hicks Esq.: Would you say that correctly? Or, or,
[00:12:29] Vance Lowe: yeah. It’s a, it’s a, it’s a light bulb. It’s something though that physically cannot be done unless. Set up, unless you’re, you’ve incorporated the way to do that at home, people feel like they’ve never been taught this. You know, when you go home, you know, all the rules don’t apply.
[00:12:46] Vance Lowe: You get to lay back, you know, go in the backyard, drink a beer, watch your favorite football team or whatever else, and you don’t have to apply anything at home. When in fact, that’s where it really begins. Your home should [00:13:00] be actually run as a corporation, not a small business. It should have departments, it should have everything it needs to succeed, and that means it grows.
[00:13:10] Vance Lowe: It doesn’t shrink every day. You’re better off than you were the day before. Every month you’re better off than you were the month before. If you can’t track that in your home with your take home money, once it gets under your control, you’re losing ground. You know, and I’ve said this so many times because I’ve heard it so many times from other people, I didn’t invent it.
[00:13:33] Vance Lowe: A perfect definition of insanity is going to work, working really hard, earning everybody else money along the way so you can get a paycheck and that could be as high as. 25 to one, making from your efforts, $25 for you to get paid. $1 in the corporate scheme of things, you know, this is after Uncle Sam takes their unfair share just to come home and spend it, and then you have to go back [00:14:00] to work or.
[00:14:00] Vance Lowe: Start it again and just keep on doing the same thing. You know? That is why the average American gets more disgruntled as time goes on, because they don’t see a way out, and there’s a simple way out. There’s an easy way out. We don’t have to change our lifestyle. We don’t have to do any of that if we follow and understand correct principles on how money works.
[00:14:22] Seth Hicks Esq.: So you’re describing a system and a strategy. Thus, that’s why we call the application of what we do, private banking strategies. It’s not a calculation, it’s a strategy. It’s a mindset. And the planning includes family governance and multi policy architecture where there’s intergenerational planning and you’ve got asset protection and tax free compounding.
[00:14:47] Seth Hicks Esq.: Understanding where to place death benefits.
[00:14:50] Vance Lowe: Yeah, that it’s an understanding that every single dollar coming in your control is valuable. If we watch people go through their money, you would come up [00:15:00] with the decision. They hate money. ’cause the second they get it, they burn through it as fast as they can, but every dollar is valuable.
[00:15:07] Vance Lowe: Again, you look back in a bank, they account for every single dollar that comes into their bank. Even the bank overhead comes back to them. Because they understand the art of money. Money has to move, like you said at the beginning here, we have to keep money in motion and it has to come back to us so that we can reuse it over and over again while new money’s coming in.
[00:15:32] Vance Lowe: That’s the art and the secret of success with money. Right?
[00:15:35] Seth Hicks Esq.: And that’s where we find the successful families operating and creating multi-generational wealth.
[00:15:42] Vance Lowe: So true. So people need an education system from what do I do first? How do I have to set things up? Well, the first thing we have to do is identify a problem.
[00:15:52] Vance Lowe: You know what the problem actually is, just like a mechanic. Just like a dentist. Just like a doctor. You’ve gotta find out what the [00:16:00] problem is before you can do the diagnosis, before you can set up a recovery or a repair or growth.
[00:16:06] Seth Hicks Esq.: It’s not a one size fits all. No. It’s a very case by case analysis,
[00:16:12] Vance Lowe: but it’s easy to identify those problems.
[00:16:16] Vance Lowe: It’s easy to set a system up so that you can start the circulation. People don’t know that ’cause they don’t understand how they think. They know how money works, but they don’t. And so. The way they think. They’re always making the wrong decisions because they’re influenced by television, by banks, and everything else, that if this happens to you, you should do this with your money.
[00:16:40] Vance Lowe: Right? It’s all wrong. It’s not correct, but it’s simple. You don’t even have to risk money to get phenomenal results.
[00:16:48] Seth Hicks Esq.: I mean, traditional financing typically incorporates retirement accounts that are government bound, government regulated. Government confiscated, perhaps mutual [00:17:00] funds, bonds, market based investments and equities.
