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The Trouble with Home Warranties

MoneyWise / Rob West and Steve Moore
The Truth Network Radio
February 25, 2021 7:03 am

The Trouble with Home Warranties

MoneyWise / Rob West and Steve Moore

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February 25, 2021 7:03 am

You may be looking to buy peace of mind with a home warranty to cover appliance and system repairs.  But are those policies worth the investment and do they really deliver on their promises? On the next MoneyWise Live, hosts Rob West and Steve Moore have the “low down” on those warranty offers. Then they’ll take your calls and questions on any financial topic. It's the trouble with home warranties on the next MoneyWise Live at 4pm Eastern/3pm Central on Moody Radio.   

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Hi this is Doug Hastings, VP here at Moody radio and we have a unique sponsor for this podcast it's united faith mortgage the faith focused mortgage team with a very specific advantage that can save families money. Here are two things you need to know number one united faith mortgage was started by a dad and his son and his wife and they've grown into a team helping families all across the US and number two, they have unique advantage. Their company is an arm of a bigger company, which is a direct lender meaning there's no middleman. Their company uses its own money and makes its own lending decisions within its own walls. Again, no middleman, and often this allows them to get you a better rate on a new home purchase, refinance, or cash out refinance which could save you money over a lifetime. Check out the faith and family mortgage team@unitedfaithmortgage.com and that if he is a DBA of United mortgage Corp. 25 Millville Park Rd., Millville, NY. Licensed mortgage banker for all licensing information, go to an MLS consumer access.org corporate MLS number 1330.

Equal housing lender not licensed in Alaska, Hawaii, Georgia, Massachusetts, North Dakota, South Dakota and Utah. And if you're looking to buy peace of mind with a home warranty to cover appliance and system repairs will consumer experts say you should may be disappointed and that's almost always a guarantee turn on the radio or TV and you won't have to wait long to hear a commercial about deliver on their promises to find out today hi Rob West, president of Kingdom advisor.

Seymour is off today.

A bit later will take you call Sears number 800-525-7000 800-525-7000. The trouble with warranty that smacks right here on moneywise live well it's a question we get a lot, especially from new homebuyers and that is our home warranties worth money.

I wouldn't say that a home warranty has never come in handy for someone who needed their heating system repaired or a washing machine replaced or in the case of the West household last week. The microwave goes out but home warranty companies do have their satisfied customers. However, there are so many more dissatisfied customer reviews that I don't think they're worth the time personally or worth the trouble or expense. You know, if you just google the question our home warranties worth it. You'll see protect me pretty quickly. In fact, the Washington Post is reported that the nation's largest home warranty company was hit with nearly listen to this 11,000 complaints to the Better Business Bureau in the last three years and that's just one warranty company. So let me give you some of the specific reasons today.

Why, I wouldn't recommend getting a home warranty and then you make the decision for yourself. You know, I think the biggest one is that you probably just don't need one. These warranties usually cost between 300 and $600 a year.

That's a lot of money and it does add up that you're better off putting that money in liquid savings so that you can cover the cost of any needed repairs or replacement yourself that you are one of the biggest selling points points for a warranty is a piece of mind.

Well, you also get peace of mind by having an adequate emergency reserve. Then there are the limitations you know customers tend to think they're buying a blanket form of insurance that covers just about anything that breaks in the home. But that's just simply not the case. Typically these contracts are quite specific, covering major appliances in heating and cooling systems, and not much else. But a lot of things can go bad in a house so the list of things not covered by the typical home warranty is long.

Indeed, alarm systems, and telephone wiring and plumbing lines outside of the foundation that are damaged. Let's say bite roots or a collapse all on their own. That would be very expensive and here's the thing that's not covered.

Add to that window air conditioners, fireplaces and water pellet heating units. Also, freestanding freezers, garage door assemblies, hot tubs, and piping for wells, none of which are covered by the typical home warranty, but there are other reasons that I would put forward the consumer. Experts often advise against buying a home warranty and that would be a very common complaint which is that even when the company agrees to repair an item they will often require you to use their technicians and the work is often that not what you might expect, so I would encourage you to read the complaints online and you might see that a homeowner was required to pay an additional 50 or $75 to the contractor just for showing up and then the problem doesn't even get fixed or if an item is replaced.

