Infinite banking has TikTok buzzing, but is it for you?
By KATIA IERVASI of NerdWallet
The “infinite banking” movement is trending on TikTok as a way to create wealth. It sounds simple: Use your cash value life insurance policy to take out low-interest loans and finance large purchases like college tuition and home renovations. But this strategy is best suited to individuals with high net worth who have a high risk tolerance to match. The first steps to building wealth are paying off debt, saving three months’ worth of living expenses in an emergency fund and making the most of tax-advantaged retirement accounts.
