Managing Money for God's Good, our Own Good, and the Good of Others: Sermon number 2 of 5
"The Blessings at the Top of the Cliff."
(Children's Sheet for Sermon Interaction is at bottom. Notes are throughout sermon)Pastor Kerry Kinchen, Bridgeway Bible Church
Please turn to Proverbs 22:7. Proverbs 22:7 is our main text this morning. I have taken an important side step away from our typical verse-to-verse sermon series to address a subject that I believe God wants me to focus upon at this time. It is the subject of money--particularly stewardship over the money God has entrusted to us. I am not preaching on how, and where, to invest money. I am not covering what career people need to pursue, or any of those kinds of things. There are all kinds of sermons I could preach that have to do with stewardship over the money God entrusts us with; but I am keeping this series simple by focusing upon a few main areas. Wise stewardship of the resources that God gives us, is our goal. We want to have wise control, to some degree, of what happens with our resources. We don't want to always be victims of circumstance, especially if we can make wise decisions toward being victors over circumstance. I say all of this knowing that, of course, we can not control everything. Surprises and emergencies come along and hit us hard and take a toll on our resources. I will give an example of the kind of hard hit I am talking about from something that happened a couple of years ago. It was a rather bizarre incident that illustrates how unexpected emergencies can take a toll on resources. The captivating title of the news report starts out,
"450 Turkish Sheep Leap to Their Deaths" (1)
If you think the title is bizarre, just listen to the rest of the story,
"First one sheep jumped to its death. Then stunned Turkish shepherds, who had left the herd to graze while they had breakfast, watched as nearly 1,500 others followed, each leaping off the same cliff, Turkish media reported. In the end, 450 dead animals lay on top of one another in a billowy white pile, the Aksam newspaper said. Those who jumped later were saved as the pile got higher and the fall more cushioned, Aksam reported. 'There's nothing we can do. They're all wasted,' Nevzat Bayhan, a member of one of 26 families whose sheep were grazing together in the herd, was quoted as saying by Aksam. The estimated loss to families in the town of Gevas, located in Van province in eastern Turkey, tops $100,000, a significant amount of money in a country where average GDP per head is around $2,700.
[meaning The total market value of all the goods and services produced by a person in Turkey averages out to about $7.40 a day. How would you like to be eking out a living at seven and a half dollars a day, and then on top of that, see all your source of income jump off a cliff and down into oblivion? The article goes on,]
'Every family had an average of 20 sheep,' Aksam quoted another villager, Abdullah Hazar as saying. "But now only a few families have sheep left. It's going to be hard for us."
I want us to think about that statement: "It's going to be hard for us." This is an honest and straightforward assessment of the economic facts. Unexpected emergencies come, and when they do we all know the financial implications. We know "it's going to be hard for us." This is true, but this clear fact is not the main reason why I am sharing this sobering event this morning. What I want us to do is consider this story from another perspective. I am not talking about the perspective of the shepherds. Instead, I am talking about the perspective of the sheep. Think of the sheep as representing people. This should not be too difficult. Jesus even referred to people as sheep in his parables. He referred to Himself as the "good shepherd." When we add up those Turkish sheep that died, with the ones that survived, we realize that just prior to the tragedy, there were approximately 2000 free and happy sheep living at the top of the cliff. There they were. They were on flat ground, dealing with what everyone has to go through. Sure, they had obstacles to live with; but they also had the blessings and delights of everyday life. Both go hand in hand. Nevertheless, the main point is that they were experiencing blessings at the top of the cliff. Then all of a sudden, a sheep jumps over the edge. Apparently, that sheep thought that jumping off the cliff was a pretty good idea. Such simple folly is not an uncommon attribute of sheep. So, in lack of wisdom, the first sheep goes over the edge. What happens next is also typical of sheep.
"Others are doing it, so you know what, I'll do it too."
So looking around at their neighbors, these sheep think it must be a fabulous idea to go over the cliff. Eventually, masses of sheep go right on over too. They are all thinking,
"Hey this looks like a great idea, because after all, everyone else is doing it."
