Biblical Financial Guidelines
We are told to stay out of debt because of Proverbs 22:7, "The borrower is _____________________."
Slave to the lender
Having building an E-fund, what should your 2nd step be?
Get out of debt and stay out of debt.
According to our culture, debt is ________________. What should your opinion be instead?
Normal, view this as a lie (you don't have to be in debt to live your life).
You'll either manage money or the ______________ of it will ___________.
Lack of it will manage you
How does 1 Corinthians 15:33 support the idea that having good quality relationships will help you financially?
Evil company corrupts good habits.
What 2 specific large purchases should you pay cash for according to the 5 Foundations?
Your car and college
What are at least 2 things that society tells you that you can't have without debt?
A college education, a car, serving your community, furthering your career, etc.
We are told to be givers because, "...those who sow generously will reap generously..." Where is this verse reference found?
What is the first level E-fund and at what stage of life are you working towards this?
$500, as you're in high school (right now)
What percentage of Americans are living paycheck to paycheck? What does it mean to live paycheck to paycheck?
80%, when a person's full income is completely devoted to expenses and they have little to no savings
What is your net worth? Does you income necessarily determine your net worth?
Your assets minus your liabilities.
No!
The idea that you should count the cost before building a tower comes from what verse and supports what financial idea?
From Luke 14:28, and it supports having a budget
True or False: You can follow the 5 foundations in whatever order you want.
False: They are a progression, you need to meet one before you can move on to the next
Bonus: List them in the correct order
What was the view of debt prior to the 1920s and why?
Shameful and rare. High credit rates were illegal, so only illegal loan sharks were offering loans, and it was socially unacceptable to be in debt.
What does Proverbs 22:7 say and what financial principle does it support?
Borrower is slave to the lender, get out of debt and stay out of debt
After you reach your $500 level E-fund. What should your 2nd and 3rd level E-funds be? When do you start working towards these level of E-funds?
$1,000 then 3-6 months of living expenses
After your out of school, working full time, and no longer financially dependent on your parents.
Describe 3 ways of how debt become normalized in our culture.
1.) Post WWI, people wanted new products but couldn't pay for them --> credit laws relaxed = lending became profitable
2.) Buying on credit became socially acceptable
3.) Use of credit cards and student loans were introduced