A credit to your future

There's no question now. We've all lost our collective minds. What are we thinking??? Do we really believe we can have everything...for nothing? Here's a sample of what we've gotten ourselves into:

70% of us live paycheck to paycheck
In 1929 2% of homes were mortgaged, in 1962 only 2% weren't
Consumer debt has tripled since 1980
Barely half of Americans have saved more than $10,000 towards retirement
The American savings rate is now -0.5% (that's a negative sign there)

This means that for the first time since the Great Depression, we as a society are officially spending more than we make. I really believe that our country is setting itself up for a free fall. Now..I don't mean to sound like Chicken little. But, I really hope that this doesn't worry just me. Seriously. This is alarming, especially when we aren't in a depression. Quite the opposite, the economy is relatively good these days. We've recently broken records on Wall Street. But there are signs of trouble. So why is this happening? Well...we are all grown ups who haven't grown up: children, who want what we want, want it now and want it NOW! Isn't that it, in a nutshell anyway?

Credit cards are one of the worst things around in my opinion. The trap has been set. Some would say, "you should know the traps when you see them", which may be partially true. But it's still a trap by it's very nature. We've been trapped ourselves more than we ought to, and I don't blame the lender for my mistakes, but they really are wreaking havoc on our culture. They're not the only thing though: zero down, zero APR, cheap mortgage scams, a blitz of media marketing telling us we're not good enough without [whatever they're selling], and the list goes on.

In the checkout line, they want you to get the store credit card..."so you can save 10% on your purchase today". Aren't they kind? Even at the Christian bookstore they other day, Tiffany couldn't get through the check-out line with the items she selected without being marketed one more "special deal" on some CDs. Can't even a Christian retail store resist pressuring us to spend beyond our budget? Another friend of ours recently left a retail job where the official store policy required workers to pressure the sale until the shopper said "no" TWICE! The first no just really means nothing I suppose. Dave Ramsey usually lectures about the pitfalls of the 90-days "same as cash" scam, that results in payments at 24% interest 78% of the time. Face it...we are targets. Our money is a target, more specifically.

I don't know the answer to all of this.

I wish that I did.

It is clear though, that we cannot continue down this path forever, as a culture. We must get hold of ourselves and return to good biblical financial principles.

“The rich rule over the poor, and the borrower is servant
to the lender” (Proverbs 22:7).

One of the worst things about this bondange, is that it limits our ability to be generous people. As in most things, it must start at home. It's not easy for us as a family, to be honest, but we're trying. We desperately want to stop renting and buy a home. But we know that won't make us happy in the end. True, it will be a blessing, and one that we look forward to. But, happiness is an unquenchable thirst. What will we "have to have" next? We are struggling, trying to pay off our remaining debt, save for a home, and for our futures. We are determined to stop the cycle of bondage that debt puts on families. It's won't be easy, we know, and it's PAINFULLY slow getting there. One thing I've noticed is that when faced with decisions, for some reason the harder path is usually the right one.