All of us realize that this type of thinking can get us in trouble. It can get us hurt. At least we hope that we realize this. But maybe there are some areas in life that reflect this lemming-like mentality that many of God's people embrace. I can think of one area. It is a particularly insidious debt spiral, where the trend of wanton credit card spending, and other forms of unbridled, unnecessary, borrowing seems like a good idea, but, in reality, it is the precarious edge of an ominous cliff. On the other hand, sheep who have the inside information, recognize that the debt spiral that I am talking about is a b-a-a-a-a-a-a-a-d idea. It is with this in mind that I ask you to please prepare your heart to learn, along with me, in this sermon titled,
Managing Money for God's Good, our Own Good, and the Good of Others: Sermon number 2 of 5
"The Blessings at the Top of the Cliff."
[prayer]
Looking at this subject of credit debt, and other traps of unbridled, unnecessary, borrowing, it is way too easy in our culture to simply just follow others as they step right on over and down into it. Knowing that this is a problem, I want to cover some important principles that will help us to avoid it.
/1/
The first principle that I want to explore has to do with recognizing the danger that is actually there. It has to do with being aware of what the cliff looks like, and what the cliff really is. I want to do this by sharing with you a simple and very practical kind of illustration. Starting out, we are all happily grazing at the top of the cliff and far removed from the edge. Then one day, amazingly, a credit card offer comes to our mailboxes. People all over the country received this "offer" in the mail (along with about twenty other offers). If you are one who has a tendency to over-spiritualize everything, then you may have immediately thought that this was a sign from God. I can assure you that the credit card advertisement did not come from heaven. All we would need to do is check the return address and we would find that out. If we opened the envelope, we noticed that the enticing offer, which looks so simple, crisp, business like, and caring, explains that we can borrow up to $2000 and yet we only have to pay it back with the low payments of $40 a month. At that point, some people are just about hooked. Sure, they notice that the interest rate seems a little high at 17.9% which is code language for 18% with a penny shaved off the end. Even in my sermon illustration this morning, you may be thinking that this interest rate is high, but I assure you that this rate has been peddled in our country, in our time, and in our mailboxes. Now, let me tell you what else happens to masses of Christians when they "receive" these kinds of, so called, "deals." Many of them also think that the interest rate seems a bit high; but something inside is overriding their cursory thoughts. Something is eclipsing their suspicions and reservations. At 18%, they start thinking,
"The payments are only $40 a month. I can handle that. If that is all I am required to pay each month, then this will be easy."
What I have just described is as common among the populace in our country as going to the grocery store to buy milk. To add to this, many of these folks have been wanting to get a new giant flat screen TV to cover their wall;
"Why repaint my wall when I can turn it into a TV for only 40 dollars a month, right?"
It can be any kind of electronic gadget, or hobby item, or something along those lines--the point is that justification for borrowing the money begins to set in. Another thought occurs:
"Now I can get what all my happy and content neighbors have."
They begin to think they can finally fulfill one more tiny episode in the materialistic philosophy of our age. For only $40 a month, we can all be happy and content too! Now, I realize that many of us here this morning are thinking,
"Wow, in some odd way, this kinda sounds familiar."
It should, at twenty credit card ads per day (flying at us through our materialistically charged atmosphere) we are all oddly familiar with the way that this sounds. Consequently, we look around and we see multitudes upon multitudes of sheep following each other into embracing this kind of credit card debt scheme, and other debt schemes that are just like it. Before the rest of us follow the masses over the edge of what looks like a leap of faith, but is really a leap of fate, we should take a wise look at this common situation that plays itself out in untold multitudes of homes everyday. We need to examine the not-so-familiar. The first thing we need to look at is the fact that we don't "need" that TV, that latest electronic gadget, or that hobby item. People only "want" those things. Secondly, getting something, like that TV, is not going to make you happy and content. Getting that TV is simply going to fulfill a temporary want that is not a need which is going to hurt you in that subtle way of reinforcing confusion concerning your wants with the importance of needs. The point is that, in running out and getting that TV on credit, many Christians are demonstrating that they somehow think the item is so necessary for their lives that they should not save up the money for it beforehand. They are showing that they believe that getting that TV (and other items like it) is so essential that they must have it now, which is simply not true. This is important because the materialistic world-culture has fed us Christians lies that form the backbone of this thinking. Let's look at the backbone again:
1) is declaring that just because you want something then you must need it,
and
2) is thinking that buying something right now on credit is "going to make me happy."
