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To Your Success!
Ericka Young

Enabling or Empowering?

 

Myth:     If I loan money to a friend or relative I will be helping them   out.

Truth:    The relationship will be strained and changed forever if you either loan money or are the recipient of such a transaction.

 

We love our family don’t we?  And of course our family loves us.  But to what extent do we take that love when it comes to money matters?  There can be a lot of temptation to ask relatives for money or loan it when an emergency arises.  Typically these loans are interest free and can be accessed without a run of your credit.  But what are you truly doing when money is exchanged between you and someone you love?   

 

Here are some reasons why it is never a good idea to loan money to or from relatives and friends:

 

1.      You are creating a slave/master relationship between the parties involved.  A slave is owned by the master until his/her debt is paid.  We want to call our father “Dad” not “Master”.

2.      Each time you see the person who lent you money you will think about the debt owed and that causes anxiety amongst everyone.   Thanksgiving dinner doesn’t taste the same when money matters are on your mind.

3.      It is easier to miss payments because you believe that your relatives or friends won’t hound you like credit card companies.  At least you will make it a priority to pay the credit card companies back.  Typically when money is loaned to relatives it is not considered as important. 

4.      The benefactors of the loan will think they now have a right to ask questions about your spending habits.  They believe the right to that information has been bought with your loaned money.  And… if you have nosey relatives and friends your financial business could spread throughout the family tree.

5.      When you loan someone money you enable the overspending.  If the behaviors that got them into this situation are not dealt with then more debt will still be incurred.  This does not help the borrower, but it can hurt them tremendously.

 

The best way to handle difficult financial situations is to handle them yourself.  This breeds responsibility, self-confidence, strength and character.  When you’ve successfully gone through a tough time, but managed to do it all on your own you feel like you can take on the world.  When my husband and I climbed out of the mountain of debt we had, we did it without the financial help of anyone.  As a result, we knew that we could tackle any financial setback that came our way including job loss, career changes, family emergencies, etc without leaning on anyone.  Our relationship grew stronger and we felt empowered!  Don’t you want the same feeling?  Let’s not enable our loved ones or allow ourselves to be enabled.  If you truly want to help someone financially just give them the money with no strings attached.   A gift is better than debt any day.  Let’s tackled the real problem systematically and change the behaviors that caused us to need extra money in the first place.  That is true empowerment!

 

 

Bridgforth Financial

 

There are times in our life when God gives us opportunities to meet people who will impact our lives forever.  Dave Ramsey has been one of these people for me.  He is a man with vision and determination to get the word out about managing your money God’s way.  The sincerity and integrity in his approach has proven itself out as his business grows.  Check him out at www.daveramsey.com.

 

I have had the incredible opportunity to be graced with another individual whom I greatly respect and admire.  Mrs. Glinda Bridgforth is an accomplished writer, speaker, and financial coach with more than 17 years of experience working with people from all over the country.  Her holistic approach has helped many people get to their next level financially and gain freedom from debt.  She deals not only with the numbers in each person’s situation, but the history behind what got them to this point.  It is my esteemed pleasure to now be one of her associates and I will soon also be helping people all over the country gain financial independence.  Check out Glinda at www.bridgforthfinancial.com. 

 

 

FREE FOOD!

 

I’m sure we’ve all experienced what I consider the most consistent budget buster of all time… dining out!!  Raise your hand if you have spent an entire grocery bill on dining out.  Believe me, it can be done.  We can have the best of intentions to come home and cook a decent meal for ourselves and our family, but when we’re tired take-out or dine-in is so much more appealing.  When you are trying to get out of debt any extra funds you have should be used to stay on top of that goal.  Of course, it is easier said than done.  Eating at home takes preparation, planning, shopping, and clean up.  How can we save money, but also spend less time in the kitchen?  One solution might be the newest concept on the block for dining in: meal preparation.  Dream Dinners invented the meal preparation craze that has allowed many families to enjoy quick, home cooked meals at affordable prices.  On Wednesday October 17, 2007 at 6:30pm Tailor-Made Budgets will host a Sneak Peak locally at Dream Dinners on Val Vista and Ray.  You will be able to hear a talk about what Dream Dinners has to offer, assemble your own FREE meal that feeds 4 people and have some fun!  It doesn’t get any better than that!  What have you got to loose?  Nothing!  Try it once for free and see if this could be a possible way for you to stay on budget with your dining out category.  If you are interested, simply send me an email so I can get you an official invitation and more details.

 

 

 

September 2007

 

 

 

 

 

Chris and Ericka Young are Dave Ramsey Certified Financial Counselors! 

 

Call (480) 200-2516 today for a free 30 minute consultation to see how they can help you achieve your dreams and goals!

 

Anyone who refers a new client to Tailor-Made Budgets will receive a $20 Costco card.  So get the word out and enjoy my favorite shopping spot!!

 

 

 

“The rich ruleth over the poor, and the borrower is servant to the lender.”

               - Proverbs 22:7

 

 

P.O. Box 2038  ·   Chandler, AZ 85244   ·   ericka@tailor-madebudgets.com
(480)
200-2516   ·   www.tailor-madebudgets.com