Christian Debt Management - One Christian Debt Services Option

Are you considering Christian Debt Management?

A debt management program involves hiring a credit counseling company to act as a third party to help you, the debtor, repay your debt obligations. Through a debt management plan, you can, in theory, secure a lower and more manageable monthly payment along with lower interest rates. There are, however, some very serious drawbacks to debt management programs that should be considered.

The first question to ask yourself before enrolling in a Christian debt management program is whether you really need this level of help or not. If you are carrying multiple debts and having trouble paying everyone or you are dealing with credit collection calls, then you likely need some help. However, it is very important to remember that your participation in a debt management program will be reflected in your credit report.

This appearance of a Christian debt management program on your credit report necessitates serious consideration. This could impair your ability to make large purchases (like a car or home) for many years to come. In addition, a debt management program may involve some amount of debt settlement where the debt manager works with your creditors to “forgive” some of your debt. This is really not an option for a Christian as you are responsible before God to pay all your debts no matter how long it takes.

Unfortunately, as with any Christian debt service, a Christian debt management organization could be Christian in name only. There are many companies that call themselves Christian in order to gain your trust when in reality they do not operate according to Christian principles. Most Christian financial counselors would likely not recommend a debt management program for the reasons outlined above, so use caution when evaluating any Christian debt company.

If you are drowning in debt and unable to keep up payments, then some type of help may be necessary. Talk with your Pastor and find out if anyone in your church has financial training. Also, look for a non-profit Christian ministry that can help you with your financial situation without resorting to settlements, loans or damaging your credit score.

The true meaning of “Christian debt management” should mean to manage your debt  biblically – pay off your debts quickly and stay debt free through proper money management.