Regardless of your faith, enjoying life isn’t easy when you are drowning in debt. As a Christian, however, there’s another wrinkle to owing excessive amounts of money to creditors: the fact that being in debt goes against Christian values. A core tenet of Christianity is taking care of your responsibilities, so discharging debts that you legitimately owe in bankruptcy is far from ideal. Thankfully, Christian debt consolidation is a viable alternative for Christians who are in over their heads in debt. Read on to find out how Christian debt consolidation companies differ from their traditional counterparts.
What is Debt Consolidation?
Before delving into how Christian debt consolidation differs from traditional debt consolidation, it helps to understand what debt consolidation actually is. As the term implies, debt consolidation involves moving several separate debts over to a new, consolidated loan or credit card. Typically, the credit card or loan comes with a lower interest rate than the average rates of the other loans, making it easier and more affordable to eliminate debt. Other crucial aspects of debt consolidation include:
- a single monthly payment
- waived late charges and other fees
- lower interest charges, so principal balance is paid off faster
About Christian Debt Consolidation
As you research debt consolidation services, you are sure to find Christian debt consolidation companies offering support and will probably wonder what sets them apart from traditional companies. In general, such services are geared specifically for those of the Christian faith. As such, they are infused with Biblical principles that resonate with Christians, making it easier for them to stay focused on the long-term goal of becoming debt-free. For those who aren’t particularly motivated simply by the satisfaction of paying off debt, the desire to lead a Christian life can provide the motivation that is needed to see the process through to a successful conclusion.
Differences Between Regular Debt Consolidation and Christian Debt Consolidation
Christian debt consolidation companies are very similar to traditional ones in terms of how they help individuals to eliminate debt. Both work to move separate debts over to a single loan or credit card, and such companies may negotiate lower interest rates or reduced or waived fees.
Although the process to eliminate debt is much of the same, they differ in many subtle yet important ways too:
The Bible repeatedly admonishes believers to be careful with money and to avoid going into debt. Several Bible verses warn against the perils of being in debt, and Psalms 22:7 is an especially apt example: “The rich rule over the poor, and the borrower is slave to the lender.”
No Man can Serve Two Masters
Matthew 6:24 states that “No man can serve two masters: for either he will hate the one, and love the other, or else he will hold to the one, and despise the other.” This principle applies directly to debt. As a Christian, it is your duty to serve one master: God. However, when you are in debt, you serve another master too: your creditors. This flies in the face of leading a Christian life because with a creditor as your master, your ability to properly worship God is impeded. Your thoughts will be consumed and obsessed with your debt, and your spiritual welfare can suffer.
Bankruptcy isn’t Christian
When saddled with huge amounts of seemingly insurmountable debt, it’s tempting to turn directly to bankruptcy as a solution. However, with Chapter 7 bankruptcy—the most popular kind—the majority of the debt that you owe is written off, or never repaid to creditors. Although bankruptcy is legal and offers crucial protections, it can also be seen as showing bad character in that old debts are not repaid. As a Christian, it is more in line with your principles to pay whatever you can instead of nothing at all—and Christian debt consolidation can help you to get there.
Money Management Education
Although it’s not exclusive to Christian debt consolidation, credit counseling and money management education are almost always included in conjunction with the consolidation itself. This is because without changing the underlying causes of the debt that you have accrued, you are likely to end up right in the same place again before too long. Effective money management skills are powerful tools for those who want to lead Christian lifestyles, and Christian debt consolidation companies can help considerably in that regard.
Stay on Track More Easily
As a Christian, the debt that you owe likely eats away at your soul. Healing from such turmoil can be difficult, and seeking debt consolidation services that are infused with Christian principles can help immensely. It can also shift your perception about why you are working to eliminate your debt. Rather than doing so just because you’re supposed to, you will be doing so to keep your core principles intact—and that is very powerful indeed.
Stay True to Your Faith in Your Finances
Christian debt consolidation doesn’t promise to work any faster or more efficiently than traditional debt consolidation, but it is a solid choice for those who hold Christian beliefs and values. With help from Christian debt consolidation companies, you can work toward a debt-free life and more effectively uphold the Biblical principles that mean so much to you.
If you are in over your head with debt and are ready to take control of your finances, contact Christian Debt Counselors today.