[00:00:00] Voice Over: 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, an asset protected tax-free fortress for their families.
Learn how to keep what you learn 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 helping take total control of your financial security now onto the show.
[00:00:40] Aric Johnson: Hello and welcome to Private Banking Strategies with Vance Lowe and Seth Hicks. Vance, how are you today? I’m absolutely fantastic. Great, Seth. I, I, we were speaking just before the podcast started. I know that you’re going to kinda head this podcast off. I’m really interested in your topic today.
[00:00:57] Seth Hicks: Thanks Aric.
We’re today, we’re talking to [00:01:00] our crypto investor prospects. We’ve got a lot of folks out there who are crypto investors and we’re continually Uh, trying to educate on the private banking system strategies. And so that’s part of our audience, but we don’t want to leave out those folks who are selling a business and may have a large windfall coming from the sell of a business or perhaps, uh, and inheritance.
We’ve got a number of clients that are structuring inheritance windfalls. So we’re talking about the windfall income that comes from the liquidation of crypto profits or, uh, the sell of a business or an inheritance.
[00:01:38] Aric Johnson: Okay. W w what people that are getting tremendous, uh, signing bonuses and things for maybe a job change.
I mean, these are, you know, high executives that you see all these things where they’re getting these gigantic bonuses for starting with new companies. That kind of the same thing.
[00:01:52] Seth Hicks: Of course, anytime you got a big windfall,
[00:01:55] Vance Lowe: it is. And I just want to point out we’ve already made a [00:02:00] determination in our lives.
If this financial situation happens to us. Boy. If I receive this money, I know exactly what I’m going to, going to do, what we need to caution everyone. It’s not so much about what you don’t know about money. That’s going to hurt you. And when big windfalls come in, it’s all about what we think we know that’s incorrect.
If we make the wrong decision, someone else is going to end up with this windfall instead of us. Got it.
[00:02:30] Aric Johnson: Okay. Well, where do you start today? Well,
[00:02:33] Seth Hicks: let’s, let’s identify some of the problems that we see going on right there in the crypto investment world. Eric, one of them that we’ve seen, uh, from being in the crypto, uh, influencer space for the past five years is failed, uh, profit taking.
Uh, seeing crypto gains go up on paper and come back down without any realization of profit. And one of the [00:03:00] things that we try to counsel clients in is a safe strategy. And what safe strategy means is actually banking profits and putting them in an asset protected vault, whereby you can count on them.
You can structure a retirement plan that is safe and secure, and you know exactly what it will be, uh, on the day you want to retire instead of speculating. Um, so we’ve seen a lot of folks watch paper profits, go sky high, shoot to the moon, and then come right back down and they didn’t take any profits. Yeah.
We always
[00:03:40] Vance Lowe: ask the question when that happens, you watched it go all the way up there and you’ll watch it come all the way down. Did you enjoy the ride?
[00:03:48] Aric Johnson: That’s a terrible question. Nobody likes that ride.
[00:03:53] Vance Lowe: Well, it’s just human nature, you know, I want to get out At the top and that’s absolutely wrong [00:04:00] scenario.
So there are some things happening that south has identified here for us that we’ve got to caution people. We need to be able to take the profits under a systemized, um, managed situation. And it isn’t at the top. So there’s, there’s a lot of pain out there. And w w w we’ll want to lay that out so that, uh, people don’t have to make the same mistakes.
[00:04:25] Aric Johnson: Well, tell me if I’m wrong, but I the crypto market is just like any other market when it comes to trying, trying to time it. Right. I mean, that’s
[00:04:32] Vance Lowe: what you’re talking about. Yes. But on steroids. Okay.
[00:04:36] Aric Johnson: Fair enough. Fair enough.
[00:04:37] Seth Hicks:. The, the volatility of the crypto market will give you whiplash and, uh, it’s, it’s like Texas weather just wait around.
It’s changing. So the pain of watching supposed wealth slipped through your fingers like sand on the seashore is a, is a difficult one that we’ve, we’ve written out with a lot [00:05:00] of folks, but at the same time, we’ve had a lot of folks that have taken profits that have been, uh, prepared, uh, and had strategies in place had the safe strategy that we’re describing in place and had places to bank profits that, uh, that they could execute the rest of their family, um, living in a safe way.
