What's the answer to today's financial crisis? Getting another credit card? I don't think so. Thanks to Mark Sayers for the link to this disturbing advert.
Over at Between Two Worlds, David Kotter has some thoughts about the current situation - also from an American perspective - that are worthy of note for Christians. I found this article via Tallskinnykiwi and then Christian Personal Finance. Thanks guys!
Everyday the news seems to indicate that we are moving into a recession and people fear that their livelihood is at risk. For those not eligible for housing benefit or a council house, privately renting can be very costly. Getting a mortgage is thought to be a prudent move by many. In some parts of the UK it may even be cheaper to buy than to rent. But then there is the risk of getting into debt. Of course, taking out a secured loan such as a mortgage isn't debt in itself but defaulting on the repayments is. With falling house prices and a stagnant market a home owner could end up with massive debts. People now need to be more careful than ever if they are not to end up losing their homes.
Our church has just started a mission initiative towards the homeless. There is an ever present need for this but, I was just thinking, with the ways things are going we might be seeing even more people in debt who could end up on the streets in the near future.
Perhaps it is time for Christians to start seriously praying for the economy? What do you think?
See also Credit Crunches by Cross Rhythms' Mal Fletcher.UPDATE: There is a fascinating money programme article which is linked to an episode this BBC series screened in November. Property: The End of the Affair basically argued that renting could be a lot more prudent than buying. Many first time buyers today can’t get a mortgage and feel they are missing out while others are desperate to hold onto their property ownership. Yet economically it could make a lot more sense for people in the UK to rent, as is the norm in many other countries, rather than buy – especially in the current financial climate. They argued that buying property could be just as risky as borrowing money to buy shares – which as we all know may keep falling.