In This Issue:
Dick's Column | Transforming Truths | News You Can Use | Your Point of View
Spotlight | Market Indicators | Ministry Builders | Resources

Dick's Column

Dear G$ Friends and Colleagues,

I think we in stewardship ministry undersell the importance of what we are about! We undersell it to ourselves and to others. Oh, we do a fair job of pointing out how our ministry can help restore self esteem and assuage the guilt and shame of past poor financial behavior… and even how it can reduce conflict in marriages and replace anxiety with peace and contentment.

Those are really important outcomes but to stop there is to sell far short the potential ministry impact – as well as leave the impression that our ministry is just for those in financial difficulty. Let's have a far bigger vision for what we can accomplish.

For example, let's have the vision that our collective ministries raise awareness of the biblical mandate to steward God's creation to such a degree that enough people change their over- consumptive lifestyle to have a major impact on the environment!

And since the growing gap between the rich and the poor is the underlying factor in much of the world's war and conflict, what if our ministries caused enough people to decide ‘enough is enough' and to address the plight of the poor in ways that narrowed the gap between rich and poor? We could have an impact on the amount of world conflict!

And could our ministries collectively begin to reverse the tide of materialism in which we are view each other as consumers and we love things and use people rather than using things and loving people? I believe we can and that we would thereby forestall the concern articulated by Randy Alcorn:

"…the prevalent term "consumer" speaks not of a person but an economic unit, of value only as an object that can potentially contribute to profit. The most blatant forms of immorality, the most hideous forms of violations of human dignity, will become commonplace in a materialistic society, provided only that they are cost-effective."

Most important of all, we have the ultimate responsibility of helping folks remove the idol of money and stuff from their lives so they can seek first the Kingdom and so their hearts (Matt.6:21) and their service (Matt.6:24) will be with the true God. What could be more important than that!?

Your ministry is about so much more than simply helping folks with their day-to-day financial matters. And while none of our ministries can single-handedly change enough lives to solve global warming or to raise sub-Saharan Africa out of poverty, each one of us can make a difference locally. And collectively…. only God knows! What's your ministry's part in a much bigger picture than you've dreamed of before now?

May God empower you as you serve on the forefront of what I believe is the major spiritual battleground of our day.

Your colleague in ministry,

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Transforming Truths

"Which of you, if his son asks for bread, will give him a stone? Or if he asks for a fish, will give him a snake? If you, then, though you are evil, know how to give good gifts to your children, how much more will your Father in heaven give good gifts to those who ask him!" – Matthew 7:9-11

Lisa was a new Christian and, through prayer, felt "convicted" to get out of debt and to begin tithing. Several months into that process she received an unexpected bonus at work. She felt like it was a reward from God, and she knew just what she was going to do with the money. She had been dreaming of buying a new cabinet for her TV and stereo and the bonus money would be just enough. But then an accountability partner pointed out that the bonus would also pay off her remaining debt. Lisa knew it was the right thing to do, even though the dashed hope of having a new cabinet was discouraging.

Just a few weeks later, a woman who lived in the same building as Lisa—someone Lisa barely knew—surprised her by offering her a free stereo cabinet. She couldn't possibly have known about Lisa's situation. And when Lisa went to look at the cabinet, she was stunned to see that it was just the type of cabinet she had dreamed of.

This months verses (and Lisa's story) remind us that while the number-crunching aspects of our ministries are important, God's math trumps our math every time. Clearly, when God is involved in our hopes, dreams, and decisions, miracles can still happen. Yes, we need to work with numbers in our ministries. But even more than that, we need to be faithful in praying for and with those whom we serve. And we need to encourage them to be faithful in prayer as well.

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News You Can Use

The Downside to Debit Cards

Debit cards have become a popular replacement for checks, and can be a good alternative to credit cards since you can't carry a balance on your debit card. However, many users apparently don't know that it's still possible to overspend with a debit card. According to a Wall Street Journal article, a debit card purchase will go through even when there isn't enough money in the cardholder's checking account to cover the purchase. When that happens, the cardholder is then hit with an overdraft fee. Such fees totaled over $10 billion in 2005, most of which came from debit card transactions in which people spent more than they had in their account.

