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Personal Finance Basics: Debt

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Do you feel the burden of debt—the constant payments, the rising interest, the lack of margin? Debt is a tool that can become a burden that limits generosity and future potential. Many of us use debt to make it through the month and if that is where you currently are, that’s OK.  Let’s continue to learn more about personal finances.   First we learned about our income and how  it is a powerful wealth building tool that God uses to provide for us.  We then discussed our expenses and how as stewards it's up to us to make wise decisions with the money God has given us.  Now what happens when we spend more than we make at any given time?  Often time that leads us into debt.   Some common causes of debt are lifestyle creep, keeping up with the Jones’s, purchasing a house, purchasing vehicles that are more than our budget, medical bills, furnace goes out, student loans, signature loans, payday loans, having poor insurance coverage, and retail thera...

Where Does Debt Come From?

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  Where Does Debt Come From? Debt. It's a word that can weigh heavily on the mind, causing stress, sleepless nights, and strained relationships. For many, debt feels like an inescapable reality of modern life – a necessary evil for homes, cars, or even daily necessities. But where does debt actually come from, and why is understanding its origins so crucial for our financial well-being? To truly grasp the nature of debt, it's helpful to consider some timeless pieces of wisdom from scripture: “The prudent sees danger and hides himself, but the simple go on and suffer for it.” (Proverbs 22:3) "The rich rules over the poor, and the borrower is slave to the lender." (Proverbs 22:7) Words written thousands of years ago, remains remarkably relevant today. It's a stark warning, highlighting a fundamental power dynamic: when you owe someone money, you are, to a significant degree, beholden to them. Your choices, your freedom, and even your peace can be dictated by the obl...