Class #4: Debt

Last week's key point: our response to God's ownership of everything is faithfulness as stewards.

Today's key point: Debt is a struggle for many, and is discouraged in Scripture.

Biblical statements about debt:
Deut. 15:(1-3)4-6
Deut: 28:1,2,12
Deut: 28:15, 43-45
Rom. 13:8
Prov. 22:7
1 Cor. 7:23
James 4:13-15

Overall, what views about debt are expressed here? Are there passages with other views?

What is viewed as the cause of debt?

What must be taken into account as we consider application of these statements to our situation today?

Biblical statements about default on obligations:
Ps. 37:21

Pv. 3:27-28

Biblical view of bankruptcy? Is it ever permissible for the Christian?
Two scenarios where it may be:

• When forced by a creditor (for example, bank loan called early)
• The person who is ill-equipped to handle a financial crisis, for instance a stay-at-home mom deserted by her husband.

In very few cases do we not bring at least some of our trouble upon ourselves, however.

Biblical view of delaying repayment of a debt when you have the means to pay it promptly?

• Some Dilbert fun here and here, illustrating a genuine concern: are we quick to pay what is in our power to pay?

Biblical statements about providing surety (i.e., co-signing a loan):
Prov. 22:26-27

Prov. 17:18

Ways to help someone without cosigning? Plenty!

• Gift of an older auto.
• If a loan is a true necessity, consider borrowing the money yourself on behalf of your friend, and keeping the purchased asset in your own name. This would provide some recourse if the friend defaults.

If you have already done so? Prov. 6:1-5

• Humbly and diligently seek release or satisfaction of the debt.

Principles of Debt Reduction
2 Kgs. 4:1-7

Principles revealed here?

• Seek wise and godly counsel.
• Use whatever resources are available, small or large.
• Involve the entire household. (In my work with people in financial distress, I'm amazed by the number of people with able-bodied but layabout adult children in the home.)
• Faithfulness. This woman kept pouring until there no more pots to fill! And God supplied as long as she poured. Consider this refreshing point of view.

Some more principles from Crown Ministries:
1. Pray.
2. Establish a budget. (Few people in debt have one)
3. List everything you own. (Anything there you could sell?)
4. List everything you owe. (Unpleasant things do not go away when we ignore them)
5. Establish a debt repayment schedule for each creditor. (Small debts first; higher interest rates)
6. Consider earning additional income.
7. Accumulate no additional debt.
8. Be content with what you have.
Three realities of our consumer-driven economy:

• The more TV you watch, the more you spend.
• The more catalogs and magazines you read, the more you spend.
• The more you shop, the more you spend.
  

9. Consider a radical change of lifestyle.
10. Do not give up!

Practical Application for this week: Estimated Budget

Blog readers: contact me at the e-mail address at the upper right hand corner, and I can provide you a simple form for getting started.

Doug Wilson writes some good stuff

... on wealth and the Christian from the book of Proverbs. Brief but deep, they're worth printing out and going through with Bible in hand. Here's the whole series. You might want to start with the post at the bottom of the page and work your way up.

Class #2: God's Part - Owner of All

More about last week's subject: Money's god-like power (insights from Mark Vincent of Design for Ministry)

1.Money outlives us.
2.Money's circle of influence is greater than ours.
3.Money is mysterious. Example: former Fed chairman Alan Greenspan's “this could happen ... or that” predictions.
4.Summing up points 1 through 3, money exists in the realm of things we are temped to worship. (Compare to cults have formed around natural forces, fertility, personality, and death)
5.Money mimics everything God promises, especially heaven and the New Jerusalem.
6.Money is something that we wield, like a scalpel or a sword, for healing or for harm.
7.Everything can be monetized (i.e., can have a price placed on it).
8.Money can lead us to think that we are gods. Example: wealth raises the threshold of what we pray for; consider the increasingly affluent person who ceases to ask the church to pray for his head cold, and merely stays home and takes Tylenol.

The best defense, as always, is sound theology.

Today’s key point: God is Owner of all.

1 Chronicles 29:11-12 Yours, O LORD, is the greatness and the power and the glory and the victory and the majesty, for all that is in the heavens and in the earth is yours. Yours is the kingdom, O LORD, and you are exalted as head above all. Both riches and honor come from you, and you rule over all. In your hand are power and might, and in your hand it is to make great and to give strength to all.

God's ownership:Deut. 10:14
Ps. 24:1
1 Cor. 10:26

Specifics of His ownership:Lev. 25:23
Ps. 50:10-12
Hag. 2:8
Heart Check: evaluate your attitudes of ownership toward your possessions. Do you consistently recognize the true Owner? How might you become more consistent in this?

God controls circumstances:1 Chron. 29:11-12
Ps. 135:6

God controls people:
Prov. 21:1
Is. 40:21-24
Acts 17:26
Heart Check: do you normally recognize God's control of all events? IN what ways might you become more consistent here?

God controls and uses difficult circumstances:Gen. 45:4-8
Gen. 50:19-20
Rom. 8:28
Heart Check: why is this important to realize? What impact does it have on you and your financial life? Share an example and how God ultimately used it for good in your life?