It's often with the least expensive appliance available. I consumer experts Clark Howard right here in Atlanta where I am. He posted a few of these horror stories recently when he mentioned a few one man wrote that he had a leak at the base of the toilet that was sleeping under the vinyl floor. Now he calls repairs and when the technician shows up. He refused to do any work because the leak get this wasn't visible on top of the floor. But he still charge the hundred dollars for the service call.

Then there was another story. Clark mentioned the customer bought a condo and not long after the water heater failed. She says that warranty company replaced it with an inferior product and she was still charge $600 for various tax aspects of the installation that weren't covered by the warranty. Safe to say she didn't renew when the term expired. So again I'm not saying that it's impossible to have a good result with a home warranty but the preponderance of evidence suggests that you probably won't in the bottom line is this, you can ensure your self by having an adequate emergency fund saved up, you'll have the peace of mind that comes with it and you'll probably be money ahead in the long run.

I hope this is helpful at your calls are right around the corner 800-525-7000 800-525-7000. I'm Rob West were delighted to have you on moneywise live and look talking to you.

Just a moment. Ever so glad to have you back with us today on moneywise live.

I'm Rob West Moore has the day off today.

Looking forward to taking your calls and questions.

Here's the number 800-525-7000 each day on moneywise live week dive deep into God's word to uncover his truths about how you can manage his money with the decisions that you face each and every day. So a wide range of topics is on the table. Whatever's on your heart and mind. Today, we'd love to tackle it, whether that's giving saving and investing. Whatever it might be, will search God's word and to see if we can give you some practical help. Again the number with a few lines open 800-525-7000 we go first today to Wisconsin and welcome candy to the broadcast hi Candy very well thank you for calling. How can we help their for accidental life insurance field representative for many years and so I did a lot of driving and so I purchased it at $24.05 a month, but it I'm wondering if I should keep that I have to travel quite a distance to my mom once a month and it in on adjusting case not happened.

At least my family will be taking care of but I don't know if it's worth it, keeping it or not yet slow. I realize that accidental death insurance can be inexpensive and what you're describing certainly is. I think that the real challenge with these types of policies which often exist as riders to other policies is that they can be quite limited in what they cover.

So there's a very specific list of exclusions and stipulations as to how the benefits of the death benefit would be paid out or the policy would be paid out based on triggering events, which often times make them just not effective.

Really not worth having. As an additional insurance. For example, if you're injured in an accident, but then passed away weeks or months later, there would be need to be proof that you died as a result of the injuries of the accident, and again long list of other stipulations. So I think the first question can you were talking about life insurance is first of all, do you need insurance.

Is there somebody counting on you for provisions such that if you were to pass away there would be a hardship created on for someone else because there depending upon your income were there depending upon your support in the cave case about a lifelong dependent. Usually when we have a special needs situation something like that. So tell me a bit more about your situation and whether life insurance is necessary and if so, for what purpose had to retire early because of injury and over the years I broke my back twice had a heart attack in January but I like I said I been driving a lot and I still volunteered driving for other people so that's why I was taking on that that insurance that accidental life when it is this would be hundred thousand for myself.

50,000 for my husband if he was also in the vehicle or whatever.

But if we were like let's say playing a train or bus, and we died in an accident or if we lost Lynn Orellana, Mike and I and an arm or whatever the case may be, then it would be they would pay for that and it would be $500 and for me, and 250,000 for my husband if we were on one of those public things gets well against it's very specific as to where the benefit is paid down and I think the first question is do you have the proper amount of just pure life insurance and I realize that may be a bit more costly because of the health issues that you had in the past, but it's still something I would look into if you don't have a base life insurance policies. I would tend to recommend term insurance which is pure insurance you're paying just for the death benefit.

The ideas that you don't ever collect on it.

You're paying for that mortality expense so long as you're continuing to work and save the idea being that you get to a place in your life are you no longer need because you and your husband as you work and save and live well within your means and pay down debt eventually will get to the place where God redirects you in a retirement season of life to his next calling which may or may not include income and you would be living off of Social Security. Other income sources and your savings so you no longer need insurance so I would look first before some sort of accidental death and dismemberment policy first to do. I have the right amount of life insurance of the Lord calls me home and my income goes away. My husband has what he needs to continue to get through those working years to save and pay off the house and do all the things that you would be doing and then if you have some extra funds on top of that, you could certainly add some of these other riders like this policy you're describing for very specific situations or something that Kino covers a cancer policy or some of those other credit add-ons that just give you added peace of mind. So I'd start there and it sounds like you could really benefit from that session with a financial planner just to look over your total financial life. Make sure you do have all of your appropriate risks offset to the best of your ability as a steward of God's money, and you could find someone there in Wisconsin.