Because of the pressures of the lost world culture, we can easily get tangled up in these patterns of thinking. We can also get manipulated by pride. Pride will motivate us to go into wanton spending, and credit-debt, simply so that we will appear a certain way to others. Will Rogers hit the bulls eye concerning the problem when he quipped,
"Too many people spend money they haven't earned, to buy things they don't want [need], to impress people they don't like."--Will Rogers
Once this whole arena of thinking infects you, then say "goodbye" to the green pasture on the plateau, and "hello" to the ground at the bottom of the cliff that you end up kissing a little harder than you thought you were going to before you decided to jump. We don't want this to happen, so let's look at another consideration of what actually goes on before we follow all the other victims into their giant leap of fate. We need to consider how long it takes someone to pay that debt off once the money has been borrowed. To get clarity on this, we must understand that the people who went into debt for that TV, for example, are not initially buying it with their own money. They are planning on spending someone else's money (the lender's). So since they are spending the lender's money, the lender, in a sense, owns the TV until it is paid off. Now here is the catch: Since the purchaser will have the TV in their house, and will be the one using it, their new Credit master wants to charge them extra for using his money to purchase a TV that he doesn't get to use. The way the brand-new Credit master does this is by charging something called "interest." Now, the typical sheep who takes the leap, is not as interested in interest as he should be; but his Credit master is very interested in interest. So, here is what usually happens: The minimum monthly payment on most credit cards is typically calculated as a certain percentage of the total balance. This is usually about 2 percent. This payment includes both the interest, as well as payments, toward the principal amount that was borrowed. So, 2 percent of the balance on that big wonderful 2000.00 electronic gadget, that people lust for, is only that lowly and enticing amount of 40.00 a month. Now you know how the companies come up with the numbers like the 40.00 figure. But, as we look at the inner workings of how the whole process functions, we must realize that the sheep need to be a little more interested in the interest too. What we notice is that at 18 percent interest, the sweet looking 40.00 payment includes a whopping 30.00 toward the credit master's interest; but only a measly 10 dollars being paid toward the master's actual money that is borrowed from him! He is not the one telling us this by the way. The lender is hoping that his advertisement to go into debt because of low payments has enamored the populace enough to make us think we have heard from heaven, and so he hopes we won't do the math while down here on earth--on the top of the cliff. Unfortunately, most people don't. Nevertheless the math works like this: 18% interest divided by 360 days = .05% per day times 30 days in a month times $2000 outstanding balance equals that not so sweet looking amount of $30 in interest per month (2). Now, this brings us to the other not-so-sweet reality of what happens. I want us to consider this;
If the borrower pays the minimum balance each month (Remember, it is calculated as 2% of the outstanding balance), how long do you think it will take to pay off the debt?
It will take over 30 years!
Think about that. It will take 30 years to pay off the $2000 TV, gadget, or hobby item. Long before that time, it will be ancient technology, buried and rotting at the bottom of a junk heap. That is not all. Let me give you another broken bone to expect at the bottom of the cliff. Nearly $5,000 in interest will have been paid to the credit master for keeping his TV for him all those 30 years until paying it off. Please notice; the interest alone will equal two and half times more than what that antique TV (or whatever) originally cost. What I am wanting us to realize, is that in this scenario, that 2000.00 item will have cost the purchaser 7000.00 by the time it is finally paid off (2). This curse that occurs because of the seduction of minimum payments painted onto interest to make it look good, is a big problem. I think we all realize why it is in the credit master's best interest for people to make the so called "lowest payments" because those same people think they can afford them. This is the lure that hooks the borrower. This is the real reason why he advertises such a low payment scheme, like 40.00 a month. He wants the whole notion of high interest to become invisible to you. It is a silly notion to believe that he actually cares for you, or that God has spoken. Think about this: We know it is a problem when the shepherd looks at loosing his sheep and says, "It's going to be hard for us." It is a bigger problem when the sheep look at the cliff and they naively say, "This is going to be easy for us;" and they jump. This problem is what I am preaching about this morning. Just as we did in the last sermon, where we gleaned wisdom from God's word for managing our resources with our boss budget of blessing, we are going to glean some more Scriptural wisdom concerning this kind of debt.
