The Bible has a lot to say about money and debt. Many people don't realize there is some very practical teaching in the Bible that is relevant today. This is the first in a series of articles I am writing about what the Bible says about getting out of debt. There is a lot of Biblical material on this subject, though I will only be making some key points in this series.
First, the Bible tells us how to recognize when we have a problem. The first sign to make note of is if you depend on credit to maintain your lifestyle. If you are, you're spending too much. If you have to use credit cards to maintain your lifestyle, you're spending too much. Proverbs 3:27-28 in the Living Bible seems to say it best, " Don't withhold repayment of your debts. Don't say "some other time," if you can pay now." In other words, if you have cash to pay it now, pay it now. Don't put it off until the future; don't put it on some credit account. If you don't pay cash, you are using credit. It shows a lack of contentment in your life. You can't wait. You can't be patient. You can't save. You have to have it now. It shows a lack of contentment. Here is what the bible says in 1 Tim 6:8 " If we have food and covering, with these we shall be content"(NASU). It also says in Heb 13:5 " Make sure that your character is free from the love of money, being content with what you have"(NASU).
When you use credit cards, even if you pay them off at the end of each month, you are making a presumption that you will be able to pay it off at the end of the month. You don't know what will happen tomorrow. You could have a serious car accident sometime in the next month and not be able to pay it. Proverbs 27:1 says, " Boast not of tomorrow, for you don't know what tomorrow will bring." In James 4:13-14 it says, " Come now, you who say, Today or tomorrow we will go to such and such a city, and spend a year there and engage in business and make a profit.' 14 Yet you do not know what your life will be like tomorrow. You are just a vapor that appears for a little while and then vanishes away." ( NASU). Using credit always presumes what the future will bring.
There have been studies that show you spend at least 12% to 18% more when you use a credit card instead of cash. Some studies have even shown as much as 23% more. There is no pain registering in the spending when you do it with a card instead of cash. So your mind is making a presumption that as long as the card works there is enough money. It makes it too easy to spend money you don't really have to spend. It doesn't seem like real money.
Sure, it is fun to buy things. Some people are even addicted to spending because it is exciting to get new stuff, and they get addicted to that feeling. But spending money on credit is a trap. It breeds discontentment. Luke 3:14 says, " be content with your pay" (NIV). If you can't be content with your pay, it leads to dishonesty with others and with yourself.
Next in the series is " More About What The Bible Says About Debt" or you can learn more about getting out of debt at my website, www.howtolivedebtfreebook.com.
Jim is a personal financial leading authority and author, an ordained minister, and an independent music artist. He has a Bachelor of Business in Finance, and a Masters of Religious Studies, graduating with honors. Jim has built multiple businesses since 1990, one of which was a computer training staffing company that grew to $6 million in annual sales with 21 employees and a nationwide customer base and competed as one of the top two firms in its market niche. He now owns his own independent record label and publishing company, which he operates completely debt free and owns the website www.howtolivedebtfreebook.com
HI Jim, thank you so much for sharing this information. The scriptures flowed well and were in context. This is not only instructions for the follower of Christ, but it is down right practical for anyone! But then again, isn't that our God? :-) Blessings! Keep these coming! T
Good piece,Jim, the Bible has practical info for all aspects of life I have found. Thanks for putting this one together! My paraphrase "owe no man /woman anything except love..." Marijo
Jim, you have submitted a great read, and one to grow on. Thanks for sharing this with us, and I just had to add this as a Favorite. Thanks (smile), and continue the good work.
» left by kenny from Fall River, Mass (36 days 10 hours ago.)
Hi Jim, I added you to my favorites list. Although I am NOT a believer or disbeliever, and claim "there isn't a God" really doesn't matter much when reading and responding to such intelligent people as yourself.
Articles such as these are a help to all whether a person uses quotes from the Bible or a financial adviser. However, I often will add my perspective if it differs from another. So here goes:
"Don't withhold repayment of your debts. Don't say "some other time," if you can pay now."