God's provision:Ps. 34:8-10
Psl. 37:25
Matt. 6:31-33

God's distribution of material possessionsJob 1:20-22
Jer. 27:5

God's distribution is inequal
Matt. 25:14-15
Heart Check: how should this influence your perspective on those who have more than you? On those who have less?


Getting Practical

Quit Claim Deed [a clever device for giving over specific possessions to God's control, and arranging for friends to keep you accountable. E-mail me and I'll get you a copy.]

Financial Goals: list them! [Again, I can provide a simple and commonsense form for organizing your goals]

Money Autobiography: for those of more of a journaling frame of mind. Write out your answers to these questions:
Who taught you to manage money?
How was/is money discussed in your family?
How was/is money discussed in your church?
What is your current money situation?
What are your financial goals?

Resources

Crown Financial Ministries

Dave Ramsey

By the Way: In the Midst of Life, We Live in Death

Dear friends:

I ran across a blog post the other day that moved me deeply, and I would be remiss not to pass it on as a recommended read.

This link will take you to the Bayly Brothers' blog (both PCA pastors), specifically an entry composed by a lady who recently buried both her parents. With an introduction composed by her pastor (in turn a friend to the bloggers). Confused yet? Don't worry, you'll be fine.

Many worthwhile things here. The one item that switched on my blog-this light is her brief mention of the need for folks facing the final chapters of their lives to make their wishes known to their loved ones regarding their treasured possessions. Under the general heading of putting our affairs in order, you know, which goes far beyond the composition of a will. But this is hardly the substance of the post.

Your observations and reflections, please.

Class #1: Money Indicates and Impacts

The purpose of this class: to think biblically about our use of money, and to act accordingly, that we might more fully glorify God and enjoy Him.

Some of my assumptions as teacher:
Whether financially knowledgeable or not, we all have growing to do as stewards. The class is intended equally for teens, students, young marrieds, old marrieds, everybody.
Practical suggestions are just that: suggestions. I hope it will be clear which of the points made I consider precepts from God’s Word, and which are merely one way of approaching a task, where others would work just as well.

Materials: our class to be based largely on the Crown Financial Course (more information at www.crown.org).

Today’s key point: Our use of money both indicates and impacts our relationship with the Lord and His Kingdom.

Parable of the Talents
Matthew 25:14-30The master rewards his faithful servants (with eternal rewards) and punishes (eternally) the faithless.
Do we think enough about rewards in heaven? Enough to be motivated by them? If not, why not?

Paradox:
1. The parable isn’t about money. (It's really about saving faith, as evidenced in daily life)
2.The parable is about money. (The servants’ hearts are revealed in their use of money)

Parable of the Dishonest Manager
Luke 16:1-13, esp. v. 11Surprised by this statement: That being found unfaithful with unrighteous wealth, we will not be entrusted with true riches? Is the reverse also true?
Our use of money is a proving ground for our growth as disciples. (faithful in a little, given responsibility for more)
V. 14 is not a renunciation of money (context doesn’t portray money itself as evil), but a call to be devoted to the right Master.

Isaiah 55:8-9Opening our financial lives to His direction, correction, and inspection is vital, as our approach to money is no less affected by the Fall than any other aspect of our lives.

(Crown) Two economic systems in conflict:
The system we accept without question: that what is ours is ours, to be utilized as we see fit.
God’s economy: He plays the central role.

The Sermon on the Mount
Matthew 6:19-24, esp. v.21Where your treasure is, there your heart will be also.

The obvious application: our use of money functions as a thermometer. It shows us where our true priorities lie.

(As we observe our use of money) Does it indicate:
More of a short-term or a long-term focus in my overall priorities?
Emphasis on putting out fires, or investing for future rewards?
Am I moving from crisis to crisis, or is there some method to my financial decisions?
(Realizing that not all impulsive buying is sinful) What kinds of needs do I meet impulsively? Am I generous? Quick to do good?
Is a love for God and His Kingdom evident in my financial decisions over the last year?

The not-so-obvious application: our use of money also functions as a thermostat. As we change our use of money (as with our use of any of God’s resources), we begin to recalibrate our hearts.

If your heart is cool toward the things of God, reorient what you are doing with your money.
Know you should care about missions, but you don’t, really?
If you tend to serve your own needs first, try serving other needs with your money. The Lord Jesus knows how our hearts work: they will follow.


Getting PracticalIf you want to know which direction to go, it helps to know where you are now.

Scripture to Commit to MemoryLuke 16: 11 (ESV) If then you have not been faithful in the unrighteous wealth, who will entrust to you the true riches?


Personal Financial Statement
Estimate your assets and debts
Will not be shared in class; this is for you.
Goal: determine your net worth (crucial step toward better stewardship)
To be completed this week.

Monthly Budget WorksheetFor those who aren’t in the habit of tracking income and expenses
For those who have fallen off the wagon
For those who are doing it, but may have lost sight of the purpose.
Simple way to record income and expenses, in helpful categories.
If you’re a cash payer, start asking for receipts or carry a notebook. You want to record everything.
Start now (it’s the first of the month!)