Matt's View: Another caution related to debit cards has to do with cardholder liability in the case of fraudulent use. Transactions in which cardholders enter their personal identification number (PIN) come with less protection than those in which cardholders sign for their purchase. For more on this, see the latest issue of Matt About Money. And if you haven't done so already, please sign up for a free subscription.

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Where the Volunteers Are

Midwesterners are more likely to volunteer than people from other parts of the country. As reported by the Associated Press, a survey of volunteer activities in the 50 largest metro areas found that Minneapolis-St. Paul leads the nation with nearly 41 percent of its residents doing volunteer work. Las Vegas is last with just 14 percent of its residents volunteering. Nationwide, 27 percent of us volunteered some time in the most recent 12 months analyzed—down slightly from the year before. Those most likely to volunteer include homeowners and those with more education. For more on the findings, see this month's Market Indicators.

Matt's View: Part of the freedom we offer people through our stewardship ministries is the freedom to serve. As people get released from the bondage of consumer debt and financial worry they can put their time and focus toward more productive pursuits such as service. And as Rick Warren said so well in "The Purpose-Driven Life," we are not saved by service, but we are saved for service.

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Giving Till It Hurts

"Stretch" giving is on the rise. As reported by the Wall Street Journal, non-profits are seeing an increase in donations that are "seemingly out of proportion to the givers' resources." One of the factors behind stretch giving, according to the article, is a change in law. The Pension Protection Act of 2006 allows people 70½ years old and older to make tax-free donations of up to $100,000 directly from Individual Retirement Accounts. Another factor is a change of heart. The article said aging Baby Boomers are finding that giving adds meaning to their lives.

Matt's View: One other powerful point made in the article is the impact that generous giving has on others. It said the decision to give significant gifts tends to reverberate through the lives of the giver's friends and family, causing them to "at least reconsider how much they give and how they might feel if they gave more."

While the Bible teaches us not to make a show of our giving, stories of faithful givers can be very motivating. Perhaps there's more we could do to gather such stories from within our churches and then tell them without naming names.

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Credit Boosters Get the Boot

Last month we talked about a crackdown on "credit repair" companies (here). Now there's a move to stop "credit-boost" companies. Such companies pay people with good credit scores to allow those with bad credit scores to become authorized users on their accounts. The bad-score people don't get access to the good-score people's actual charge accounts, but by being added as authorized users they do get a boost in their credit score. According to an article in the Chicago Tribune, Fair Isaac, developer of the widely used FICO score, is in the process of changing its scoring methods to put an end to this credit-boosting practice.

Matt's View: While the changes being implemented by Fair Isaac should help prevent people with bad credit from getting loans they shouldn't get, it will also impact another group. Parents often add their children as authorized users to their accounts as a way of teaching them about credit and helping them establish a credit score. But that's not such a great idea anyway. In fact, the Bible teaches us not to guarantee other people's debts (Proverbs 22:26).

Kids can learn about the wise use of plastic via a debit card tied to their own checking account (although heed the warnings mentioned in this month's debit card article) or through a secured card. Sure, they may have to wait until they can get credit in their own name before establishing a credit score, but they shouldn't have much need for a credit score before they're 18 anyway.

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Spotlight

Credit Score Clarity

There are two questions about credit scores that come up fairly often in stewardship ministries that also tend to be frequently misunderstood. The first has to do with the impact on one's credit score of paying off a full credit card balance each month. The other has to do with the impact of entering a debt management program with a credit-counseling agency. To set the record straight, I checked with Craig Watts, Public Affairs Manager for Fair Isaac Corporation, developer of the widely used FICO score.