In other words, if you have cash to pay it now, pay it now. Don't put it off until the future; don't put it on some credit account. If you don't pay cash, you are using credit. It shows a lack of contentment in your life. You can't wait. You can't be patient. You can't save. You have to have it now. It shows a lack of contentment.
*** I tend to see it differently. To me it means: If I don't pay now when I have the money and no reason NOT to pay now, then I am asking for trouble later.
*** Example: I recently went to a Cafe that I frequent to pay a food/liquor tab that I had from previous stops there. It's my usual practice to pay at the end of the month, so when the end of the month came I appeared at the Cafe to pay my tab.
Well, my tab was for $93; and so I pulled out a $100 bill from which I intended to pay, but because the woman that usually serves me was not present, I refrained and told the woman on duty I would come back on Thursday to pay when the other woman was working. This was on a Tuesday.
When I went there that Thursday I was with the mindset I had payed my bill, and was starting a new bill; ordering food and drink in the normal fashion.
A whole month went by, and when I went to pay the most recent bill, I was given a tab much higher than I expected. The previous month that I thought I had paid was carried over to the new month, and I made an ass of myself by insisting that I had paid the initial balance.
It wasn't until the first woman helped me recollect word for word what I said to her that I realized she was right, and how I had forgotten. Thus: "Don't withhold repayment of your debts. Don't say "some other time," if you can pay now," has been my mantra lately.
I learned how it's so easy to think I went through with my intentions of paying when I didn't. It makes for a very uncomfortable situation later.
_______________________________________________
"Luke 3:14 says, " be content with your pay" (NIV). "If you can't be content with your pay, it leads to dishonesty with others and with yourself.
*** Yes, I'm sure it can lead to dishonesty for some, but I have always been of the mindset: If I can't afford it cash. Then I can't afford it - period! I have never owned a credit card, nor will I. I've heard enough horror stories from family, friends, and others for them to be my deterrent.
I'll be reading more of your articles in the future Jim. Keep up the good work....Kenny
Its no coincidence that that Book has inherent money wisdom.Interestingly enough,usury was prohibited by the Church and Jews,by default, have always been traditional money-lenders;sadly,because of innate religious hatred of jews taught from the pulpit,during Easter,in passion plays,and on Christmas,it was always easier for kingdoms and Christians to murder them rather than to repay them,historically.
Okay. Lets expore you comment a bit more. It is true that charging interest (usury) was forbidden by teaching in the Old Testament because of the circumstances of the time and the way in which it was done. Lending wasn't forbidden.
Deut 23:19-20
19 Do not charge your brother interest, whether on money or food or anything else that may earn interest. 20 You may charge a foreigner interest, but not a brother Israelite, so that the Lord your God may bless you in everything you put your hand to in the land you are entering to possess.
NIV
Parallel passages are Exodus 22:25 and Levitcus 25:35-37
These passages make it clear that the one borrowing the money was an Israelite who had become poor or was in severe need. He was not borrowing money to engage in a capitalistic endeavor. To charge a poor brother interest would only worsen his condition and would also feed the greed of the one wealthy enough to lend.
An Israelite was permitted to charge a foreigner interest since he was not a member of the covenant community or an alien within the Promised Land. Probably the "foreigner" was a merchant and the loan sought by him would have been for business purposes.
Another place that talks about this is:
Neh 5:7-10
7 I pondered them in my mind and then accused the nobles and officials. I told them, "You are exacting usury from your own countrymen!" So I called together a large meeting to deal with them 8 and said: "As far as possible, we have bought back our Jewish brothers who were sold to the Gentiles. Now you are selling your brothers, only for them to be sold back to us!" They kept quiet, because they could find nothing to say.
9 So I continued, "What you are doing is not right. Shouldn't you walk in the fear of our God to avoid the reproach of our Gentile enemies? 10 I and my brothers and my men are also lending the people money and grain. But let the exacting of usury stop!
