Thursday, June 27, 2013

"Can You Briefly Explain Bank On Yourself To Me Via Email?"

I received an email today from someone interested in learning more about Bank On Yourself.  We've been playing phone tag.  Actually, it's been more one sided.  I left my 3rd and final voice mail on Monday.

Here's what she wrote today:

Hi John,

I am so sorry I have not returned your phone calls. I have very limited time & I honestly I just suck at phone calls.

I am interested in learning more. I heard of this from my aunt & am curious as to what it is as I do have a daughter who will be college ready in a few years.

Can you briefly explain to me via email..?


Here was my reply:

I’ll try to keep it simple.

Bank On Yourself is a savings strategy that allows you to grow your money without risk of loss and without risk of taxes.  You have access to your cash values for any reason and at any time.  There are no penalties like with a 401k/IRA before age 59.5.  The true beauty of the system is that your money grows uninterrupted for the rest of your life, even when you use it make large purchases, pay off debt, or invest elsewhere.   It’s not like putting money in the bank where once you spend it, you have to start all over again. 

There are rules of course.

1.        You must be able to think long-term.
2.       You have to commit to capitalizing your bank to the best of your ability (Be a saver!).
3.       Don’t steal from yourself (always pay yourself back with interest).
4.       Stop working with traditional banks (they are the prime source of all financial problems).

If you can do these 4 things, I can help put together a plan that will not require any luck, skill or guesswork to grow your net worth.

That’s Bank On Yourself in a nutshell.  Let me know if we should talk.



John A. Montoya
JLM Wealth Strategies, Inc.
(925) 386-6639 Office
Authorized Advisor-Bank on Yourself®
CA Life#0C42222
DRE #01390017

Help me promote financial literacy in your workplace, church, or organization.  Ask me what SOFA is all about!

Monday, June 17, 2013

Protecting Yourself From Confiscation

Via Robert Mish, from Steven Saville's

Protecting yourself against government confiscation
Government confiscation of wealth can take many forms. Here are some examples:

1) Taxes, duties and royalties

2) Nationalisation of assets

3) The forced exchange of one asset for another of lesser value, such as the compulsory exchange of gold for dollars in the US in 1933 and pension funds in some countries being forced to invest in government debt.

4) The arbitrary impositions of laws and regulations that reduce the values of investments

5) Capital controls that prevent money from being transferred to a more desirable location, thus ensuring that the money remains available to the government for future harvesting via taxation or forced investment in government debt.

6) Licenses and fines

7) Price controls

8) Inflation

Specific and detailed tactics for protecting yourself against government confiscation are outside the scope of the TSI newsletter and largely outside our expertise (our specific tactical knowledge is mostly limited to our personal experience and would not be relevant to the majority of our readers), but in general terms it boils down to internationalising yourself and your assets.

Internationalising your assets involves spreading your wealth over multiple political regions, such that no single government can take an action that jeopardises your financial well-being. To be a little more specific, it makes sense to spread assets/investments between North America (the US and Canada), Asia (mainly Singapore and Hong Kong), the Asia-Pacific region (Australia and New Zealand), and parts of non-euro Europe (e.g., Switzerland and the UK). Some countries in Central and South America (Mexico, Panama and Chile being three examples) could also make suitable homes for a portion of your capital. The extent to which you spread your wealth geographically will, of course, depend on how much wealth you have. The more wealth you have, the greater your need for international diversification.

Internationalising yourself involves having at least two official travel documents and is of greatest importance if you are a US citizen, the reason being that if you only have a US passport then internationalising your assets will be far more difficult than it should be. This is because the actions of the US government have transformed US passport-holders into pariahs from the perspective of most financial institutions outside the US.

Confiscation via inflation is the one form of government theft that you can't effectively protect yourself against by internationalising your assets, because all major currencies are being inflated aggressively. With there being widespread commitment to the wrongheaded belief that a strong currency is a liability, this is unlikely to change in the foreseeable future.