[00:17:03] Seth Hicks Esq.: You know, also some folks who go, oh, just got a budget. You know, just need to create a great, good family budget. I’ve got families that I know that don’t have a budget. They don’t, they’ve never worked off a budget, but they’ve implemented the principles that we’re talking about, the strategies and the budgets are meaningless to them effectively because they have a surplus.
[00:17:23] Seth Hicks Esq.: It’s about putting their money to work in the right places. And then one of the biggest mindset flaws that I find in the people thinking about. Life insurance that we use as a banking instrument is they go, well, insurance is, it’s a cost. It’s just money outta my pocket. It’s, you know, whereas that’s entirely wrong.
[00:17:45] Seth Hicks Esq.: It’s an asset, and in fact, it’s one of the best assets on the planet. Because of the way that the law applies to it.
[00:17:52] Vance Lowe: What people don’t understand is that these contracts with these insurance carriers and many [00:18:00] insurance carriers came into existence. New York Life, metropolitan, Prudential, Northwest Mutual, all came into existence to provide the banking equation for the family.
[00:18:13] Vance Lowe: We, the nation rose to becoming the most powerful nation without any of the banks we know out there today. Large of London was here. That was about it. And folks, we think we know something. We listen to our mentors. Our mentors say, pay cash for everything. Double up on payments. Do this, do that. It can’t be more than an, it’s exactly 180 degrees.
[00:18:37] Vance Lowe: Wrong. We think all we end up doing is taking our principle, applying it to debt that we’re not gonna get back. You know, we take it out of production and wonder why we can’t get ahead. Well, paying off debt is not getting ahead because that debt’s gonna be replaced. ’cause everything wears out. Folks, you need to realize this.
[00:18:58] Vance Lowe: There’s a better way [00:19:00] and we have to stop. You know, it’s called herd mentality. If everybody’s doing it, it’s the wrong thing to be doing. If you hear it advertised on television or the radio, it’s the wrong thing to be doing. Look 180 degrees, turn completely around and look at the opposite of what you think you should do.
[00:19:19] Vance Lowe: And you’re probably gonna be much closer at doing the right things.
[00:19:23] Seth Hicks Esq.: And that’s why these traditional financial planning typically fall short sometimes, uh, when it’s too late, people are in already sunset years, they age of retirement and they’re realizing don’t have enough money to make it through retirement.
[00:19:37] Seth Hicks Esq.: I’m outliving normal expectations or whatever the case may be. And by then, it’s too late. But if you begin to focus on the things we’re emphasizing now, you won’t get caught like that. Folks, this is a, maybe a novel concept to some of you guys. Maybe it’s something you’ve never heard about. And if you wanna learn more about what we’re describing and how [00:20:00] private banking strategies can work for you, go to our website@privatebankingstrategies.com and there you’ll be offered a.
[00:20:08] Seth Hicks Esq.: Popup for your name and email. You can have a book that Vance and I authored called What the Banks Don’t Want You To Know. And that book begins to isolate and identify certain things that you may or may not have ever been informed about the value of compounding interest to how banks operate and various other.
[00:20:28] Seth Hicks Esq.: Things that will get you to think, and that’s what we’re trying to do. If our podcast and our book resonates with you, schedule an exploratory call with Vance. You’ll get a link to his calendar through our email to you, and we hope that you’ve enjoyed the podcast and look forward to hearing from you again.
[00:20:46] Seth Hicks Esq.: Vance. Any closing remarks?
[00:20:48] Vance Lowe: You know, I’m just excited to bring this information out and I encourage everyone, take a little more time, invest a little bit of your time on really understand and learn how money works. It’d be much better [00:21:00] off. Thanks guys.
[00:21:01] Outro: Did that story feel like it was about you? Do you feel you should be making more progress toward your financial goals?
[00:21:09] Outro: Do you feel stuck? Let us help you get unstuck. Are you ready to take action and get your own private bank? Please visit us at www.privatebankingstrategies.com.
[00:21:25] Outro: Thank you for listening to the Private Banking Strategies Podcast. Click the subscribe button below to be notified when new episodes become available.