/2/
This leads us to the second principle. Please read Proverbs 22:7 with me at this time,
"7 The rich rules over the poor, and the borrower is the slave of the lender." Proverbs 22:7
There are two separate factual statements in this proverb. Neither are called evil. Neither are called sins; but both are important for helping us to understand how the world operates. One is that the rich rule over the poor. This is just the way things are. The other one is that the borrower is the slave of the lender. This is the one we are interested in. It is somewhat like a law. For example, the law of gravity states that within our atmosphere, what goes up must come down. God knows that there is a law that exists that recognizes that the borrower is the slave of the lender; so like a shepherd directing His sheep, God is informing us about it. God does not say to never borrow money in this Proverb, but the principle in the Proverb is why God did not want Old Covenant Israel borrowing money from pagans. God did not want His bloodline Old Covenant people to become slaves to idol worshipping lenders who were out of covenant with God. This is what God commanded Israelites saying,
"6 For Yahweh your God will bless you as He has promised you, and you will lend to many nations, but you will not borrow; and you will rule over many nations, but they will not rule over you" Deuteronomy 15:6
Notice how, in God's revelation to the Old Covenant Israelites, borrowing is directly connected to being ruled over. The Lord promised that the 12 tribes and their covenant descendants would lend to many nations and rule over them, but God did not want His people to be ruled by heathens, so He said, "you will not borrow," and "they will not rule over you." God also commanded Israel not to charge interest on loans to one another,
"19 You shall not charge interest on loans to your brother, interest on money, interest on food, interest on anything that is lent for interest. 20 You may charge a foreigner interest, but you may not charge your brother interest, that Yahweh your God may bless you in all that you undertake in the land that you are entering to take possession of it." Deuteronomy 23:19-20
We notice that God said that the Old Covenant Israelites could lend money to one another. In this case, God does not indicate, in any matter whatsoever, that borrowing is a curse, or that lending is bad. God indicates that an Israelite brother can borrow. The qualification to be blessed by God in this practice, is to not charge interest. But, the wisdom principle still applies here too: Though interest is not charged, and though borrowing and lending were okay to do, the borrowing Israelite brother was still a slave, in the proverbial sense, to the lending Israelite brother. In the passages we looked at so far, God clearly gave guidelines for lending money. Likewise, when Jesus was teaching His students (Matthew 5:1-2, Luke 6:17, 20) he said,
"42 Give to him who asks of you, and do not turn away from him who wants to borrow from you." Matthew 5:42
Clearly the Lord recognized that people would want to borrow. Jesus does not teach that borrowing, or lending, is bad. Instead of telling His students not to lend money to borrowers, and instead of instructing His students to tell people who want to borrow that those people are wanting to do something wrong, Jesus says not to turn away from him who wants to borrow from you. In the same teaching (we read in Luke) Christ directed his students concerning the practice of lending money,
"34 If you lend to those from whom you expect to receive, what credit is that to you? Even sinners lend to sinners in order to receive back the same amount. 35 But love your enemies, and do good, and lend, expecting nothing in return; and your reward will be great, and you will be sons of the Most High; for He Himself is kind to ungrateful and evil men." Luke 6:34-35
Jesus taught his students that they could lend money, which implies that there would be borrowers, but He taught them to lend expecting nothing in return. It was an issue of ministerial conduct among the original Old Covenant students, and the apostles who ministered in the post cross New Covenant outreach of the gospel. On the other hand, there is no teaching in Scripture that suggests that you can borrow expecting not to pay back what you owe, which includes the interest that you agreed to pay when you borrowed the money. God's word is clear on the principle of paying what you owe. In Romans 13 we read the direct command to
"Pay to all what is owed [due] them: ..."
Immediately, we see that this indicates that Christians can owe money that is due, and in so doing, the payment must be paid when due. Paul goes on,
"Pay to all what is owed them:
a) taxes to whom taxes are owed,
b) revenue to whom revenue is owed,
c) respect to whom respect is owed,
d) honor to whom honor is owed.
e) Owe no one anything, except to love each other, ..." Romans 13:7-8
My point is that if anyone plans on borrowing money on credit, then they have vowed to pay back, usually with interest, what they borrowed. They owe money, so it is simple; they must pay it back.