A certified kingdom advisor to help you do that, but generally speaking, that would be my advice related to the insurance and we appreciate your call very very much, but let's take out one more call before our break we had now down south to Alabama and welcome Charlotte welcome the wise life taking my call. I wanted weigh in on the home warranty. Okay, we were talking about. Yes, I am an estate broker and often I will buy a home warranty at the closing For new homeowners and a word to the wise. There are good companies and their bad companies and even better the bigger, biggest one.

That means that the best and there are those warranty that you can purchase that will allow you to select the workman.

The company you know you can collect your own and I have found that that first-year homebuyer that warranty is wonderful, and especially if something major like the heating cooling unit that about that money that I don't necessarily have. But it did here though homeownership that $500 hundred dollar caught can be well worth it.

If you read the fine print. Okay, so what you were choosing the companies you use on his reputation, but also the flexibility Charlotte to be able to choose your contractors that really the primary driver and in the policies you're choosing for your customers very rural area and not find the name brand carpet company barely yet likability factor.

It is the main thing that caught me very good. I love it. What I think that's a great counsel. I appreciate so much you are calling in with your suggestion today and I think you know, as you said, you gotta do your homework you want to go in with your eyes wide open, knowing not only what are the reviews on this but can I use my own contractors and that'll make a big big difference checked out the moneywise app yet. If not, check it out in your app store today.

Search for money was biblical financial back with more of your questions right after this. Stay with mother back to moneywise live on Rob Laster hello Steve Moore has the day off today. Looking forward to hearing from more of you as we take calls and questions were home across the country and hundred 525-7000 is to call. Have you thought about the fact that God owns it all yet that's right, we are stewards or managers of God's money ensures the implication that we have a high calling God has entrusted us with a significant responsibility. You and I are caretaker of the creator of the world's resources, which changes everything about how we approach his money and really should lead us to the question, Lord, what would you have me to do as I manage your money will that's the question were to be asking and answering today as we take your calls here on moneywise live looking for God's word for answers about today's financial decision and with one of those questions or comments. We go right down into the Miami Florida, just south of where I grew up in Fort Lauderdale. Welcome Michael to the broadcast, you're on moneywise live on very good, thanks. Thanks for calling me.

I was feeling like you know some time. When it comes to the warranty people or even the example you gave earlier about the service providers the people on the way you look at people try to cut corners. What it money and be lazy, whether in any treatment. Doctors and lawyers whatever sometime I went to school just for the money.

They don't care about people so I'm glad to have Better Business Bureau and Google reviews and stuff like that make people accountable. Accountability is a good thing right now in Washington on a church is a lot of people care about accountability, when it comes to certain things so certainly a lot more transparency now Michael and I think that's a good thing. You have a question or was it just a comment today.

The question what I been a trick question because I've got a I was downloading with the answer. I cannot figure out answer myself and just accountability. You know what I can ask by how can you pregnant or prevents other people and yourself and want do those things in. They have these mechanisms for you. Now that's a great point, you know, I think you bring up a great idea and that is the Better Business Bureau's one although they were caught in a scandal. In recent years for not calling out businesses that were paying dues to the organization certainly can't hurt. If you are not treated properly by a contractor anybody in a servicer of the another profession to be able to file a complaint, certainly can't hurt.

I think a lot of folks are finding that social media can be more effective in giving honest and legitimate reviews of the company and even getting a response to your complaint which companies are more and more apt to do these days, and then writing a review on sites like yelp and TripAdvisor can be effective as well letting other folks know about negative experiences that you've had as believers, we always want to be honest and aboveboard, not in any way manipulate people.

But obviously let them know if we are not satisfied with the service so they can respond and do something about it.

