For 42 years as a financial advisor, I’ve watched people do something that makes perfect sense to them emotionally… but costs them money logically. They’ll say, “Jerry, I don’t want to touch my savings. I’ll just borrow the money.” Or the opposite: “Jerry, I don’t want a loan. I’ll just drain my savings.”

But here’s the funny part: Sometimes the best move is to do both at the same time — borrow the money, and use your savings as collateral. Yes, really. And no, this isn’t one of those “Jerry’s gone crazy” moments. This actually works.

Let’s use a simple example.

You put $10,000 into a 10‑year CD earning the average national rate of 1.72%. Then you borrow $10,000 from the bank, using that CD as collateral, at 3% interest for 10 years.

Most folks hear that and think, “Well that’s dumb. Why borrow money when I already have money?” But hang on — the math tells a different story.

The loan: $10,000 borrowed 10 years 3% interest Monthly payment: $96.57 Total interest paid over 10 years: $1,588.40

The CD: $10,000 deposited 10 years 1.72% APY Total interest earned: $1,855

Now here’s the punchline: You earn $1,855 in CD interest… You pay $1,588.40 in loan interest… And you end up ahead by about $267.

That’s right — you borrowed money and still came out ahead. You didn’t drain your savings. Your CD kept growing. And the bank basically paid you to borrow their money (don’t tell them I said that).

Why does this work? Because the loan rate is low, the CD keeps compounding, and you preserve your savings instead of wiping it out. It’s one of the few times in life where you can say, “I beat the bank,” and actually mean it.

Now, is this strategy for everyone? No. Is it for people who understand discipline, long-term planning, and how interest works? Absolutely. And if you’ve known me for any length of time, you know I’ve preached this for decades — usually with a cup of coffee in one hand and a calculator in the other.

Bottom line: Sometimes the smartest financial move isn’t obvious. Sometimes it’s a little counterintuitive. And sometimes — just sometimes — borrowing money while your savings keeps earning interest is the move that quietly puts you ahead.

If you want me to run the numbers for your situation, just ask. After 42 years in this business, I’ve seen every scenario under the sun… and a few that made me question humanity.  And people wonder how the rich get richer.  They figured this out long ago!