By the way, a lot of people get confused on this Romans 13 passage because of highlighting Paul's punctuating phrase portion of the first 9 words of verse 8,
"8 Owe no one anything, except to love each other,
[This is the highlighted proof text taken out of context. More follows,]
because he who loves his neighbor has fulfilled the law. ... 10 Love does no wrong to a neighbor; therefore love is the fulfillment of the law." Romans 13:8-10
They think that those 9 words in verse 8 (taken out of the contextual flow) must mean that Christians should never ever borrow any money, for any reason, whatsoever. My sermon this morning is on the blessings at the top of the cliff in respect to avoiding the trend of wanton credit card spending, and other forms of unbridled, unnecessary, borrowing. My sermon is not on avoiding borrowing at all times in all situations, which I will get into in more detail in a moment. The reason why I am not preaching against borrowing in general, is because we are not told to avoid borrowing in the Bible as either a prescription or an imperative. But, people think that this is what Paul is saying here. They are wrong. Quickly, we must ask some questions about this passage that will immediately open up some exegetical doors for insights that these people typically overlook:
1.) Paul already indicates that Christians owe, which is the Greek noun opheilas, but they must pay what is due; "Pay to all what is owed them:"
2.) We owe taxes, so we must pay them when due.
3.) We owe revenue, so we must pay it when it is due.
4.) We owe respect to people, so we must pay it when it is due.
5.) We owe honor to whom honor is owed, so we must pay what is due.
6.) If we are not supposed to owe any one any of these things (in the way that the "anti borrow for any reason crowd" says) then Paul's prior statements would make no sense.
7.) In verse 8, Paul uses the verb form of the noun that he used in verse 7 for owe. In 8, it is opheilete, ie. "Owe no man anything ..."
8.) When we analyze the punctuating comment on love, we must ask:
"When Paul says to 'owe [verb] no one anything, except to love each other,' does Paul mean that love is something that we borrowed from people?" No. So, keep this in mind. Also, when Paul says "owe no one anything, except to love each other," does Paul mean to never love each other, but that you should only owe love to them like you are not going to pay, in a sense, love? No. Again, keep this in mind, because both of these considerations help us to see Paul's real statement.
9.) Paul has a comprehensive point that joins the whole statement together to make a coherent teaching that works with the first part of the passage, along with the last, and following.
With these things in mind, we see that Paul is really saying:
You must pay your dues on what you owe people financially, respectfully, and in respect to honor. But, you must continually love people and do not think that you have paid all that can be owed when it comes to loving others.
This is why Paul puts the clarifier of "except to" in respect to love. What we see, then, is that in the context, Paul lists various venues for paying what you owe when it is due. Paul is wanting the Christians to avoid something particular as they seek to continually abide in the royal Law of Christ. If anything, Paul's warning is more closely related to the principle of Psalm 37:21, in respect to taxes, revenue, respect, and honor, in somewhat the same way that Psalms addresses defaulting on loans,
"The wicked borrows and does not pay back." Psalm 37:21
In other words, the wicked borrows and always owes what is due because he does not pay. The Psalm does not state that borrowing is wicked. The man in the Psalm certainly does not love. Paul has in mind something that goes right down to the Holy Spirit permeated heart of Christians when he teaches to pay what is owed, and the following to "owe no man anything except to love." The big point that I am trying to make is that God does not want us to have outstanding, or overdue, obligations, nor does He want us to steal money by ignoring our obligations. At the same time, God does not want us to ever think we have fully paid out the love of Christ to others out of the riches deposited in our hearts by the Spirit. It should be a perpetual owing, where the law of Christ requirement is that it must be as 1 Corinthians 13;
Love "bears all things," and "endures all things." 1 Corinthians 13:7
On the other hand, how many brothers and sisters in Christ buy things on credit, and then later on, they come up with a reason to consider that their vow to pay back in the way that they promised, is something that suddenly does not need to apply to them anymore? They think it is better to do the wrong thing of not paying, and so they think it is okay to owe in the manner that Scripture is indicating should not be done. Christians do not have some special favor with God that allows them to borrow money from people in a credit contract, and then not pay it back. In fact, the opposite is true. If you are a Christian, and you have made a vow to pay, then it is God's expressed will that you keep your word and pay what you vowed to pay when you went into debt. On the other hand, if you are having problems paying back what you owe, and you are able to renegotiate with your lender, then that is fine. The lender is the one you are doing business with, so the lender can do a deal with you anytime they want to. Renegotiating is different from ignoring your vow altogether and then living in a state of perpetually owing the person you have taken money from because you decide that you don't need to pay anymore. To do so is called "stealing," and it is a sin. To not pay what you owe is to continually jump off one cliff after another, where you will reap the consequences for your actions over and over again as a thief. God says such action is wicked in Psalm 37:21. We, as God's children, represent God to this world. We do not want to be known as wicked. God does not want people to know you as wicked. We want to be known as ambassadors for Christ. We want to be known as faithful servants who have been saved to serve our Creator because we really know Who our Creator is. Instead of being thought of as "wicked" because we borrow and don't pay back, we are children of God who desire a good name in Christ.