But Michael, we appreciate your call today and we have just a couple of lines open so if you'd like to get in on the conversation today, we'd love to hear from you on moneywise live the number 800-525-7000. Let's go to guy Glenn and Valparaiso, Indiana. Go right answer all yes or retired. While there might right clear what you feel up by or we were thinking of relocating my wife on upgrade on or relocate and I'll find out what $350,000 and without a big tax cut out of it but will be able to use it for a better yeah yeah there really isn't because of your drawing money out other retirement account at work.

Glenn is to be treated as taxable income.

If you're not yet 59 the have to be 1/5 pin, a penalty should say 10% penalty associated with that so that's can be fairly expensive money for you to be able to access, which is why we would tend to recommend that you leave that alone there will be a time and a place for taking that out either as a lump sum or as an income stream for life, depending upon what other income sources you have and how it can be a best be positioned as a somebody who's so been in service to your country through the military. You've got obviously a great retirement program there with wonderful benefits that will be there for you as well so it sounds like you'll be in a really a great spot.

I think as you look to this next season of life. If you feel like the Lord is leading you and your wife to relocate.

I would look at upgrading that home out of current cash flow.

Keeping your lifestyle to minimum trying to save up for additional money toward the home. In addition to the proceeds from your current residence and then just make sure any resulting mortgage that you have fits well within the budget so I try to avoid pulling out large amounts of money for retirement because of the reasons that I mentioned, but we appreciate your service to our country certainly appreciate your call on the broadcast today. Thank you very very much. You let me say how thankful I am for each of you that call into this program. Each and every day you invite us into your stories into your life into your situation and were grateful and we get to celebrate with you, and I think that is so key we think about how we are using God's money. We want to celebrate God's faithfulness in his activity in our lives so often we think there were working hard where the reason that we are generating this income. And remember, the Bible says it's the Lord that gives us the power to make well and so as we work with our hands as under the sun. As unto the Lord, and he provides provision well we celebrate that we look to give back to him and honor him in all that we say and do. They just after this break would back with many more of your calls and questions on moneywise live stay with us listening to moneywise live on West Timor has the day off today with glad you joined us.

Looking forward to talking to Bernie. David Wendy in just a few moments today. We've already covered home warranties. Talked about retirement. We talked about how we handle God's money in a variety of situations.

Next up, let's talk about cosigning in debt and to do that were to go to Illinois. Welcome Martha to the broadcast Martha you're on moneywise live. I am planning to sell mine. I buy some sort.

There I got a cosigner for my grand $10,000 to be able to just pay for this Presidents' Day move into in Iowa but I don't care if I can't wellness student getting away a good for myself. Well, the answer Martha. Is it may, but it also may not, let me explain, it's not the act of cosigning itself in the case of a student loan or any other debt that can affect your credit. It's the amount of the loan and then the payment history that follows that will really have the score or ever have the impact on the credit score. See you're taking on the debt just as much as the primary signer.

In this case the student and that can impacting impact what's called your revolving utilization. So the student loan is a revolving type of debt as and EL with this type of utilization were looking at anything that's above 30%. What impact you and if there's ever a missed payment. Of course, that negative payment history would affect you as well.

So you just need to make sure that the payments are on time otherwise. That will hurt your credit score which payment history makes up the largest percentage of your credit score 35%.

You know, I think the bigger issue.

Martha is just understanding what you're committing to go the reason the Bible is pretty clear on not cosigning is because you we see the relational and financial damage.

The just often occurs following the best of intentions were people going in to a cosigning situation. The Bible says in Proverbs 17, one who lacks sense gives a pledge and puts up security in the presence of his neighbor. Proverbs 11 King Solomon again.

Whoever puts up security for a stranger will suffer harm.

Now, does that mean that was the wrong decision. No, I think it's just a warning to say let's be careful before we go into this year, the Federal Trade Commission says that 50% of the time when we cosign on another's behalf because they can't qualify themselves. The party that's cosigning will have to step in and either make the payments or suffer the consequences from the negative credit when the payment is missed. So I think you need to understand that. Be ready, willing and able to step in if your child at the appropriate time when they have to start making payments even outside of their control are unable or is unable to make that monthly payment and then secondly just recognize that the debt that was taken on is going to be factored into the overall ratios that the lender will look at on your behalf as they're evaluating your credit worthiness. Going into this loan so that perhaps the next step would be to talk to a mortgage broker or your bank, you don't necessarily have to let them pull a credit report until you're ready, but just to get the prequalified yelled to understand based on your current situation. This new debt that you're taking on the form of student loan.

