770 Account Fact or Fiction

770 Accounts Fact or Fiction?

770 Account. Which can also be found here.

The 770 account is a form of whole life insurance. It is a marketing name derived from a specific IRS code allowing investors to take advantage of loopholes. Tax Free. There are videos of Suze Ormon and a rebuttal video by Bary Dyke author of Pirates of Manhattan.

Many questions have been asked about this investment vehicle such as “how to open one”, “are they real”, “are they a scam” and “what the heck are they?”

Below is a transcript from a popular video covering these secret accounts:

Did you know there’s an account that exists, right now, that yields five to six times more than long-term CDs, has guaranteed returns in some cases, does not have to be reported to the IRS, can be accessed anytime without penalty and finally, lets you retire 100 percent tax-free?

It’s true and yet, while these powerful accounts been around for over 150 years.  Most people never heard of them.  That’s because government places tight restrictions on the advertising of these accounts, even though they’re 100 percent legal.  As a result less than .07% of Americans have what I call 770 account setup, while more than half the population has a 401K or similar retirement account.

The number 770, by the way, comes from the IRS legal code section that allows these accounts to exist. So then the question is, why have these accounts been kept so secret?  I’ll get to that in a minute. But first lets take a glimpse at who’s been using the 770 account.

President John F. Kennedy had an account. So did Presidents Ttaft, Cleveland, Mckinley, Harding and FDR. Roosevelt, in fact held a significant portion is wells 560, 000 or a $7 million in today’s dollars inside his own 770 account. Even John McCain used his account fund electoral campaign back in 08.

But it’s not just the politicians and the world have been privy to this account.  Top bankers and fortune 500 executives in the know have also been using 770 account for years now, safely earning generous yields on their money.  About 5.5% on average. While everyone else has been stuck chasing CDs bonds dividends.

In fact, this alternative account has proven so powerful the Wall Street Journal recently declared the 770 has become a tax shelter for the rich.  It gives the affluent tax advantages far beyond those available to middle income people through a 401K or IRA.  But it’s not just rich people who have been taking advantage in this account.  As we’ll now see.

Annuities Could Be What Your Looking For – Annuities The Sc

With a master’s degree in finance,  you’d think Robert Andrews would have a leg up on most investors.  Not so.  In fact, as Robert told me over a round of golf, “it seemed like every time it put in five thousand or 10,000 in his 401 K the market would tank.” He’d be no further then before.

I’ve got to know Robert pretty well over the last few months.  He now makes his living as a financial writer and at one-time was even a financial analyst for Hewlett-Packard. But back in the year 2000, despite Robert’s knowledge in the markets the financial collapse took away a good part of his portfolio.  And that’s when he went looking for a better alternative.  After a strenuous ten-year search he eventually found out about 770 accounts.

“It’s great” Robert told me.  “Not only have I never lost a single dime in my account but in three years its already grown over thirty thousand dollars tax-free.  I’ve even use some of the money to buy gold, and go away on a trip. It’s incredible.”

I know now I have to admit when I first heard about the story I was skeptical.  It definitely sounded too good to be true. I mean in all my life as a certified accountant and financial analyst studying just about every investment out there, not once have I ever come across this unique account.  And it wasn’t related to stocks, bonds, CDs, precious metals or real estate.

And although these returns are all but guaranteed over the long term and one company we found even guaranteed 4%  returns, it wasn’t an annuity either. That’s great. Because, although, these have become quite popular, they are not the bastions and security they are made out to be.

So I dug head first into research.  I read everything I could get my hands on, books, old newspaper articles, government records, you name it,  I talked to the wealthiest people I knew.  I talked to experts.  I even flew down to see the man widely considered to be the top expert on the 770 account, here to Palm Beach.  So I could interview in person.

What I eventually discovered was that yes this account was in fact, a legitimate investment account that has been used in America over 150 years.  What’s more, it ran totally outside the controls the US government.

You see, even though this account is 100% legal, you don’t have to report it to the IRS. That’s why you can withdraw or your money completely tax-free anytime you like. I believe that’s one of the reasons the government restricts advertising these secret accounts. That hasn’t stopped politicians, presidents from profiting from these accounts as we saw earlier.

As you can imagine, I was getting excited.  It was a way to grow money that was better than Wall Street, tax-free, out at the issue of the IRS, and i couldn’t loses sent. But that was just the beginning.  What I discovered next was even more intriguing.

Disney, JC Penney, Ray Kroc, even the mighty Rothschild family.  What do these great names have in common?

They all started all grew their massive fortunes through the 770 account. Let’s take a short trip back to 1929, smack dab in the middle of the Great Depression.

9000 banks are about to go bankrupt and JC Penney’s fledgling chain of clothing stores is about to experience the same fate. Luckily, JC doesn’t keep his money in the bank. he’s got the bulk of his wealth stored in 770 account, which by 1929 has grown to over $3 Million in value.

But the key question is, is it still safe?

Yes.  Not a single dime James Cash Penney’s account would be effected during the depression.  Thanks to his 770 account he’s able to save his business and today JC Penney chain has grown to over 1000 stores is worth $3.4 Billion.