Uh, and base those upon. So for example, let’s say that you are prepared to take profits and you do take profits. Most people have centralized bank accounts with Wells Fargo or bank of America. And they may put large multi-million dollar sums and centralize bank accounts. Now we’ve touched on this in prior podcasts of why that’s a really bad idea.
Things like the Dodd-Frank act, which, uh, effectively make your money, the bank’s money, and all they really have is an IOU to you. Uh, we talked about the Willie Sutton Law and Vance. I’ll let you [00:06:00] refresh our audience. If they haven’t ever heard about the Willie Sutton law, what that is, who’s will Sutton.
[00:06:05] Vance Lowe: Well, Willie Sutton is a famous bank robber back in the day of Bonnie and Clyde type, uh, era when banks were the local place that people started recognizing, and they put money in there.
And, uh, the bank robbers knew where the money was and he had a FA um, an interview. He got caught. Um, he went to jail. And a reporter come out and ask for an interview and got an interview with him and just started talking. And then the comment come up, or the question came up, Willie, why did you start robbing banks?
And Willie got a look on his face that was so incredulous. And he said to the reporter, duh, that’s where the money is. And then he refused to [00:07:00] talk anymore and left. So they knew where the money was and it was easy to Rob the money and take the money. Uh, today the Willie sotton law, um, is more of a reference as to the Dodd-Frank act.
The money’s there. Uh, government knows, anybody knows that money is in the banks and Live And our structure is finding ways to take it away from us, yeah.
[00:07:28] Seth Hicks: Eric in the baby boomers have $7 trillion socked away in retirement accounts that are government sponsored that they have reported on. And those qualified government accounts as we sometimes call them is, uh, is a bank ready for the taking, if the inflationary spending continues on the same top of scale, that it is.
Where do you think governments will find money? They’re going to find it in, in retirement accounts, [00:08:00] they’re gonna find it in centralized banks. And, uh, that’s Willie Sutton in the modern day, the Willie Sutton is the government excessive spending. And they’re going to come to their citizens where who’s got the money.
And that’s where they’re going to try to balance books on that, on that account. So how does that relate to what we’re talking about? We have a place. That is a safe strategy for folks to dump cash, which is not subject to the Dodd-Frank deck. It’s not in centralized bank accounts. It’s not subject to the laws of qualified government retirement accounts.
And therefore you’ve got. Assets and a vault that’s asset protect.
[00:08:45] Aric Johnson: which I think is it’s the point of what, what people are doing in crypto. I mean, I don’t know much about it, but from my understanding, cryptocurrency is much, much safer than a, like a bank to bank type of transfer or relationship.
Uh, when crypto is [00:09:00] transferred, it’s, it’s much, much safer. And that’s where a lot of people like, you know, to, to do that kind of business. And so you’re saying that you have an opportunity. Th they don’t have to put those windfalls or when they’re, when they’re selling, they don’t have to put them in a bank where it’s going to be more vulnerable.
You’ve got some else.
[00:09:16] Seth Hicks: And not only is it, uh, something else it’s, it’s a hundred times superior it’s financially private. It grows tax-free and compounds year after year, without any involvement of the IRS, it’s a carve out from the IRS. And in fact, the, the ultra wealthy and the 1% of the 1% have been using this strategy
Uh, for decades, if not over a century, we’re talking about former presidents, John F. Kennedy Nixon, and a number of other, uh, presidents. Those who’ve, uh, become, uh, very, very wealthy Ray Kroc, who was the franchisor of McDonald’s. I’m [00:10:00] sure most people are aware of him, uh, along with numerous other business businesses.
JC Penney’s these folks are the 1% of the 1%
[00:10:10] Vance Lowe: Walt Disney’s. So yeah, there’s a lot of people out there, but we, we don’t rub shoulders with them
[00:10:14] Seth Hicks: every day and people may not be aware. I Most of the time when we discuss, uh, private banking, people are Um, completely unaware and ignorant of how they can implement these same techniques in their life.
