Debt has become such a normal part of our American existence that most people think it is necessary and beneficial. We take out loans for homes, school, cars, clothing, engagement rings, vacations, businesses, investing in the stock market…pretty much everything. Our culture says the American dream doesn’t have to wait until later. You can have it all NOW! In fact we’ll let you keep it for “free” for two whole years without making any payments (after which we will slam you with cut throat interest rates which from which you will never recover). Debt is literally a trap. You lose not only your financial freedom when you take on debt, but you also lose the ability to use the money God has entrusted to you for HIS purposes. Society says debt is normal and beneficial. The wisdom written in the book of Proverbs has much to say to the contrary.
In 6:1-5 the writer of Proverbs warns us against taking on debt or co-signing for someone else. The wording of the passage suggests it is entirely about co-signing, but the reality of co-signing is that you are willing to take care of the debt if your friend is not able to pay the debt. Essentially you are agreeing to take on the debt yourself. In the event that the one who owes the debt cannot or does not pay, you are as responsible for the debt as the one who owes the money. Here in 6:1-5 agreeing to a debt in this way is considered foolish. The author asserts that one should humbly beg and plead to be released from this obligation or do whatever it takes to be released from the debt. The reason being that you are now at the mercy of your neighbor. He or she (along with the creditor) can easily dictate your financial future! Do not sleep until you are freed from this obligation! See also 11:15 & 17:18 for a similar line of thought.
Proverbs 22:7 makes a wise point that buying on credit is a dangerous trap. Quite simply the “borrower is servant to the lender.” This does not mesh well with a life that is to be 100% committed to following Christ and keeping our resources at his disposal to advance his kingdom. Borrowing money means that less of the money the Lord has given you will be yours to give back to him for a long time to come. Personally, I think it also shows a lack of faith that the Lord will provide and do so in his own time. Taking out a loan says, “I want it all and I want it now” (to quote the Dr. Pepper commercial). That’s a huge risk, especially in light of the fact that Jesus said, “Do not worry about tomorrow, what you will eat, drink or wear…but seek first His kingdom and his righteousness and all these things will be added to you as well (see Mt. 6:25-34).”
Taking out loans is gambling with your future…a future in which the Lord promises to provide for his followers. Proverbs 22:26-27 indicates as much in saying not to strike hands in pledge (take on debt) or put up security for debts (co-sign). The reason given is if you are not able to pay it back in its entirety, then everything you have will be taken from you.
I actually started writing this article in the beginning of May. It is interesting how much the financial landscape has changed even since then. Consumer confidence is near all-time lows, gas prices are soaring with no end in sight, financial institutions are struggling to make ends meet (ironically because they struck hands in pledge with far too many people who could not pay them back!), and all the while people still think that the only way out is to take out more lines of credit just to get them by. Certainly, debt is a downward spiral and difficult to get out of. The operative word is “difficult” not “impossible.”
So, you are probably thinking, “Are you saying we should never take on debt?” That appears to be the best case scenario and most wise decision based upon Scripture. I can make a case for taking on debt for the purchase of a home or to finance an education. Both of those are fairly safe investments, but the older I get, the more I realize just how dangerous even “investment” debt can be. The simple reason is that we just don’t know or control the future. If you ask me what is the most wise course of action, I’d say, “Don’t feel like you have to finish school in 4 years or whatever the length of your fulltime program is. Go at a pace you can also work and pay for your education as you go. It wouldn’t hurt to save up for the majority of your expenses before you start school. The same goes for purchasing a house. Wisdom says that saving up for the house and buying it outright is a much better decision than buying on credit. You don’t know if or when you will lose your job or if your house will suddenly drop so much in value that you are paying more for it than it is (or ever will be) worth.”
There are certain things which I believe you should never buy on credit, including: cars, clothes, food, toys, furniture…pretty much everything. The bottom line is that we don’t need everything as much as we think we do. Going without the latest and greatest for a while can be a very wise thing to do. According to Proverbs, the wisest among men and women do not buy things on credit if they don’t have the money to pay the debt immediately. I’d be interested in hearing what others think about this and why.
If you need help or guidance in some steps to get out of debt, don’t hesitate to contact me. I’m not a financial guru and I’m not going to give you any money, but I can help you with common sense budgeting if you are willing to work at it. You’ll be glad you did!

I just have to brag on my wife, Kelly, a little bit. Within the span of three years, we’ve gone from assuming I’d put my nearly 10 years of education to use in a traditional church…to moving to Vegas with no idea what we are doing, but deeply desiring to use our lives to serve Christ and his kingdom. My wife has not only taken it in stride, she’s grown a great deal in the process and become and integral and indispensible part of what we are doing. Starting organic communities of house churches is no easy task, but my wife is going above and beyond the call of duty to be a team player.