Resources help eliminate debt

by   John Yeats                                                                                                                                        Vol. XIX, No. 2, February 2006

American families are in financial trouble, and debt is the most obvious symptom of our problem. The Bible has powerful teachings about debt and finances. For example, Romans 13:8 says, "Owe nothing to anyone except to love one another." The primary teaching of this text explains one of the great opportunities we have as Christians.

The contextual focus is about loving God and loving one another. If we love as the Master has commanded us to love, we will always be creating a debt of love and always be deeper in a debt of love. That’s because Jesus’ transformational work on the cross changes people from selfish, indulgent creatures into people with a passion to love God and love what and who God loves.

While interpersonal relationships are the primary teaching of this passage, there are some powerful applications relating to personal finances that cannot be ignored. Ignoring the principles of biblical money management is what creates such devastation in the lives of thousands of families in the church and in the culture.

For example, in 2003, household debt levels rose 11%. One report from Standard and Poor’s states that credit card purchases were up 185% over 1999 levels. At the close of 2003, household credit card debt exceeded $412 billion. According to the Experian Credit Bureau, the average balance on an open credit card in December 2004 was $4,616.90.

Auto dealers have dangled the carrot in front of American auto buyers. They have offered no money down and 0 percent interest rates. As of February 2004, the average amount financed for a car was $24,157, and more than 40% of consumers trading in their cars currently owe more than the car is worth.

The average household has 10 credit cards. The average interest rate on a credit card is 18.9%, and the average late fee is $29. Many people only pay the minimum monthly payment (90% interest and 10% principle) on the credit card. At this rate, it will take a person a lifetime to dissolve an $8,000 debt, provided he doesn’t charge anything more on the card.

Delinquency rates for mortgages, car loans and credit cards have remained rather stable because of low interest rates, but the Federal Reserve is raising the rates. When you consider the fact that more than 50% of American households live from paycheck to paycheck, it only takes a small bump to wreck one’s personal finances. In 2004, more than 1.7 million people filed for personal bankruptcy. Furthermore, it doesn’t take rocket science to figure out that bankruptcies per capita are higher in those states that allow for the proliferation of gambling outlets.

These examples point to a genuine crisis, and the challenges people experience with their money is heart wrenching. The house of cards that some people live in is destined for collapse.

There are new resources being developed in Southern Baptist life to help people with financial problems or to equip those who were never taught how to manage money. There are some great resources available for Christians and churches to use to help people get a handle on doing their finances using biblical principles.

Dave Ramsey, Financial Peace University — Every week, the Baptist Messenger publishes a Dave Ramsey column. There are many Oklahoma Baptist churches that hold Financial Peace University sessions. Hundreds, if not thousands, of families have benefited from Dave’s clear, simple presentation of sound financial principles based on the Word of God. For more information phone 877/378-2667 or email church@daveramsey.com.

Prime Source Providers — This organization offers a church-wide method called Take God at His Word. This four-week event provides a positive approach to helping Christians of every age put God first in all their financial decisions and in their giving. They believe so strongly in the power of God’s principles of finance, they offer a money back guarantee. They also have a similar congregational method for helping people practice debt management principles that are based on the Word of God. For information on these resources call Prime Source at 800/364-5664.

Crown Financial Ministries — This ministry is perhaps one of the most comprehensive programs available. Crown uses seminars, small group studies, video series and one-to-one budget counseling to equip people of all ages to handle money God’s way. They can be contacted via their website — www.Crown.org.

The best hope for getting a person’s finances back on track begins by returning to God’s ways, back to God’s principles. The church must become a lighthouse of learning and help people return to God’s ways of handling finances. The ways of God we must teach include storehouse tithing, freedom from creditors, the blessing of open hearts and open hands, the satisfaction of successfully resisting the temptation to spend, the delight of being people of fiscal integrity and the joy of hearing God say, “Well done thou good and faithful servant.”

[John Yeats is editor of the Baptist Messenger. Above reprinted from the 7 April 2005 Baptist Messenger, p.3. You can visit the Baptist Messenger online at www.baptistmessenger.com.]