But he’s not the only one to rely on this little account. Ray Kroc used his 770 to start McDonald’s. Doris Christopher of Pampered Chef fame  used it to launch a 1.5 billion dollar fortune, and Walt Disney was also a big proponent of the “770”, using one hundred thousand dollars from his account to fund Disneyland after all the financiers he’d approach with the idea refused him. In fact its even rumored the Rockefellers and Rothschilds, two of  the richest families in history, also relied heavily on the secret 770 account to grow their family’s fortunes.

Why only rumors?

You see, because these accounts are private agreements between individuals and the 770 providers, it’s very difficult to determine who does  and who doesn’t have a 770 account. That’s another reason rich love it.  But still, I found compelling evidence old US congressional records that strongly suggest the Rockefellers used this account.

We found the document here http://socrates.berkeley.edu/~schwrtz/Rockefeller.html.

Take a look is the cover page this US Congress document.  While I can’t show the 38 page report here in its entirety, it does go on to describe how the family has links into at least six separate 770 provider companiess.  And what about the Rothchilds?  Well, the fact that one other family members, Nathan, actually opened up a company providing 770’s in 1824 should tell you enough.

As you can see, 770 is a powerful account that’s been used by some of the world’s richest to amass some of the greatest fortunes ever seen.  But still, you may be wondering, if this account is so great why haven’t I heard about it before?  Very good question.  You see, even the government restrict advertising on these accounts.  Companies who provide his account can’t use words like “investments”, “savings” or “retirement plan” to describe them, even though that’s what they really are,  that’s only part of the reason.

In fact, the real reason may leave you a little mad even ticked off.  There’s a very good reason you’ve never heard about the 770 account before: that’s because Wall Street doesn’t want you to know about it either.

And neither do the big banks too, for that matter.

Now even though this is an investment account the Wall Street Journal is on record saying its better than 401k  and IRA’s….the majority of Americans don’t know it exists.

Why?  Here’s a clue. I just got off the phone with an insider works in the 770 industry.

This person has worked first-hand with one of America’s biggest financial gurus (a name you’d instantly recognize) as well as several employees from Goldman Sachs and other big investment banks. And this is what she told me no one in Wall Street has their money in stocks – many of them are invested instead 770 accounts.  Now consider what this means.

Here are the same investment professionals who’ve been telling us for years to buy stocks and meanwhile they’re all putting their money somewhere else

It’s ridiculous!  Can you imagine the outrage this would create if most people found out about this?

That’s why you’ll never hear your broker mention this investment to you, no matter how much money he or she has parked into it. Fact is, here’s what Jason Rink, an EX VP at Chase Bank told us when we recently interviewed him: It’s a miracle anyone knows about these accounts at all.

You have  to realize there’s a lot of money at stake here.  It’s not a mistake talking heads on TV aren’t talking about the account the real strategy’s of wealth. And while the mainstream media haven’t picked up on these accounts,  they have started to realize something “doesn’t smell right” on wall street.

Consider: According to a recent morning star study out of 2057 equity managers investigated 51% owned 0 stake in the funds they manage.

Here’s another story off the wire.

One employee from Merrill lynch (whom I won’t name here) just got caught,  in a series of private email exchanges calling the stocks they recommend “peace junk” and “crap”.

It’s enough to make your stomach turn.

These are the investment professionals most people depend on for their retirements.  For their future well-being. Is this type of person you want to put in charge of growing your family’s fortune? Certainly not me!  But if you can believe it actually gets worse…your banker is in on it too!

Here’s the thing.  While many people, more or less, suspect brokers engage in unscrupulous activities like Bernie Madoff and MF Global… I’d wager the majority of Americans don’t think their local banker as someone who is “corrupt”.

But the truth may startle you.

Consider: While you’re getting paid an average 0.12% your savings account right now (the national average across America) bankers quietly taking the same money, putting it away in their own secret 770 accounts and earning as much as 37 times more on your money… And they get to keep it!

I don’t know about you but the last time I went to my bank, no one told me about this special account, a way I could just as easily earn up to 30 to 40 times more interest on my money.

People need to know right now...especially those nearing retirement who’ve seen their investment income stripped away to nothing, thanks to the Fed’s crippling zero interest rate policy. In fact, because of lackluster yield, many people are now taking dangerous risks with their capital and the results will prove to be even more disastrous in the months and years ahead.

Now I understand if you’re thinking “yeah but I’m getting more than 0.12%, I have money locked away in a one-year CD that pays 1%.” That’s great! But, three things about this…. one you’re still getting screwed for 100% to 500%. I’m currently 5.5% yield on my 770 account,  and remember this is SAFE money, which if history is any indication, is all guaranteed to go up.

Two, don’t forget taxes and fees. For example 5.5% 770 account, which already includes fees, can be equivalent to a mutual fund that averages and 9.2% return. That’s considering a 30% tax bracket, 2% fees which is half t of the four percent fee Bloomberg reports as being the average for mutual funds.  And lastly, unlike CDs, Treasuries and the like, the money store in a 770 account not locked up for months and years.

