In our current economy, bankruptcy and foreclosures are increasingly common. I just heard a news report saying it is OK to walk away from a mortgage if it has become a bad business arrangement. In essence, if you made a decision and it went bad, you are now allowed to ignore your promise and transfer the consequences to the lender. By the way, you also share the consequences with your neighbors whose homes are instantly worth less.

Scripture holds a different view. First, debt is not a place for children of the King.

Proverbs 22:7 The rich rule over the poor, and the borrower is servant to the lender.

As His children, we are to be enslaved to no one. When Jesus sets us free, we are free indeed (John 8:36). The reality is many of God’s children are in debt. What now? How do we handle that? Again, we are children of the King. When you enter into a lending agreement, you are making a promise to pay it back. Our Father keeps His promises. We, as His children, must follow suit.

Psalm 37:21 The wicked borrow and do not repay, but the righteous give generously;

Can bankruptcy be used as a financial tool? Can you use it to buy a little time? I can’t answer for every situation. What I can suggest is that you work with the lender. You have made a promise to him. Bankruptcy can get you off the hook in the eyes of the law, but if you wear the name of Christ, you must represent the Family. You represent the God of kept promises. Even if the law says you don’t owe it any more, the truth is, you borrowed money on the promise that you will pay it back.

Hebrews 12:14  Make every effort to live in peace with all men and to be holy…

Make every effort.