NIV
After the Babylonian Captivity, the Jewish people had to rebuild Jerusalem, and Nehemiah led them in the effort. There were a number of problems to deal with and they still had to pay property taxes to King Artaxerxes and many had to borrow money from their brothers (countrymen) to pay them. Those who lent the money took advantage of the situation and charged high interest rates. They would eventually foreclose on the land and force the families into slavery to repay the debt. (this was the customary way to repay debts in those days) The law is that the money could be loaned, but interest was not to be charged. Nehemiah had to remind them that this was immoral behavior. So he made these lenders give back the property to the borrowers that they had taken advantage of and set them free. The people agreed and followed suit. They would follow the "year of jubilee" for some time. Though the practice fell by the wayside.
So yes, the church taught this because it is taught in the Bible. Jesus framed this as giving to those who ask to borrow instead of lending. Don't lend and expect repayment (Matthew 5:42) This is also mentioned in Luke 6:34-35. Lending was clearly not intended to be a for-profit business. However, our culture today has made it just that. It is everyone who subscribes to this, not just Jews and Christians. That doesn't mean that the Jews and Christians that do are hypocrites, it simply means they have let themselves be influenced by the culture and have accepted the practice. This is because it isn't a sin to lend money at an interest rate, just that it is unwise. The Bible also teaches that borrowing is unwise, but it is not a sin. The sin is what is done in that lender/borrower relationship.
You also mentioned antiSemitism. Historically, it has existed in the Church and still does to some extent. However, that doesn't mean the Bible teaches it. So it is not "innate" in Christianity. Jesus was a Jewish rabbi! So that would not make sense.
Everyone has fallen short because we are all sinners, the Bible also tells us that. So it isn't the Bible that is what falls short, it is the people.
» left by paul schroeder from nyc (35 days 7 hours ago.)
I never said that antisemitism was taught in the Bible;I said ;quote"because of innate religious hatred of jews taught from the pulpit,during Easter,in passion plays and(from the pulpit,regarding Jews) on Christmas,it was always easier for kingdoms and Christians to murder them rather than to repay them,historically."unquote.You somehow managed to misunderstand my statement ,so I quoted myself, to re-clarify precisely what I had said:paul
Hi Jim, thought you might be interested in a great article that supports what you say. and also provides some good food for thought, ie., people have had to resort to credit to keep their standard of living up in light of decreasing wages and increasing costs since 1970 caused by our changing from a producing country to a service country (insurance, health care, banking, financial dealings,etc.
Key into your browser: "How the middle class got squeezed."
Appreciate the article reference. If you are referring to the article titled "Middle class squeeze: The deep roots of an economic and social transformation" by Charles Hugh Smith on Daily Finance, I've read it. Interesting to read because I have corresponded with Elizabeth Warren periodically until she was put in charge of the TARP, and though our political views are very different we both see the debt problem.
I don't necessarily agree with the generalization about capitalism though, as this article concludes. It is the out of control relationship between the Federal Government and the largest 100 corporations wielding political influence. That isn't capitalism, it is unchecked power. At least 80% of the jobs in this country are created by small business, yet it is a few corporations that influence policy.
The resulting inflation, as the article makes the case for, is the problem, not the stagnant wages. The money supply is growing far too fast, outpacing the growth of wealth, thus the buying power of wages is decreasing. If you think it is bad now, wait until we hit hyperinflation. It has happened before in smaller countries when government spending went out of control with a fiat currency. Just like we are doing now, and started soon after the Great Depression.
This is one big reason why I am so passionate about getting people out of debt. If you are out of debt when hyperinflation hits, you will be much better off because you won't have to worry about losing your home, car, or other belongings to creditors and you will be able to find a way to pay for unbelievably expensive food to eat until the crisis is over.
» left by Jim Anderson(1,239) Jim Anderson (33 days 10 hours ago.)
Thanks David. You are right on the money. The relevance couldn't be more obvious these days.
Interesting topic--never had any idea the Bible talked about debt. And it sure is much easier buying "stuff" with a credit card!--nice article, thanks.
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