Answers to Your Money Questions, Part 2

We all have money questions.  If you don’t, you just haven’t asked them yet. https://www.youtube.com/watch?v=jrsQ4Tzo7ao Today, we continue to answer questions from you—our audience, tribe, fans, those in a quest to control their money and financial future! You can view part one of this conversation here. There are some great ones here that might be on your mind too. So maybe you’ll get the answer you’ve been needing, so you can clear the hurdle and get one step closer to your goals… OR maybe it will prompt you to ask a question of your own… tune in now! Table of contents* What Should You Do With Extra Cash?* How Can Debt Be Advantageous?* Compounding Interest* IBC Isn’t About Paying Off Debt* Can You Withdraw Your Cash Value?* Available Cash Value* Low Cash Value* What Happens if You Withdraw All Your Cash Value?* What Happens if You Collateralize All Your Cash Value?* Policy Collapse* Is There a Difference in Dividends on Base Premium vs. PUA?* Do You Get Your Cash Value When You Die?* What Endowment Means* Can You Pay Premiums on a Monthly Basis?* Book A Strategy Call What Should You Do With Extra Cash? In this instance, a listener named Matthew says he recently did a cash-out refinance. Now, he’s wondering what to do with the cash he has leftover.  Really, the answer depends: there’s no one-size-fits-all answer to this question (or in fact, many questions). The follow-up question that we would like to pose in return, is what is the purpose of your money? What do you want to accomplish with your money? You can approach this from the big picture as well as on a smaller scale, like what you want your money to do at this stage of your life.  If you’re unsure of what to do with extra cash and want to hone in on your money’s purpose, here are some clarifying questions: * Does your money need to be accessible to you? Or is this money you are comfortable locking into an investment or other illiquid arrangement?* Are you looking to create a cash-flowing asset that will create passive income?* Do you wish to use this money for long-term growth? Or do you have a short-term opportunity?* Is your emergency fund sufficient? * Are you looking to take on some risk, or protect what you have? It’s also okay to wait and be patient until you know what you want to do—or an opportunity presents itself. A privatized banking system may be a good way to store cash long term while you wait. Or you may want to park your cash short-term. You may want to do a combination of many things. How Can Debt Be Advantageous? Another listener mentions their interest in IBC, yet is unsure what the advantage is of funding a whol...