Comments on: NBC News – Investing In Life Insurance

By: thecoach17

thecoach17 — Mon, 15 Feb 2010 07:04:52 +0000

obe231: You CLEARLY have NO UNDERSTANDING of how whole life and cash value works!

The cash value is very similar to equity in a house. You can’t just take cash out of the walls, you need to either borrow against it or sell the house and take the equity…same as the cash value. By your logic, you’re saying that buying a house is a rip off since you have to borrow against the equity and you don’t just get a cash hand out! Get a grip and educate yourself before spouting off factless info!

By: 407buddy

407buddy — Mon, 15 Feb 2010 06:09:36 +0000

Family meeting folks, need to cut cost, OK how about canceling all insurance policies (frauds anyway) walk away from credit card (Fico: a huge fraud). Hey,..it’s Just a pragmatic family business “got to survive” decision. Got the idea from too Big to fail banks, they are really good at it. Gonna start me a family veggie garden, pop me a cool one, kick back and,.. well fuck it!

By: MrElkevo01

MrElkevo01 — Mon, 15 Feb 2010 05:22:09 +0000

Maybe you sound to work with PRIMERICA or some company that only offer Term insurance ahhhhh. You to study more the Insurance Industry. Exist a product that Cash Values and Death Benefit if you die ALL MONEY GOES TO THE BENEFICIARY. If you dont die you can withdraw up to 90% and you dont pay taxes and is approved by IRS. My respect but please dont confuse the people. The old times pass a way because new ways has all ready to cross.
The Lord Bless this Nation

By: MrElkevo01

MrElkevo01 — Mon, 15 Feb 2010 05:02:44 +0000

My Pass comment its for obe231. obe231 what is the best vehicle to put my money to grow? Mutuals Funds? IRA? 401K? think about this is simple 1+1=2, this vehicles are great in the pass but look what happen at the time you retired ex. 401K your Tax Bracket change you need to pay to in Taxes 30 to 33% so if you reach to accumulate $500,000 x 30%= $150,000.

By: MrElkevo01

MrElkevo01 — Mon, 15 Feb 2010 04:28:29 +0000

This is a great GIFT that you need to pay in Taxes. IRA is the same so my question for you again what is the vehicle that you recommend to invest the money?

The Lord Bless this Nation

By: bweazel

bweazel — Mon, 15 Feb 2010 03:32:49 +0000

4-5% over 20 years? That’s a horrible investment, that won’t even keep up with inflation. These guys are giving horrible financial advice. I love how they didn’t say whole life once, glad that other guy called them out on it.

By: wodendog

wodendog — Mon, 15 Feb 2010 02:39:19 +0000

bweazel, first of all 4-5% compounded over 20 years tax free is not a bad investment (it’s not GREAT, but not bad). Second with the death benefit growing at 8-10% (also tax free), it’s not a bad deal either. Third, inflation varies from year to year (ranging annually from 18% to -10.5 since 1914). During the last 20 years it’s been around 3%. It hasn’t reached 4% since 1991.

Do your homework before you make biased uniformed statements.

By: bweazel

bweazel — Mon, 15 Feb 2010 01:41:44 +0000

What are you an insurance salesman? I didn’t hear the “internal rate” part. There is no reason your life insurance policy should also be your retirement policy, it is simple greed on the part of the insurance companies. I mean hey if you got the money, have at it, but if you have the money, you should be investing into many other things, not life insurance. I’ve done my homework. Your second part is a tad misleading there, at what point during the 20 years will your cash value grow at that rate?

By: wodendog

wodendog — Mon, 15 Feb 2010 00:50:37 +0000

Bweazel, there is no reason why Life Insurance can’t supplement a retirement plan.

When you ask about my “second part” you refer to CV, when I was in fact referring to DB. What have I said that was misleading? DB is the Death Benefit (what is paid out when the insured dies). As the CV grows in the policy, so does the DB. A 500K policy bought in 1980 would be 1 Million+ today (DB).

I have found that very few people commenting on CV LI policies actually do there homework.

By: bweazel

bweazel — Mon, 15 Feb 2010 00:36:34 +0000

Wodendog, there is no reason why life INSURANCE should suplement your retirement. Like I said before, it’s greed on the part of “insurers”, who have now turned into (always been) hedge fund whores.

I was under the impression your cash value grew and your death benefit remained constant. Your death benefit grows? Huh? Since when? 500K policy worth 1mil today… is that additional 500K not your cash value in the policy?

For the second time now, are you a life insurance salesman?