Loans and credit what guidelines do you follow?

[onzomanie]

am considering on getting one from my bank how would you handle this so that you avoid going into excessive debt?is it worth it /will it only smack materialism or what ?

[Simon17]

Only borrow what you can afford to pay back.

Only lend what you can afford to lose.

[purplefan]

The Bible discourages unnecessary borrowing. “Do not you people be owing anybody a single thing, except to love one another,” exhorts the apostle Paul. (Romans 13:8) So before taking on debt, count the cost of doing so.

I would plan well into the future, at least find out if you can afford the repayments. Dont just jump into a bank loan without considering what you want the money for.

If you can live without it, Dont do it.

But above all discuss it with your wife, or people you trust.

Pray for guidance from Jehovah.

Remember keep our eyes simple.

Another significant factor is whether taking on debt will force you to work longer hours and perhaps neglect meetings and field service.

[Hallett 82]

Only borrow what you can afford to pay back.

Only lend what you can afford to lose.

Soul mates on that thinking.

Only borrow from proper banks, not 'payday lenders' or outlaw biker gang organizations . . that tends to end badly.

[onzomanie]

ron the last sentence in your reply sums it up.

jan yours on payday lenders is another one

borrowing what you can afford is and has always been the right way.

will try to follow these guidelines to the core

thankyou

[purplefan]

william my brother. Times are tough for us all.

Now is the time to put your trust in Jehovah and keep or lives simple.

I will pray for you and hope you solve your financial problems.

[Joe Schmoe]

Brother, let me just say I've turned into a defacto credit expert. Unfortunately that happened because in my youth I was careless about racking up debt. In my attempts to recover I did a ton of research and read a lot of laws applicable to me living in Texas in the USA. I've finally started to become debt free, and let me tell you the feeling is liberating!

One thing that became glaringly clear to me early on, is that the whole loan/credit/debt system is specifically designed to enslave you. The whole idea is I give you a little so that you give me a lot in return monetarily. Eg: I loan you $1000 at 25%. If you pay me back properly I've now got $1250. Now make those number apply to loans that are say $18,000 for a car, or maybe $200,000 for a house. You are stuck working for someone else and don't really own the items until you've paid them off. An $18,000 car is not at face value. For example for that same car, on a 3 year loan at 25% interest you're going to pay $720 a month. The interest alone will cost you $7,852 (the cost to borrow). So in total you're paying $25,852 for a vehicle that probably isn't even worth that when you pay it off.

The numbers only get more scary for a home loan. The loan system saps you and is designed to bleed you dry. Also, most financiers want you to be late on payments and such because they get even more money from late fees and other fees.

The best course of action is to not borrow money unless it is absolutely necessary. Even though I'm becoming mostly debt free, I do still have a car and house payment. Seems to be a necessary evil in this system. Just things to keep in mind when counting the cost. (Luke 14:28)

It's certainly worth praying and meditating over, and if you have a wife, encouraging her to provide her input. Is it REALLY a need?