The Worst IUL TikTok Video You've Ever Seen (Financial Malpractice on FULL Display)

David makes a clear preface: "If anyone ever tells you to cash out your 401k and put it all into an IUL, you're to turn around and run the other way!" This episode addresses what David refers to as "the worst IUL TikTok video I've ever seen; a video that's so replete with manipulative sales tactics and lawsuit-worthy financial advice." David points out one of the manipulative sales strategies included in the video: making the prospect feel as if she needs help by making her feel confused and overwhelmed by the number of alternatives. "Cash now vs. an awesome retirement plan later" is another unethical tactic David discusses. Beware: if you don't liquidate your 401k prior to 59 and a half you'll incur a 10% penalty. Need to liquidate your 401k before then? Don't do it all in one year.  Otherwise, all of that money would be realized as income and taxed at your highest marginal tax bracket – all in the same tax year. Remember: closing out your 401k and stopping contributions will lead to you no longer receiving the company match.  Over the course of your retirement, this last point will end up costing you hundreds of thousands of dollars. David stresses the lack of relevant questions being asked by the financial advisor featured in the TikTok video. David deems the video to be one of the worst cases of IUL malfeasance he's ever seen on social media. Moreover, he believes that advisors like the one in the video should be outlawed and fined.     Mentioned in this episode: David's books: Power of Zero, Look Before You LIRP, The Volatility Shield, Tax-Free Income for Life and The Infinity Code DavidMcKnight.com DavidMcKnightBooks.com PowerOfZero.com (free 3-part video series) @mcknightandco on Twitter  @davidcmcknight on Instagram David McKnight on YouTube Get David's Tax-free Tool Kit at taxfreetoolkit.com