Your Debt is Holding You Back
Sunday, September 8, 2024 | Pastor Darryn Scheske
Want these notes in Spanish? Click Here.
“I am the true vine, and My Father is the Gardener...you are the branches. He who abides in Me, and I in him, bears much fruit; for without Me you can do nothing. If you abide in Me, and My words abide in you, you will ask what you desire, and it shall be done for you. By this My Father is glorified, that you bear much fruit; so you will be My disciples. “As the Father loved Me, I also have loved you; abide in My love. John 15:1,4–5,7–9 NKJV
Systemic Cultural Mindset
· You are what you DO
· You are what others SAY
· You are what you HAVE
“[Abiding in Christ is] more than a beautiful thought or a lofty idea that hangs above my life to keep me from becoming depressed, nothing really changes. What is required is to [Abide] in the commonplaces of my daily existence, and bit by bit to close the gap that exists between what I know myself to be and the countless realities of everyday life. [Abiding in Christ] is pulling the truth revealed to me from above down into the ordinariness of what I am thinking of, talking about, and doing from hour to hour.” -Henri Nouwen
· Avg. American has 4 credit cards
· Record leap in U.S. credit card balances
· 61% revolving credit card balance $8,400
· Interest avg. rate 20.51%
· Avg. total consumer debt $23,964
· Avg. Ind. Student Loan debt $31,483
· Hamilton Co. $3B consumer debt, $31M/mo
— Fed Reserve / Experian.com
“Credit Card debt more than 90 days overdue rose to 10.7% during the 1Q 2024, a 12-year high...The increase in delinquencies seems to be outpacing income growth and there is likely a large group of consumers who are paying their minimum balances and staying out of delinquency, but are too financially stressed to actually pay their full balances. A worsening of the economy could push those consumers into severe delinquency.”
IBJ, June 6, 2024
American Households
· The median family net worth is only $192,900
· Top 1% (1.3 million) holds 30% of wealth
· Bottom 50% (66 million) holds 2.5% of wealth –Fed Reserve 2024
5 Financial Categories
1. Struggling
2. Surviving
3. Stable
4. Secure
5. Surplus
– Ron Blue, Master Your Money
1. Money problems are spiritual issues
“No one can serve two 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 [Mammon].”
–Jesus, Luke 16:10–13
2. The primary issue is contentment and it must be learned.
I have learned to be content whatever the circumstances. Philippians 4:11
If you can’t learn to be happy with what you have more is not going to satisfy you
I know what it is to be in need, and I know what it is to have plenty. I have learned the secret of being content in any and every situation, whether well-fed or hungry, whether living in plenty or in want. Philippians 4:12
2. The primary issue is contentment and it must be learned.
3. Debt enslaves the borrower
The borrower is a slave to the lender. The poor are always ruled over by the rich, so don’t borrow and put yourself under their power. Proverbs 22:7, NIV/MSG
You’ll never get out of debt doing the same things that got you there
5 Biblical Financial Principles
1. Spend less than you earn
2. Avoid the use of debt
3. Build margin (save)
4. Set long-term goals
5. Give generously
–Ron Blue, Master Your Money
Learn how to get out of debt and manage money God’s way!
Join a “God Owns It All” Small Group
The wise man saves for the future, but the foolish man spends whatever he gets. Proverbs 21:20
The wise save for the future, but the foolish pretend to be rich while depending on debt. Proverbs 21:20
Source Notes
Experian (2023). "Experian 2023 Consumer Credit Review"
Experian (2023). "Experian Study: U.S. Consumer Debt Reaches $16.84 Trillion in Q2 2023."
Experian (2023). "Experian State of Automotive Finance Market Q2 2023."
Experian (2023). "Average Credit Card Balances up 13.2% to $5,910 in 2022."
Federal Reserve (2023). "Household Debt and Credit."
Federal Reserve (2023). "Delinquency Rate on Credit Card Loans, All Commercial Banks."
Federal Reserve (2023). "Finance Rate on Personal Loans at Commercial Banks, 24 Month Loan."
Federal Reserve (2023). "Household Debt Service Payments as a Percent of Disposable Personal Income.”
TransUnion (2023). "Credit Industry Snapshot."
USAToday (2023) "Average debt in America: 2023 statistics"
IBJ (June 6, 2024) More struggling with credit card debt in potentially bad sign for economy - Indianapolis Business Journal
Quartz Northwestern Mutual Survey, “Only one-third of Americans with at least $1 million worth of investable assets considered themselves “wealthy”.
Qualtrics for Credit Karma, “29% of US adults reported experiencing money dysmorphia; 45% of Gen Z and millennials said they were “obsessed” with the idea of being rich.”
Federal Reserve (2024), In first quarter of 2024, the top 1% of American households (1.3 million in total) held 30% of collective wealth, up from 23% in 1990. Meanwhile, the share of wealth held by the bottom 50% (66 million households) shrunk to just 2.5%.
Resources
If you would like meet with our someone from the Heartland Church ministry team to help you assess your financial situation and explore options to get out of debt or guidance on God’s financial principles, https://my.heartlandchurch.com/ContactUs
Debt payoff apps can help you keep track of all those numbers, plus offer useful budgeting features like debt calculators and expense tracking.
Check out this Compound Interest Calculator. The longer you save, the greater the multiplication effect. This is how you experience exponential growth in your savings.
Register for a “God Owns it All” Small Group
Start Saving Now!
Wesleyan Investment Foundation (WIF) is a ministry partner at Heartland Church. For over 75 years WIF has been creating investment win-wins for investors and ministries around the world. Money invested with WIF earns competitive rates, is easily accessible to you, and is used to advance the Kingdom of God by making loans to local churches.