Thursday, 24 October 2024 10:55

Don’t be a slave to your debt

Written by  Farmer's Chaplain, Colin Miller
Credit card is simply another easy way to get yourself into debt. Credit card is simply another easy way to get yourself into debt.

OPINION: Clicking through some news of late, I have noted the odd headline referring to credit card debt.

Headlines like this do pique my interest somewhat, as I have three cards myself. Three may not sound like many to some people, but the truth is, one is enough to easily get you into rather deep yoghurt!

Looking into this a little deeper, I learned that for the second quarter of 2024, the US carried a credit card debt of US$1.142 trillion! As I don’t have enough zeroes on my calculator to figure that out for a per person amount, I think I’ll let that one pass!

How is it here in New Zealand, I wondered? The best figure I could come up with was for the beginning of ’24. Apparently, we had a mere $6.2 billion outstanding on plastic.

I have to admit I have always thought of the term “Credit Card” to be a classic example of the noun misnomer. When you stop for a bit and think it through, it is simply another easy way to get yourself into debt.

I have had my card truly in credit a few times simply by paying, let’s say, ten dollars more than the total outstanding. So yes, next month’s statement informs me I am now $10.00 in credit. Now that’s the real thing too, not a misnomer.

Just last week I read an interesting article concerning a lady helping people get their budgets sorted. She gave some timely advice, like one piece in particular I recall: “Cut up your credit cards. You don’t need them.” Hmmm.

Now, when you find yourself barely making the monthly payments, as I have from time to time, you find out very quickly who really is in charge. The interest getting added on to your account rapidly eats away any benefits you thought you were getting from buying your item “on sale”!

It’s the same with mortgages too.

If you start missing some repayments, you will soon find out who is really the boss. And when the interest rates jump up, try pushing back with that, and you’ll soon see who is in charge.

A brief quote from the Good Book here will not go amiss: “…and the borrower is servant to the lender”. How true!

Having had both credit cards and mortgages, both personal and commercial, here is my 50 cents worth of wisdom. Your debt can be manageable and serve you, or you can be a servant, a slave even, to your debt. It is never a good thing when a bank is your master and rules your life, day and night.

To illustrate, for our mortgages, both personal and commercial, we always met the repayments each month. They served us in reaching goals of property ownership.

We never had to work extra jobs, forfeit family holidays, time out, or felt robbed of the spontaneity of life.

However, our story may well be very different to yours. <>When you find yourself caught in the position of being a slave to your debt, it is usually your health and/or close relationships that will pay the price. And we start withdrawing ourselves and neglecting the very people who have been good friends in the past. Rocky road stuff, for sure!

Personally, I think that price is just too high. I don’t want to go there. I would attempt to restructure or let something less important go.

When it comes to the rocky road stuff, I’m so thankful I don’t ever have to walk alone.

Take care and God bless.

Contact Colin:This email address is being protected from spambots. You need JavaScript enabled to view it.

More like this

Earning respect, trust and support

OPINION: A big ‘shout-out’ from me to Wairarapa sheep farmer Hamish De Lautour for his excellent article Just answer the damn question! published in the last edition of Rural News.

Filling the loneliness void

OPINION: Like many others in our rural communities, I grew up in a farmhouse with our telephone proudly sporting something like a crank handle on it.

Reflecting the true spirit of Christmas

OPINION: I trust all is well at your place. It's obvious the Christmas season is upon us, as I sit at my keyboard today. I'm looking forward to a bit of a breather and catching up with friends and family again.

Featured

Farmers urged not to be complacent about TB

New Zealand's TBfree programme has made great progress in reducing the impact of the disease on livestock herds, but there’s still a long way to go, according to Beef+Lamb NZ.

Editorial: Making wool great again

OPINION: Otago farmer and NZ First MP Mark Patterson is humble about the role that he’s played in mandating government agencies to use wool wherever possible in new and refurbished buildings.

Helping protect sheep from parasites

Everyone from experienced veterinarians and young professionals to the Wormwise programme and outstanding clinics have been recognised in this year’s New Zealand Veterinary Association (NZVA) awards. As part of a series looking at this year’s rural winners, Leo Argent talked with Ginny Dodunski, winner of the Veterinary Impact Award for raising the profile of the Wormwise programme.

National

Machinery & Products

Buhler name to go

Shareholders at a special meeting have approved a proposed deal that will see Buhler Industries, the publicly traded Versatile and…

Grabbing bales made quick and easy

Front end loader and implement specialist Quicke has introduced the new Unigrip L+ and XL+ next-generation bale grabs, designed for…

» Latest Print Issues Online

The Hound

Make it 1000%!

OPINION: The appendage swinging contest between the US and China continues, with China hitting back with a new rate of…

Own goal

OPINION: The irony of President Trump’s tariff obsession is that the worst damage may be done to his own people.

» Connect with Rural News

» eNewsletter

Subscribe to our weekly newsletter