And that’s whether they’re a blue collar worker or a multi-million dollar crypto investor, but they haven’t been able to, uh, access this because it was, it was taken from the public’s, uh, the forefront. I mean, centralized banks used to come in to uh, elementary schools and try to condition kids to open bank accounts.
And, uh, I mentioned that before. I mean, when I was a little kid, my mom marched me down to the credit union at five years old and opened up, you [00:11:00] know, a bank account and, uh, were brainwashed into using centralized banks.
[00:11:08] Aric Johnson: Yeah. I mean, she meant well, right. I mean, and, and, and the, the teachers that told us these things, and my parents did the same thing.
You need to open a savings account son, and you need to put your paper up money in there and actually save instead of spending it all on donuts and mountain Dew, which I mainly did. But that’s another story for another day, but let me ask you this, because I think one of the issues with crypto is that, um, it’s not always easy to get banks to take crypto or exchange.
I’m not exactly sure how this whole thing works, but I’m sure you guys have had these discussions.
[00:11:36] Seth Hicks: Absolutely. And this is something that has commonly occurred whereby someone liquidates, uh, crypto profits, and they have a large gain, uh, and their centralized bank closes their account. Um, because they’ve got kind of an anti crypto policy.
So we’ve run the gamut of banking relationships on [00:12:00] behalf of clients to, to vet banks. Some of them are coming around and say, they know we’ll, we’ll, uh, accept crypto liquidations, but rather they’ll accept those liquidations or not. It’s not a safe long-term place for your money. Um, and if the music stops and there’s bank insolvency, The deposits will be evaporating quickly.
So we’ve got workarounds, Eric for, uh, depositing large amounts and, and using, uh, exchanges that are not common to commonly known. It’s not the Coinbase, uh, or the exchanges where people buy and sell crypto on a retail scale whereby they can get locked up those roadways. Uh, can get blocked, so to speak in the last bear market, uh, uh, turn from when it was a 2017, Eric and crypto was going through the roof and then it, uh, people were trying to get in and the [00:13:00] on-ramps to getting your accounts open, where we’re locked up and Coinbase was telling people it’s going to take six weeks to get your account opened.
And they were restricting the size of transactions. People were trying to push large six figure seven figure purchases through Coinbase, and they wouldn’t. And you could only make very small purchases. Well, we’ve, we’ve got work arounds for those, uh, crypto investors who don’t want to be, uh, using Coinbase and also might add that Coinbase was subpoenaed by the IRS and agreed to turn over all of their client records for.
A certain threshold of transactions, like $20,000 or more, don’t hold me to that number, but it’s somewhere around $20,000. If you had bought and sold at that amount, then they’re, uh, providing all of your transactions to the IRS. Well, people in crypto want financial privacy and that’s one of the things that private banking strategies provide is financial [00:14:00] privacy.
The contract that we offer. It’s totally financially private.
[00:14:08] Voice Over: Do you see yourself in that story? Do you feel like you are generating a lot of revenue, but are not moving forward as fast as you would? Like? Are you ready for help please? Call private banking strategies set eight one seven two hundred. 47 77 or visit us@www.privatebankingstrategies.com.
[00:14:33] Aric Johnson: Well, let me ask you this, because again, I’m not in crypto.
I would love to, I just don’t have the time to research everything. I don’t know what a dokie coin is compared to a Bitcoin. Uh, anyway, how, how are your clients and the people that you’re talking to, how are they working with the banks? I mean, are the banks, I would assume it runs the gamut. You’ve got some banks that are going to be pretty accepting because they want to be frontline.
And then there’s going to be some banks that are very skeptical and, and, [00:15:00] and just locking things down. What are your clients experience?
[00:15:04] Seth Hicks: Well, I’ve had a number of clients that had opened accounts, uh, that were shut down with large, uh, wire transfers from Coinbase or other exchanges, um, that the bank, uh, didn’t want to receive crypto funds.