What impact might that have on your ability to qualify with the most attractive terms. Interest rate the best loan programs out there which clearly you're going to want to have.

So I do that as a next step in that if you have any other questions along the way, don't hesitate to give us a call. We appreciate you weighing in today, let's go now to Chicago, Illinois. The Windy City welcome Bernie to the broadcast hello sir, you, Sean and I learned so much from you guys in the past. I just want to say thank you for bringing together the show out vertically, equipment needs a home in the home-improvement store credit cards and a zero balance and there is no probably feel anything but you just don't use it for a long time what what happens hurt your credit to close itself out there.

Yeah, couple of things there. Regarding the second part first could it be closed because of inactivity and the answer is absolutely yes. And so, if you're wondering whether it might be close based on an activity you'd want either check the the documents the fine print if you will that you received when you open the account or request that we could simply place a call to customer service to find out how your card handles that because each one is slightly different as to whether or not it will affect your credit. Obviously it's not having a negative impact on you, to the extent that there is not a payment that's being missed because you don't have a balance as long as it's a zero balance that piece of it is fine. It's not affecting your credit utilization because there's a certain amount of credit that's been extended to you on the card and as long as you're not using any of it that's causing your credit utilization to go down. Perhaps the only negative to keeping it open. If you don't intend to use it in with those store cards. I'd recommend you don't because the interest rate is typically very very high.

The only negative is just that it's one more account you need to stay on top of every month because even if you're not using it.

In the event it was compromised and used fraudulently.

You would want to identify that by seeing that on the monthly statement so that a it doesn't create problems with your credit report because you're then not paying back a charge that you didn't know about because you didn't charge it and be you just don't want to be responsible for that amount at the end of the day and so I think from that standpoint, it's a bit of a hassle just to stay on top of it. So from that standpoint, I'd probably go ahead and close it out.

Make sure you call them first then send a letter and then you don't want to get confirmation that it was in fact closed. I didn't pull a credit report annual credit report.com at least 30 to 60 days after to make sure that that was updated on your credit report.

We appreciate your called one more call before the break we had down south to West Palm Beach Florida and welcome David to the broadcast credit. This is all we have bearing and if we scrape up we'd be able to help the home. The thing is that we have a kid at that efficient college and I know it is about college and we would have to reduce our emergency fund sound like four months.

About two months in order to pay off the home. I'm not sure if that's what that stretch or if we should hold off are you living within your means, including perhaps the added cost that you will take on with the cost of college.

Do you have that covered in the monthly budget Marlette but you have right out and out right. Well it is long as David you don't see anything on the horizon. It's going to cause a disruption in your income and I realized none of us know for sure we have our income in our provision based on God's providence in our life and his provision because that's his role as provider but to the best of your knowledge. If you don't see any disruptions coming you're not in self-employed in an industry that's been impacted by cold and/or you have the risk of hours being cut meat of all of that seems secure and you're telling me I'm in a go from four months of reserves to two months of reserves, but I'm to be able to completely pay off my mortgage in the process and then I'm in a take that mortgage payment every month and not do a thing with that, apart from build that emergency fund back up to where it was and perhaps even hired a six months. Over time, if all those things were true, David. I'd say you go for it and live with the peace of mind to know that you have the flexibility of being unencumbered to respond to the leading of the Holy Spirit to have more margin in your life. I guarantee you I'm not getting a call from you next week or next year, saying I wish I didn't pay off that how close you and your wife is thrilled. Thanks for your call today to take a short break.

We come back more of your questions and comments right here moneywise on back to moneywise live on Rob last Steve Moore has the day off today. Have you thought about the idea that one of God's big ideas as it relates to his money that we have the privilege of managing is this idea of contentment that we see it to at least five times in the Bible that we are to be content with what God has provided.

That means we are learning as the apostle Paul says, because were not born with is naturally were learning to live within God's provision say Lord what you provided for me today is enough and I'm gonna live well within that and thank you that you've given me 2300 verses on money and possessions. All of these principles in God's word that I can apply to my financial life so that I can be a faithful steward of what you entrusted to me and it's not always good to be easy and sometimes I wish I had a little bit more but I'm willing to accept your provision and live within that and that's called contentment and it's a journey for all of us but that's our desire and prayer for you is that you would be able to experience that.