"1 A good name is to be more desired than great wealth, Favor is better than silver and gold." Proverbs 22:1
This timeless truth from Proverbs is magnified for us who are born again, sealed by the Spirit, children of God, when we consider how different we Christians are meant to be among the wicked lost world culture. God cares about what your witness is to the world. He cares about it in relationship to money. In 1 Thessalonians Paul says,
"aspire to live quietly, and to mind your own affairs, and to work with your hands, as we instructed you, so that you may live properly before outsiders and be dependent on no one." 1 Thessalonians 4:11-12
God cares about how we live in our witness concerning money before outsiders. He doesn't want us to be living improperly.
/3/
This leads to the third principle. It has to do with whether there is ever a wise reason to go into debt that is different from the trend of wanton credit card spending, and other forms of unbridled, unnecessary, borrowing. We already looked at Romans 13:7-8. We saw that Paul means that you should not evacuate your obligation to fulfill your due. The Scriptures do not state, anywhere, that it is wrong to borrow. Keeping all I have covered in mind, the alternative to borrowing money, is to save up all the money first while living according to your boss budget for blessing. This is wise strategy. Nevertheless, there are many Christian financial experts who consider going into debt on certain purchases to be wise strategy too. After much consideration, careful planning, and budgeting for debt payments, going into debt for these items may be a feasible alternative. Two such items are
a) a house,
and
b) a car.
Strategic reasons, given by financial advisors, for financing these is seen through weighing the option over against leasing, and renting, plus the relative necessity of having such items in a cultural circumstance. Here is the way to look at it: Currently, in the culture we are born into, having a car, and living in a dwelling, are beneficial norms for operating efficiently in society--especially if you are located in a rural setting. In other words, it is generally a wise decision to live in a dwelling and be able to utilize the option of travel with the aid of an automobile. With that in mind, in the United States, it costs about the same to rent a dwelling as it does to buy one on mortgage. Since the mortgage allows you to eventually own a real asset, the decision to have a mortgage becomes a calculated business concern. In attempting to save for a house (while paying rent in one at the same time) the time it would take to save for the house could take as long as a lifetime, which would defeat the purpose. In other words, if you are paying rent, and start saving money for a home at the same time, and you begin this when you are in your twenties, then by the time you are 90, if you make it that far, you might have enough to finally buy your home just before you die. This is not typically considered to be an ideal strategy. Similarly, if you do not have another car to drive while saving up money for another one, then rather than spending your money leasing a car, or paying for a taxi service, the strategy of paying off a loan for a car becomes a calculated business decision that results in a real asset. People who live out in the country, or out of the way in a rural setting, see the benefit of getting a car immediately for transportation to work, or anywhere for that matter. Of course, travel alternatives such as buses, transit systems, carpools, walking, and so forth, are all wise options when available, and are practical, but when weighed with each individual's circumstance, having a car may be the wiser option. Borrowing for a business may also be a wise strategy. Nevertheless, when one goes into debt for a dwelling, or for a car, or for some business strategy, then they must do so understanding that the borrower is slave to the lender, which means you are willingly giving up certain freedoms in exchange for the benefits of your financing (Keep in mind that the same relationship applies to a leaser). Additionally, you must also understand that the item you are going to buy may depreciate in value, such as the car. So, the car that you get in the end, will not be worth as much by the time you pay it off. Additionally, we must recognize that interest will be charged, and whatever is borrowed is expected to be paid. Lenders today are not typically living according to Deuteronomy and the teachings to Old Covenant Israelites. Even people who claim to be Jews today, charge other Jews interest. That is just the way it goes. These things need to be calculated into the equation as expected long term losses in light of the predicted long term benefits. The point is that we must practice strategic wisdom at all business points. The biggest wisdom principle of all is to seek to keep from continuously going into debt on things we don't need. With all of that said, if you have jumped over the cliff of wanton credit card spending, and other forms of unbridled, unnecessary, borrowing, I want to suggest some practical steps to take in getting back to the blessing at the top.
