I bet you don’t like debt.
Sure we could look at the math and see that in some cases, leveraging debt can be used to build wealth. There are in fact a few people on the Forbes 400 list that made their money by borrowing money. But it’s just a few.
The idea is that you would borrow money at a lower interest rate and invest it to make money. It’s risky but occasionally it does work.
But if you’re like most people you’re not borrowing money with the intent on leveraging it to grow wealth. You’re borrowing money to buy things that you think you need but can’t afford.
And with every payment you make on those bills you grow to hate debt more and more.
Why do you think that is?
You “needed” that new car to get to work. You used your department store credit card to buy new clothes for your job. Everyone knows buying a house is way better than renting one. You were just taking advantage of 0% when you bought your furniture. You had to go to an expensive college to get the job that you wanted.
All of that debt had a purpose. So why does having debt sometimes make us feel ill?
Even if you’re not a follower of Christ I’m sure you can agree that the Bible is a book that is full of applicable wisdom. I think it gives us the reason why we hate debt.
“The rich rule over the poor and the borrower is slave to the lender.” -Proverbs 22:7
If you have debt you are a slave. You’re a slave to those payments. You’re a slave to the job you don’t like because you need money to pay your bills. You’re a slave to who gave you the money. If you’re a slave then you have a master.
“No one can serve 2 masters. Either you will hate the one and love the other, or you will be devoted to the one and despise the other. You cannot serve both God and money.” – Matthew 6:24
The reason you hate debt so much… the reason it makes you ill… it’s because you’re trying to serve 2 masters. If you follow Christ, He clearly says you can’t do it. Yet you’re still enslaved to debt.
If you’re not a Christian, you probably didn’t intend on being a slave to a finance company. You probably don’t like being a slave to a job you hate. You’d probably rather serve your family and other people rather than be a slave to your debt.
So you’ve already made the decisions to get into debt. Your intentions were good, yet you hate it. So how do you become debt free? The Bible has some wisdom here for us too.
“If you’ve become surety (fancy Bible talk for gone into debt)…Give no sleep to your eyes nor slumber to your eyelids; deliver yourself like a gazelle from the hunter’s hand and like a bird from the hand of the fowler.” – Proverbs 6:1, 4-5
Basically you can stumble into debt, but you’re not going to stumble out of it. It takes hard work and a plan. But if you hate debt then it’s definitely worth the effort.
Do you have a story about how having debt makes you feel trapped? Tell me about it in the comments.