Smart Money Smart Kids - Raising Money-Smart KidsSample

Day 08: A Slave to the Lender (Debt)

"The rich rule over the poor, and the borrower is slave to the lender." (Proverbs 22:7 NIV)

As Dave Ramsey's kid, I grew up in a financial bubble. My parents taught me early on that wise people live on less than they make and never buy something unless they have the money to pay for it.

For us, debt was never an option, and I just assumed most people thought the same.

But my bubble burst on one of my first days in college. During freshman orientation, I met a girl who invited me to lunch. She even offered to drive. And when we got to her car, I could see why. She was driving a very nice, brand-new BMW.

When I complimented her car, she told me that it was a high school graduation gift. What's more, she'd financed it with her very first car loan, a loan cosigned by her mom.

Pop went the bubble!

That's the moment I realized that most of the world doesn't handle money the way I was taught. Apparently, I wasn't normal.

But that's okay because "normal" in America means you're broke. Car loans, student debt, credit cards, and mortgages weigh people down and kill their dreams. Debt is a thief. It steals your peace of mind, and it steals your sleep at night.

Scripture is even more graphic in describing the dangers of debt. It's not a sin or a salvation issue, but the message is still clear: "The borrower is slave to the lender."

Slaves don't have options. They serve the master, and debt's a horrible master.

I meet people all the time who have experienced that kind of slavery firsthand. They've felt the weight of "normal" in America. But I want something better for your family. I want you to have a crazy (and biblical) mind-set that proves that life without debt is possible.

As your kids get older, they're going to hear money advice from many voices. Make sure your voice is loudest. Teach them about the dangers of debt, and be honest about your mistakes.

Change your family tree by breaking the chains of normal.