/4/
This is the fourth principle: Taking steps to get out of debt.
--a--
As a starting point, those who are already over the edge need to start taking steps to climb back up to the top. The first step is to budget to pay off the debt. This is one area where the last sermon on the blessing of boss budget is important. There are also many debt relief organizations out there that exist to help people who have gone over the cliff to get back on top. Two good ones are the Consumer Credit Counseling Service, and Christian Financial Concepts, which was started by the late Larry Burkett. The one thing you don't want to do is give up. In so doing, you will only hurt yourself more. It is foolish to say,
"Well, I am so far gone in debt, that it just doesn't matter any more."
No. That is not true. You are never too far. It always matters, and it is never too late to start taking wise and controlled steps in changing your path. So the first thing that needs to done is start budgeting to pay off debt.
--b--
Along this line, start trying to pay off the debt faster than before. Increase the amount being paid to reduce the interest, and increase the end goal.
--c--
The next thing that I am suggesting that you do is start doing the King Solomon thing. I am talking about earning money off your own money rather than someone else using you to earn money from you. What I am getting at here is illustrated well in the example I gave earlier. Think about that 2000.00 item that you thought you "just had to have," and the 18 percent credit card cliff. Back when you were in the blessing at the top of the cliff, if you would have invested that sweet sounding amount of 40.00 a month into an investment that earned only 4 percent for you over the same 30 years of payments; How much do you think you will have earned? Your 40.00 spent each month would give you a nice and very sweet sounding gift of 30,000 dollars. You would have earned about 23,000 dollars in interest on your investment. If your investment consistently earned 8 percent, then you would have accumulated 60,000. That is the King Solomon thing. We also find Jesus using a similar principle in a parable in Matthew 25, where the wise man put his money in a lending institution to earn interest. It is the principle of saving your money where you are the one earning the interest on it, rather than someone else earning interest off of you.
--d--
This leads to the next thing that I suggest. Set aside and make every effort to only purchase things when you have the money. I want to ask another question; If you would have put aside 60.00 a month in budgeted savings toward a big screen TV; how long do you think you would have to save to get the money to pay for the TV outright? You would have 2000.00 saved up in about 2 1/2 years. Now, think about this: If you put aside 70.00 a month, you would have the money in 2 years. The point is that since you don't really "need" a big screen TV, because people only "want" these kinds of things, then why not go ahead and save 70.00 a month and then give yourself one in a about two years if you still want it? Or by the time you have the money, you may finally realize that you don't really want the item as much as you thought, and so now you have the money to spend on something else that you "really" need. This is the blessing policy of having the mindset of only buying certain things after you have the money to buy them, which is different than what would be a business strategy, or a house, or transportation. You are fighting the curse of this age, and you are blessing yourself in the long run. So, save your money and collect interest on it in the bank, and then spend it on what you have planned to purchase; or invest your money and collect the blessings from your investment over the long term.
--e--
The next thing that I suggest that you do to get out of the debt spiral, is that you need to scrub up and go to the O.R. and you need to perform some plastic surgery. You know what plastic surgery is don't you? It is the permanent removal of your credit cards. The principle here is very simple. If you don't have a credit card, then you won't use one. The other thing you can do is use a debit card which is a card that draws money that you already have in the bank. To avoid paying a service charge, I have a debit card that is also a credit card. What I do is I charge on the credit status as a way to avoid paying any debit service charges. But I only charge what I have saved for that purpose. In other words, I have the money in the bank. I only use a credit card to withdraw it. Then I immediately pay the credit card company through my account on the charge before any due date so that I don't pay any penalties or interest, and I am still paying with my own money in my account, rather than someone else's. This keeps me from carrying around a wad of cash in my pocket. The reason why I am able to do this is because I submit to boss budget. I make all my purchases according to my godly budget. Remember what happens when we live according to boss budget. We get blessed. We build our "Spending Required for Living Based on What I Make Tower" each month and so we reap the blessing of the budget. When I tell people about this strategy, they usually ask, "Why do you use a bank that charges you to use the debit card?" The reason is because the bank I have chosen for this, pays the highest interest on my saving account of any bank I can find. You see, it is strategy.
