The Cautious Debtor


The Cautious Debtor is one who avoids entering into debt, is careful and strategic when incurring debt, and always repays debt.

Our culture tells us that debt is expected and unavoidable.  While it’s true that the culture expects debt, it’s not true that God does – and in most cases, debt is very avoidable.  We saw in the previous lesson how having sufficient Emergency Savings can be a key to avoiding debt from unexpected expenses.  In this lesson, we’ll learn about the dangers of debt and introduce a tool for systematic and rapid debt reduction.

Scripture does not absolutely forbid believers going into debt, but there are many Biblical warnings about debt and its consequences.  Two key characteristics of “OK” debt are:

  1. It is incurred on something that has the strong potential to increase in value (not a depreciating or consumptive item).
  2. It can be repaid under today’s circumstances — not hoped-for circumstances in the future.

<<<Insert Video: The Debtor on the Street>>>