A man lacking judgment shakes hands on a deal and puts up financial security for his neighbor. Proverbs 17:18, TLV

Deal or No Deal?     What’s wrong with helping out a friend or family member in need? Why not do a good deed? Help them buy a house? Help them get into a better vehicle? What could be wrong with that? In some instances, a lot, actually.

Co-Signing or Personal Loans

As we develop our spiritual discernment muscles, we’ll also hone our financial muscles. Such as learning there are many reasons co-signing on a loan tends to only have a tiny window of viability.

My husband and I had to learn this the hard way. In fact, we’ve had several hard, expensive lessons.

“I’m a Little Short This Month. Can I Have a Loan?

We’ve learned that if a grown adult with a family cannot sign for their own loan or lease, many times there’s something out of order. But not always, especially with today’s financial climate.

All of us have fallen into hard times at some point. Having the help of family or friends can be just the thing we need to get our head above the fray.

However, if we’re in that situation then we wouldn’t make extravagant purchases and expect others to help us financially, would we? We would tighten our belts, stop spending, and do the best we can to ride it through, right? Doing this helps that “loan” go the distance in helping us to stabilize our budget.

Counting the Cost

Hubby and I have learned that if we want to help someone financially, we must be willing and able to assume the loss. Because, if the person is unable to pay, it will fall on our shoulders. And, as I mentioned above, more times than not we never see the repayment.

Those experiences caused tension between us and the person who never fulfilled their promise or obligation. Likewise, we had to absorb a loss we couldn’t really afford.

What Works for Us

For hubby and me, if we see a need, before we approach someone with an offer to help, we pray for wisdom. Part of that wisdom is whether we can absorb a financial loss. So, we’ve made it a rule that we don’t loan to others—we give as a gift. It’s emotionally and financially cleaner.

There are certain causes and effects in our Heavenly Father’s world. The more we learn and live His word, the better we know how it all works—especially for our lives. And those are valuable lessons—both spiritually and financially.

Think More About It

Have you ever lent someone money only to not have it repaid? How did you handle the situation? Did it affect your relationship? Do you loan, or gift funds to someone in need?

Until tomorrow, may we operate in wise financial judgment, my friends.

Please continue to pray for Israel, especially for those in the north who have experienced such loss. God bless you!