--f--
Finally, the last thing that we all need to do when we have needs or wants that we desire to be fulfilled, is really what we need to do first. We need to go to God in prayer, and we need to go to His word as we seek His precepts. Unfortunately, many contemporary Christians go to their credit cards first. They end up spending other people's money with interest, before they go to God first to seek His will and provision in the matter. Paul says,
"6 Be anxious for nothing, but in everything by prayer and supplication with thanksgiving let your requests be made known to God. 7 And the peace of God, which surpasses all comprehension, will guard your hearts and your minds in Christ Jesus." Philippians 4:6-7
Anxiousness is the pulse in impulse buying. It is probably safe to say that most people get into the dark depths of their debt demise because they charged something in anxiousness. God's word is clear--prayer and supplication, with prior thanksgiving to God first, is God's remedy He has given to keep us from running out and signing on the dotted line. Instead of running according to the mind clouding delusion of anxiety, where you believe that the peace that surpasses all comprehension that is going to guard your heart and mind is to slap down a credit card, where you and I and all Christians need to go first, is to God. Laura and I are constantly reminding each other to do this first. We do this with the kids too. The point is that when we do this, and we get the peace of God first, then with guarded hearts, we can proceed knowing that God will supply all our needs according to His riches in glory. So, when we want something, or we think we need something, we should pray first and ask God to provide for it. One of a handful of things will occur whenever any of God's children do this: He will either give you a "no" answer. Or, He will have you wait; Or, He will somehow give the request in an unexpected way. He may provide something else instead. It may be something completely different, but, nevertheless, it is exactly what God thinks we need. Or, God may give us exactly what we want, down to the smallest detail, but He has it provided in a way that is completely different than we thought was going to happen. Laura and I received our house from God like that. We prayed and saved for a low financing situation on a new home. After all the years of waiting, and all the saving, and all the work and figuring and dealing, instead of getting a home based on a budget plan, God decided to go one step further, and have our homebuilder give us our house completely paid for already. The point that I am making here is that you need to pray about it; but you need to pray expecting God to supply the answer of His choosing. Another answer that God may give to your prayer, is that He will enable you to earn, and save enough money, for whatever the expenditure is, and as a result, you will be able to have the request granted through your resources. The big point on this principle to keep from jumping over the debt cliff, is to remember to go to God first.
Remember the principles I have shared this morning. Let's be aware of the dangers that are there. It has to do with the trap of credit card companies. Low payments are not always what they seem to be. When interest is calculated into the equation, this becomes evident. Be remembering the principle that the borrower is the slave to the lender. Lending is actually taught as being okay (in clarification) in the Bible. What is not okay, is to not pay back what you owe. To not be actively paying back what you owe according to the deal, is to be stealing in the manner of abandoning your obligation, and therefor living in a constant state of owing the person what you have stolen. Be considering that there are some instances where it is a wise business decision to borrow. After much consideration, careful planning, and budgeting for debt payments, going into debt for items like a car, or a house, may be a wise decision. Borrowing money for business may also be a wise strategy. Of course the big overarching wisdom principle, is to seek to keep from continuously going into debt on things we don't need. Finally, consider the steps for getting out of debt. Start by budgeting to pay off the debt. Try to pay it off sooner by increasing your payments. Start doing "the King Solomon thing" of earning interest on your money in the bank, or consider wise investments. Set aside and make every effort to only purchase things when you have enough money accumulated in your budget. Consider that it may be time to perform plastic surgery. Cut up your credit cards, and say "adios." Finally, I urge you to do the thing we should all be doing first. Go to God in both prayer, and to His word, as you seek Him concerning any money decision. In this way, we help insure that we experience the blessings at the top of the cliff, rather than the curse that waits at the bottom.
Footnotes:
(1) Friday, July 08, 2005)
(2) Special thanks to money expert, Deborah Fowles, for this insight.
