Sound Decisions

(Prov 17:18 NLT) It's poor judgment to guarantee another person's debt or put up security for a friend.

This morning Solomon gives us sage financial counsel; he was more than qualified to do so. Solomon ran a nation with a multi-billion dollar surplus and he definitely knew how to manage a budget. Here he basically tells us to avoid co-signing a loan for someone else.

During Solomon’s time credit was not a new concept, but to this point is was relatively fair and it was offered at reasonable interest. But the Phoenicians developed a new system of credit at unusually high interest. This caused several people to be locked into bad deals.

Solomon warned his readers (believers) to avoid putting their good name on a bad loan; especially for someone else. Earlier in Proverbs he said, “Whoever puts up security for a stranger will surely suffer, but whoever refuses to shake hands in pledge is safe” (11:15). Or in other words, it is better to avoid putting your name on someone else’s loan, because if you obligate yourself, the Lord will expect you to pay if the other person defaults. At the end of the day, this is just not he best practice. The Contemporary English Version of our verse makes this very plain; saying: “It's stupid to guarantee someone else's loan.” It’s hard to misunderstand that.

We live in a society today that sees nothing wrong with filing for bankruptcy. This practice is NOT OK with God. If you borrow something and you obligate yourself to pay it back, then God expects you to pay it back – period. Remember, as a believer, we do all that we do for the Lord. So it is simply better not to obligate yourself in the first place than to obligate yourself and then not pay it back. The Bible is clear about this. Moses said,

“When you make a vow to the LORD your God, be prompt in fulfilling whatever you promised Him. For the LORD your God demands that you promptly fulfill all your vows, or you will be guilty of sin. However, it is not a sin to refrain from making a vow. But once you have voluntarily made a vow, be careful to fulfill your promise to the LORD your God” (Deut 23:21-23).

In Ecclesiastes Solomon said, “When you make a promise to God, don't delay in following through, for God takes no pleasure in fools. Keep all the promises you make to Him. It is better to say nothing than to make a promise and not keep it” (5:4,5).
So what does this mean to you? A couple of things:

1. Failing to pay is NOT an option for the believer. For the believer the word, “pledge” is a serious thing. You are putting your name on the line. You are giving your Word that if this person fails to pay, that you WILL; and as a believer, you are bound to do so. A person of poor character and deceitful intent may enter into a loan without the intentions of paying, but you MUST never do so. Your word has to be your bond. We are expected by God to meet every obligation. That is why we must “Count the cost” (see Luke 14:28-30) before we enter into a binding agreement.

2. Your family can be affected. You have an obligation to God and to your family to manage your finances well. Making a poor decision like this can put your family at risk. That is why prayer is so important. Many people make foolish decisions then say things like, “God, why did you let this happen to me?” No! Don’t blame God. He is not obligated to bless your mess. There is a difference between being generous and making a poor decision. Don’t allow your emotions to take you where your bank account can’t keep you.

Father, I thank You for providing me sound counsel through Your Word and by Your Spirit. You lead me in the way that I should go. I declare, by faith, that everything decision I make is a decision that is birthed out of my prayer life. I make decisions that line up with Your counsel. I am a blessing to others and I give to those in need. However, I am led in my giving. I don’t overextend myself and I don’t endanger my family by making poor decisions. I pray, I think things through, I count the cost, and I make sound financial decisions – BY FAITH! In Jesus’ name. Amen!