And some of those are big box banks and some of those are smaller banks. Um, And so thus, you’ve got to have a solution where you’re diversified and you’ve got the ability to use centralized banks for convenience, but it’s not a long-term strategy for you. It’s not, you’re not going to hold your money there for months and years.
Um, and this, this is a common problem that that folks have, and it’s really easily solvable. If you’ve got the knowledge to work around. So
[00:15:49] Aric Johnson: you’re saying that the centralized banks are still good for a landing pad, if you will, I guess is the way I would phrase it, landing pad for that, that distribution from your coins, right.
From your, [00:16:00] your cryptocurrency. And then once you you’ve, it’s cleared through the central bank or whatever you want to move it out of there into, into the private banking system.
[00:16:08] Seth Hicks: Yeah. That’s absolutely right. And to other, uh, hard assets that are, you know, can’t be taken from
[00:16:15] Aric Johnson: you. Okay. What other hard
[00:16:17] Seth Hicks: assets.
Well, vance and I are firm believers in real estate. Uh, we like metals. Um, there are other things that, uh, you take possession of your precious metals and, and, uh, unlikely to be, uh, on, on a ledger or taken from you. So. That’s the kind of security that we’re talking about. And that’s the insurance companies that we deal with.
We have a contract that structured Eric in a way that makes the private bank for your family. Uh, the perfect solution. So it’s, there’s no reporting to the IRS. It’s, it’s not taxable. And that’s by the owner, the, uh, [00:17:00] IRS code as it’s already structured. And like I mentioned, the ultra wealthy and wealthy have been using this tool for decades, if not centuries.
So in one of the things that we don’t even haven’t even touched on as being able to use. Your money and these crypto liquidations, uh, more than once being able to capture the velocity of money, um, Vance is an expert at that and I’ll defer to him to touch on that topic. But if you really want to go deep on that topic, you can go into some of our.
Prior episodes, episode four, discusses the velocity of money that we did, Eric, and really explains how to capture multiple uses on the same dollar. But Vance I’ll let you touch on it too. Yeah. One
[00:17:46] Vance Lowe: of the things we just want people to see if they can’t pictures of themselves in, if they’re a headed for a windfall or a large sum of money, or just on a day-to-day basis, they want to start accumulating. [00:18:00] Their.
Uh, scenarios out there. Seth just mentioned a, uh, an insurance contract that is put together specifically for the purpose of being a perfect private bank. It’s not about life insurance or excuse me, the death proceeds of a contract, but it was based inside that, uh, we could go all the way back. Uh, in American history and analyze what made America so strong, the number one, it was the independence and the independence went from the very top.
From Congress all the way down to the family unit, the individual family unit was extremely independent, self surviving, so to speak back in the day, and it’s what made us so powerful. This strategy was introduced, when the first pioneers came over and it was done through these contracts, people needed a place, a safe [00:19:00] Haven that they could.
Depend on to put their wealth or money and know that they could come back and get it. That it couldn’t be taken by the Willie Sutton’s of the world or anyone else. And they self financed pretty much everything that they did because you know, there were, they weren’t in big public cities, uh, especially, as the west was being explored and settled.
So these contracts. Though they were, then they still exist today. And this was the, exactly what Seth said had been taken away from us from our education system. We don’t know how to do it anymore. And this is what we’re trying to bring back is the safe strategy, this windfalls strategy and how we can protect that.
So these contracts can be set up at any level an individual’s comfortable, but it’s not an, an all-inclusive. There [00:20:00] are limits on both sides. There’s the way to structure it. Um, for instance, somebody says, you know what? I can easily stick. You know, I’m getting bonuses every year. I can put $50,000 a year, uh, over here into this contract.
Okay. Well, if we’re going to build it and be the most efficient possible. Then we’re going to lock off all other expenses because we want to turn that contract into being able to get the most value or most money back to be able to use it. And so we can’t set up this contract and change. The amount we want to put into it.
We can’t go in one day, put $50,000 in and then decide, that’s not enough. I want to go in and put in more. So people, we ha we have to understand. Um, sometimes we end up with several of these contracts. I have [00:21:00] several of them thinking that I only needed one. And I’m up to almost 15 contracts now, and it’s not enough, but the bank keeps growing and keeps expanding.
