Christian Debt Reduction – How to Find Peace from Debt

For believers, Christian debt reduction is a big decision. You desperately want to get rid of debt and finally have peace in your life again. You know you need help, but you don’t want to hire just anybody. You want to hire a believer like you.

So where do you start?

First, it helps to understand the process you will likely go through. There are two options for Christian debt reduction: there’s debt consolidation and there’s debt settlement.

When you still have some breathing room, it’s more likely that you’ll try to consolidate debt, lowering interest rates and minimum payments in the process.

But when you’ve racked up so much debt that you can’t even make your minimum payments anymore, it’s likely that you’ll put together a plan for debt settlement.

Christian Debt Reduction through Settlement

Debt settlement is a process where you stop paying your creditors and save the money you would normally pay them. When you have a certain amount saved up, you then approach your creditors to try to get them to settle with you.

Basically, when you settle, your creditor is agreeing to accept a certain amount of money less than what you owe. Sometimes this can be less than 50% of what you owe.

By accepting your payment, your creditor agrees to write off the rest of your balance.

While some individuals attempt to manage this process themselves, it is strongly advisable to hire a Christian financial organization that is experienced with these kinds of situations. They will be able to manage the process for you and make sure everything is happening according to your plan.

Pay Off Your Debts Faster and Find Peace Again

Unfortunately, when you have crushing debts that you can’t seem to pay off, it can affect you physically, emotionally, and spiritually. Many people have trouble sleeping, get angry, and distance themselves from God.

One of the reasons Christian debt reduction organizations exist is to help believers find peace and draw close to God again. Many times, this can only happen once a certain level of financial stability is achieved.

Did you know that God actually made provisions in His law for people who fall into debt?

Every seventh year was a rest year where you could actually take a break from repaying your debts. Every 49 years God commanded that a Jubilee be kept. During the Jubilee, all debts were forgiven!

Of course, there’s not a country in the entire world that acknowledges or follows this Biblical precept. But wouldn’t a Jubilee be awesome? :-)

Let Christian Debt Experts Help You

Thankfully, there are many believers who sincerely care about how debt is affecting Christians. And they are committed to helping Christians become debt free.

One such organization that I’m aware of is Trinity Financial Mission. It is a non-profit company dedicated to helping Christians find relief from debt.

This is the same company that my brother and his wife are using. They are currently following a debt settlement plan. My brother told me they got their first debt settlement offer from Citi the other day. Woohoo!

It was hard for my brother to admit that he had accumulated more debt than he could handle. It was hard for him to admit that he needed help. It’s hard for anybody, Christian or not.

But if you have reached a point where you recognize the severity of your debt problem, then I strongly recommend getting Christian debt reduction help. Often it’s just a matter of filling out simple web form or picking up the phone and making a call.

Should You Tithe When You’re Broke?

Giving to GodOver at Being Frugal, Lynnae wrote about tithing. She says it has had a positive impact on her life, even though on many occasions she did not have much money to give. Naturally, this raises a lot of questions about tithing.

What is tithing?

The word “tithe” literally means “tenth.” So a tithe is 10%.

On what should a tithe be collected?

Most people believe a tithe is due on all income, but this is a misinterpretation. A tithe is not owed on all income. It was specifically to be paid from the fruits of the earth, the livestock… basically, anything that God had directly created. The Biblical basis for this is found in Leviticus 27:30-32.

Here is an illustration. Let’s say somebody earns an income from making furniture. This person is not required to pay a tithe. After all, a tithe was already paid when the lumber was harvested. Therefore, the furniture maker is permitted to keep 100% of the proceeds of his labor.

Anything paid over and above a tithe is called a “freewill offering.” It is something you give out of love for God. It is not something mandated or required.

==> Click here to read a study of The Law of the Tithe.

Like Lynnae and many other people, I believe there are many positive benefits to giving. But I believe giving should be done voluntarily and not under compulsion.

So now to answer the question I raised: Should you tithe when you’re broke?

This is a trick question. Technically, the tithe (plus an extra 20% to 30% more) is already being collected by the government God has put in power over us. They are responsible before God for what they’ve collected.

We, on the other hand, can still give as we are lead. If you are lead to give, then give. If you are not lead to give, then don’t give. It’s a personal matter between you and God.

Sometimes you may give out of your lack. The woman in the Bible who gave her last two mites did this. Sometimes you may give out of your abundance. Either way, it is a decision that is entirely up to you. You should not allow a church or any kind of religious organization to guilt you into giving.

So I’ve shared my perspective. What are your thoughts on tithing, giving, and charity?