First, let's look at the impact of paying one's bills in full each month. While some personal finance writers have gone so far as to encourage people to carry a balance every now and then in order to keep their credit score strong, Watts said that paying your balance in full each month is not bad for your credit score. He explained that people do need to "use credit" at least every few months, but that simply means making a purchase with your credit card. Paying the balance in full by the due date does not hurt a person's score.

Watts said, "When a card issuer reports account information to the credit bureaus, it typically reports the same balance for the account that the consumer saw on her last credit card bill. In other words, the credit report shows the peak account balance prior to any payment being made, rather than the lower account balance following payment. Creditors do not report the amount of each payment either, so that information isn't included on credit reports and isn't available to the FICO score formula."

What is important, Watts emphasized, is how much has been charged in comparison to the card's credit limit. "The scoring formula cannot detect any difference between a card account that is maxed out and then paid off in full every month, and a credit card that remains maxed out and the customer pays only enough every month to cover any new interest or fees that are due. In both cases, the credit report will show the account balance as at or near the credit limit."

Watts said, "To manage one's FICO score well, a person should use credit moderately so that each monthly billed amount is low compared to that account's credit limit."

So, we can safely advise people that it never makes sense to carry a balance on their credit cards. Use cards for pre-planned purchases, use a relatively small amount of your available credit limit each month, and be sure to pay the balance in full by the due date.

Another common question has to do with credit counseling agencies. Watts said working with such an agency does not impact a person's credit score. However, such information may end up on a person's credit report where lenders can see it. "Whether and how the lender responds depends on the lender and the situation," Watts said.

More information about credit scores is available at www.myfico.com.

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Market Indicators

Volunteering in America

As mentioned in this month's News You Can Use, a new survey shows that 27 percent of Americans do volunteer work. The charts below show a breakdown of volunteers by gender, whether they live in urban or suburban areas, and age.

One surprising finding is that busy people tend to be more likely to volunteer. This is reflected in the second chart, which shows that people in their prime earning and family-rearing years tend to be most likely to volunteer. Researchers at the Corporation for National & Community Service, which conducted the research, say it can be partly explained by the impact that "social capital" has on volunteerism. In other words, the more engaged people are with others the more likely they are to engage in volunteer activities, whether volunteering in their children's schools or at the invitation of a work associate.

One implication for stewardship ministries is the importance of building a sense of community within our stewardship teams. Much of our ministry activity happens between a volunteer and someone being served by the ministry. That's why meeting as a team on a regular basis is essential if people are to feel connected and if team members are to be retained.

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Ministry Builders

Developing and Pursuing A Vision For Stewardship

In this month's column Dick challenges us to develop a vision for stewardship ministry that goes beyond just helping people with their money. That vision can be unique for each church depending upon your church's mission and how it interfaces with issues like poverty, the environment, etc.

To help facilitate your envisioning process, below are some tips from a Bill Hybels' message dealing with how to effectively communicate a vision.

• Embody the vision – it will inspire others and personify its values.
• Do one-on-one vision casting – ask others to join you in the vision and do it from the position of authority you may have.
• Cast the vision publicly – do it with precise language and with great clarity.

As the vision is cast publicly, here are some additional tips.

• It is key who delivers the vision – it needs to be a leader
• When is important – at key times of the year and do it often, as vision leaks.
• Keep it simple – focus on the main thing, deliver it creatively, and make it crisp, inspiring and repeatable.

Developing a vision and faithfully pursuing it can alter a church's direction. Life Church in Greensburg, PA has such a story. With a vision to reach the un-churched and those far from God, it concluded that being housed in a traditional church building in town was not user friendly.

So its leadership changed the church name to reflect its vision of extending life to all people, adopted a new logo, sold its existing building and began renting space in a movie theater in a suburban mall. That was some years ago and as ministry has grown it is now preparing to build its own facility to further realize that vision.

We short change the core discipleship role of stewardship when we don't bring the same leadership intensity to it that other ministry areas receive.

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Resources