And so people have to learn about that. So this is kind of where we’re headed with and seeing with our crypto people right now, uh, there was an expectation of taking profits at the end of last. And that didn’t occur. That was set back for six months. And a lot of times people make the mistake of living off of, windfalls that may or may not come in and changing.
Uh, listen to a lot of people have already quit work and did a lot of things thinking they were going to be rich millionaires and weren’t. And now they’re thinking, okay, that it’s postponed. Maybe we postpone our banking and everything else, which [00:22:00] is also a fatal mistake. This is a reprieve. This gives us an opportunity to get things up and running on a very small scale, testing it all out, seeing how it works, setting things up to be able to absorb.
The windfall. So I’ve probably said too much on this. I don’t know, but, uh, that’s my explanation of, uh, of, of this perfect private bank. Uh, we have to understand so that it will fit our exact needs.
[00:22:32] Seth Hicks: Yeah. W and really what’s, what’s probably more, uh, Applicable is talking about term conversions, Vance, because a lot of this audience has, has heard of our, what we’re talking about, where we have a whole life policy, Eric, and you also have a rider.
That’s a term conversion it’s so that you you’re able, you’re holding an option and you’re holding an option based on your you’re approved medical [00:23:00] condition and you’re approved financial condition. And let’s say that you want to exercise your option and take that term policy to hold policy. You don’t have to requalify for medical.
You don’t have to requalify for financial. And it’s something that someone that’s a crypto person. That has a, a hundred thousand dollars in total net worth now and 2 million in crypto, but they haven’t with their ship. Hasn’t come in yet. Well, if they’ve got term policies and that $2 million ship comes in, they can begin to convert their term and place it in whole.
That’s really the most applicable for this audience.
[00:23:35] Aric Johnson: Guys, this has been fantastic. I mean, there’s so much to digest here as usual. Um, but we are running low on time. So Seth, is there anything else that we want to cover in today’s podcast? I know that you’re going to do a part two to this, uh, with a lot more information, but what do we need to wrap up with today?
[00:23:50] Seth Hicks: Well, one of the things that I want to accentuate is the way we structure these contracts is in a way whereby [00:24:00] someone that’s looking at. Paper profits that they haven’t realized yet can still implement a safe strategy. And the way that we do that is through what someone would commonly think of as like an option.
And, and what we have is a policy that is a whole life policy of a certain magnitude. Erika, let’s say a small magnitude. If someone has $50,000 net worth right now, and 2 million in crypto, uh, potential profits. They can’t, they can’t bank a million dollars in private bank because their ship hasn’t come in yet, but they can execute on a small policy and have what’s called a term rider.
And what that term rider does, Eric, is it locks in them in their current medical underwriting. Let’s say that they pass and they’re given offers and their financial underwriting is complete. They don’t have to requalify medically. And in fact, even if they had some type of, uh, injury or medical condition, Uh, they could still exercise their option [00:25:00] on the term and convert it to a whole life and bank that $2 million in crypto in their safe, private banking.
So that’s the, that’s the home run ball here.
[00:25:12] Aric Johnson: Yeah, no kidding. Holy cow. That’s it. You drop that at the end of the podcast. All right. Well, that’s going to lead us into what the next podcast is. Why don’t you give him a teaser about what you’re gonna be covering?
[00:25:25] Seth Hicks: Sure. We’re going to touch in, uh, on solutions. And we’re going to talk, talk to you about, uh, when you’re executing these strategies that we’re talking about, what it, what it brings you, what the benefits and the values are, and, uh, and dig into some of those, those good details.
The promised land. We talked a little bit about the problems. Now we’re going to talk about the, the solutions. All right.
[00:25:46] Aric Johnson: That sounds good, guys. Thank you so much for your time today. Thanks
[00:25:49] Vance Lowe: Eric.
[00:25:50] Seth Hicks: Thank you, Eric.
[00:25:51] Aric Johnson: You bet. And of course we want to thank you to listening audience. Thank you so much for tuning in and listening to the private banking strategies podcast with Vance lo and Seth Hicks.
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