The Chain of Debt: Attacking Debt

It's hard to live life to the full if you have no margin and constantly have to look over your shoulder at the banks, creditors, and institutions coming after you.

In 2018, the average American personal debt was: $15,000+ in credit cards, $181,000 in home mortgage, $27,000 in car loans, $46,950 in student loans, and $134,000 in all other debt.

God wants you to live fearless and free, especially free from debt.

The world's mindset: Me, Live, Save, Give.

God's mindset for you: God, Give, Save, Live.

Give- test God in it. Malachi 3:10 says that He will open the floodgates of Heaven and bring you into a lifestyle and mentality of freedom if you trust Him.

Save- the goal isn't to save all you can to live the last 20 yrs of your life doing nothing. Saving allows you to live freely without being a burden, giving you maximum flexibility with a wake of generosity.

You give, save, and live off the rest.

It's all predicated on work. Before there was sin, there was work. It's a gift and giving you something to do! He's given you an ability and skill: it's so God can get the glory.

The reality of the Cross changes everything. When you were dead, He didn't give you just 10% and a few more years to wreck your life. He isn't trying to take your 10% when He already gave you 100%. He saved us eternally, so we could live life to the full while on earth. This should inform your life, as well as your finances. He gave to save me, so I could live. So, I give, I save to have flexibility, so I can live on what's left over. The "leftover" gets bigger and bigger, it works this way in God's economy. You'll be able to give more and more. Eventually, you can give 100%. This is gospel-informed, cross-transformed thinking.

The world doesn't want you in on this! It's spending billions to get you to "buy it" right now and keep you in debt because it benefits them, not you. They are not doing you a favor by offering 6 months interest-free.

How do we attack debt? (See Dave Ramsey)

1) Survey Debt- write out on one sheet of paper all your debt. Large, medium, and small, with interest rates and monthly minimum payments.

2) Budget- this looks at your income over your expenses (including minimum monthly payments for debt).

3) Debt Attack Plan- Snowball Effect (Dave Ramsey). Start after the small debt first, and put all extra money towards that, once that is paid off, you put all of that towards the medium debt, and once that's paid off, you put all of that toward the largest debt.

4) Reduce spending- this is a stewardship vs. ownership mentality.

Ownership says whatever I have, I own. Stewardship says it's all God's anyway, how can I use it to glorify Him?

5) Resist Debt- stay away from credit cards as much as possible.

All of this takes time. It may take years, but don't let it deter you from the life of freedom God wants you to live. 2 Corinthians 9:6-11 talks about sowing and reaping. There is such a thing as a seed in good soil. It takes a season to do its thing, but it produces a harvest that's far greater than what you started with. This is what God is inviting you into. The right seed in good soil, patience, a harvest that produces more good seeds, repeat. Do you believe God can do this in your life? Do you believe that generosity can be the story of your life? It all starts with the Cross where He cancelled your ultimate debt. Before He wants to talk to you about your finances, He wants to address your heart. He's not taking from you, He is offering you brand new life and eternity with Him.