LEVERAGED PLANNING® LOAN HIGHLIGHTS
 

Client Profile
• Insurance for business needs (e.g. key-man, buy/sell, etc.), retirement income, estate planning, or wealth transfer
• Consideration begins with unencumbered assets equal to or greater than $1,000,000
• Good cash flows and debt/income ratios, liquidity
• Acceptable Credit History
 

Term/Loan Size
• 10 year loan term
• Minimum initial premium: $50,000 (minimum loan sizes may vary based on carrier requirements)
 

Collateral
• Generally no personal guaranty required*
• Cash, letter of credit, CSV from approved carriers/products
• 100% of policy CSV is applied

 
Ownership Structure
• Borrower is an entity such as a corporation, or trust
• Collateral Agent is a U.S. national bank

 
Interest Rate Options
• Variable
• Libor or Prime + Spread Adjustment options are customizable.**
• Fixed
• Adjustment options are customizable.**
• Custom Rate Options
• Rate structures are customizable based on loan size (caps, buy downs and structure switches available).**
 
 
Plan Features/Benefits
• Closing - on your timetable
• No out-of-pocket closing cost
• Preliminary offer within  48 hours
• Broad range of insurance carriers and products
 

Fees & Expenses
• A one-time loan origination/application fee up to 1% may be charged - fee may be paid or capitalized
• Insurance commission split may apply for life insurance or annuity
 

Case Submission Requirements
• Completed Loan
• Underwriting Form
• For business loans:
• Documents include Income
• Tax Returns (personal and business) for previous 2 years; articles of incorporation; interim balance sheet and income statement, etc.
 

For trust-based loans
• Personal guaranty
• Trust/ILIT documentation
• Please see the Case Submission Procedures & Requirements document for full details of required information
 

* Trust based loans may require personal guaranty
**   Call for details
*** When allowed by insurance carrier
 

1. Loans to ILITs generally require a signed personal guaranty document.
2. For ILIT based loans, carrier-specific lending requirements may vary from those published above. Please consult carrier for their  specific requirements.
3. For refinance or in-force funding cases, loan requirements may vary from those outlined above.
4. All rates and terms are subject to change without notice.

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