This is important.  It means that if an emergency or new opportunity comes up, you can access the money in your account fast. Plus, you don’t have to pay any penalties to withdraw your money.  Compared to a 401(k)s for example, where you can only withdraw a maximum $50,000 and you can also get slapped 10% early withdrawal penalties.

That’s why it’s so important you get this information today.  This account could literally, save the retirement of thousands and even millions of Americans today. I’ll show you how to open an account soon, but first, there’s just one last thing about bankers have to share with you before we move on.

Take a look at the following chart. What you’re looking at in green is the amount of money Bank of America has stored in its own 770 account. $18.5 Billion.  To put that in perspective that’s almost 20 times more than the money they spent on their 2.1 million-square-foot headquarters in Manhattan.  The second highest building in New York City, located just a couple blocks south of Times Square.

770 accounts Chart

In fact, when you cross the numbers you’ll find Bank Of America has got more socked

away in its 770 accounts the total amount it cost to build their entire 5,600 broad buildings across America! Incredible. But, they’re not the only ones putting way monster sums of money in secret “770 Accounts”.  Chances are, your bank is doing it too.

Consider this.  Citibank has $4.5 billion dollars hidden away in their own 770 account. JP Morgan Chase has $9.8 billion.  Get this, Wells Fargo has$19 Billion dollars invested in 770 accounts.  Twice as much then invested in all their bank premises.

All told over 4,000 banks have 140 billion dollars invested in “770” accounts. And again you’re not seeing a single red cent at these high returns credited to your account.  All you get is the pesky 0 – 1% returns they throw our way.

Now, let me ask you a question.

Am I the only one who finds it crazy these bankers prefer stuffing money away in 770 accounts rather than in their own banks??  I hope not.  And while it may seem absurd, I actually can’t say that I blame them.

You see, according to FDIC records they had been 499 bank failures in America since the year 2000.  No wonder these bankers a trust themselves.

That’s why one CEO from a midwestern bank told his advisor “770” accounts were banks “best performing” investments and that he’d ordered his executives put into this account “the maximum amount that the laws regulators would allow”.

While our source didn’t reveal the specific CEO’s identity, we did try contacting one Midwestern bank CEO.  However, since he heard we wanted to discuss with him he refused to talk. Go figure.

Big bankers and the crooks on wall street. aren’t the only ones who’ve discovered this account.  Corporate America has gotten in on the action too. Walmart for example takes advantage if the 770.  So does GE. Comcast, Disney, Johnson & Johnson, Harley-Davidson, Gannett, Verizon and nearly 700 other fortune 1000 companies… in fact, Walmart believes so much in this idea that one time they had over 300,000 separate corporate versions of these accounts.


Now, you might be wondering why these big companies love this account… These companies have some of the largest executive pay rolls around.  They have absolutely gigantic retirement packages to fund.

Comcast CEO Brian Roberts, for example, is owe $223 million dollar pension over the course of his retirement. But to meet these obligations, these companies haven’t found a better way to grow their money and make sure it’s there when they need it, than by investing in 770 account.

You don’t have to be a fortune 500 executive, banker or a Rockefeller to take advantage of this plan. In fact, it doesn’t matter if you’re rich, poor, old, married or single.  Practically every person in America can take advantage of a “770” account.

Here are some popular answers from answers.com on the topic:

Information about the 770 account is not entirely clear, but it has to do with insurance called whole life. The idea of the 770 account (also known as the President’s account) was introduced by Tom Dyson, a publisher at Common Sense Publishing, in the Palm Beach Letter. According to Dyson, there is a secret type of bank account that has been used by very wealthy people over several generations, including several US Presidents. Apparently, it is a secret alternative to the known stock market, which functions similarly to life insurance. This 770 Account is code-speak for a specially designed ·  does turn you into your own bank where you can finance all of your own purchases and pay the interest back to yourself through these specially designed policies. Some kind of insurance vehicle as far as I can tell. The “770 Account” is a bit mysterious. It appears to be a type of life insurance, but some advice is to ask about them at your bank. You can start there and if you get no response, try an insurance agent. Before you open a 770 account, learn all you can about them. Some sites are not saying favorable things about them, and the information in general concerning them is at best sketchy. Are 770 accounts for real? How to set up a 770 account is not totally clear. Some sites say you should talk to your banker, but 770 accounts appear to be a type of life insurance, so it appears that you would need to speak a life insurance agent. Some sites even claim that 770 accounts are scams, and from what can (and can’t) be found about the accounts online, it does have some indicators that it could be a scam. A reputable life insurance agent might be able to tell you more about 700 accounts and help you set one up if you decide to invest in one.

More on Whole Life Insurance:


Video webinar describing these vehicles:

Please keep in mind, we are not attempting to give investment advice of any kind.  We are trying to shed some light on a popular topic.  If you are interested in these investment vehicles, it is best to contact a licensed professional and your investment adviser before making any type of investment.  Remember it is your money, and as soon as you give it to someone you are no longer in control of it.  You are responsible for your own financial outcome, so invest wisely and never out of greed or fear.