Infinite Banking: become your own source of financing.
Use the cash value of a properly designed participating whole life policy to fund life’s big purchases, while your savings keep growing.
Why people use it
Control of your money, for life.
Infinite Banking, also called an Infinite Financing Arrangement when a corporation uses it, relies on dividend-paying participating whole life insurance. The policy is permanent, its cash value grows tax-advantaged, and you can access it without a standard loan application.
- Access to capitalBorrow against your cash value without a bank approval process.
- Flexible repaymentRepay on your schedule rather than a rigid loan payment plan.
- Growth that keeps goingYour cash value can keep growing while it is used as collateral, depending on the policy design.
- Wealth for the next generationThe death benefit passes to your beneficiaries, generally tax-free.
Designed with an advisor who knows it.
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Talk to us
We look at your goals, cash flow and the purchases you expect to finance.
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Design the policy
We structure the participating policy for cash value growth and tax efficiency, and compare carriers.
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Start building
The sooner you start, the more time your cash value has to grow.
Infinite Banking questions.
Plain answers. If yours isn't here, ask us directly.
Ask an advisorDividend-paying participating whole life insurance. Participating policyholders can receive dividends, which can buy more coverage and grow the cash value. Dividends are not guaranteed.
The idea is the same, but the tax rules differ. In Canada, a policy loan can be taxable when it exceeds the policy’s adjusted cost base, so the policy must be designed and managed carefully.
Several Canadian insurers offer participating whole life, including mutual and demutualized companies such as Equitable, Canada Life, Sun Life and Manulife. We help you compare them.
No. Participating whole life costs more than term insurance and works best as a long-term commitment. We will tell you honestly whether it fits your situation.
The corporate version of the concept: a corporation owns a permanent policy and uses it as collateral to borrow for business investments.
Ready to become your own banker?
Infinite Banking depends on proper policy design, tax rules and your personal situation. Dividends are not guaranteed. Talk to us before you decide.