And that's part of what we're after here moneywise live each day and we have room for one or two more phone calls today with a couple lines open the number 800-525-7000. Let's go to Canton Ohio and welcome Wendy to the broadcast windy on moneywise live Rob I love you so much and we live by the rituals of God's love that he and Jill built some big glassy commuters in my daily friend and he also saved us a time, money is elastic free for quite credit or question I have chewable is when it is gravity empties him to see credit amnesties. Yeah, I basically windy and thank you for your kind remarks.

Some lenders, especially those in the auto industry may offer or what's called a credit amnesty program for potential buyers with low credit scores so amnesty in this case would refer to, essentially, a pardon from a poor credit score. Since amnesty means pardoned in the formal sense because of credit amnesty mean certain lenders are just willing to look past your poor credit and approve alone. Now why would they do that well in exchange for doing that. They get to sell their products. In this case maybe move the car on the lot but you are going to pay the price for that because if they're offering credit amnesty there often going to charge you the highest interest rates and extend the term longer than they would with other borrowers and that means you'll be paying a lot more in interest than you would if you had a high credit score. So I would say if you're taking a credit amnesty program. I would ask why you need to and if it's because you have poor credit. What you need to do to shore up your financial life. Perhaps save a bit more before you make this purchase.

Perhaps pass on this and and live with what you have and continue in the case of a car repairing it and it may not be a carbon I'm just using that as an example so that you don't put yourself in a situation where you're paying an exorbitant interest rate over a long term and therefore gonna pay a lot more in overall interest throughout the life of the loan.

By the way within the credit amnesty program. You often have to provide personal references and in some other stipulations there as well so I hope that's helpful to you, Wendy. What was the second party or question my question Rob is when we have electric company we deal with American electric or hearing can an APN nurse send in the other competitors are name and we went to know how that can be stopped because he got down all these companies once you here. Is it real annoying know I totally get that. Well I think you know one thing you can do although there's can be mixed responses on what folks say as to the effectiveness of this but you can certainly add your name to the national do not call Registry. I think that be something that you know could be fairly helpful in a situation like this on the web you go to, do not call.gov or you can go to AAA 321222. That's 888-382-1222. You can also write a letter to the company. You might even want to address it to the president of the CEO who knows what could get someone's attention. You could also leave some information on social media and see if if there active on social media, they may respond and be willing to do something about it because they don't want others to think that that they're not being responsive to your request to stop soliciting you so I give those a chance and see if they can't work for you and Wendy you been very gracious and kind in your remarks today. We appreciate you listening and thanks for calling today as well, back to Illinois Barb you're on moneywise live go ahead and kill my question.

General Christian principle that I'm trying to not get too much into specific think it would get complicated.

My question is my husband and I are in our early 60s and we have some adult children that we did our best to innovate in the ways of the Lord and finally gave banks that were divided up into sharing saving and spending another word we taught them to try and then also save and then also have some for sending Wheatley try to do the right thing.

Now I'm an adult age and we still had to help them out from time to time. In all honesty, I think sometimes there's been misfortune that were there doing the plane but at other times I think there's been some there been some foolish and unwise decision gone against your advice and near to the point where they're actually starting to crumble over well wanting especially.

Ironically, the believer, the one who is a believer starting at everything be equal. In other words, everything that we've done for one needs to be done for her might. My one statement that I asked to comment by your financial advisor about heat. Use this phrase. I'm wondering if you take that long. Love your children equally treat them uniquely sent what he was trying to say if you don't necessarily care that Penny you don't have to spend the exact same amount. Your parental and godly wisdom. Wisdom is here that well I can and I suspect you are talking to a certified kingdom advisor because that phrase you just said was originated in Ron blue's book splitting hairs not splitting hairs, but splitting errors and it's the best book out there, Barb.

From a biblical perspective on how you establish principles on wealth transfer from God's word and by the way, when were done here today.

I want you to stay on the line, my producer, Deb is good to get your information where to send you a copy of that book splitting errors that I think will be a real blessing to you as you try to navigate these issues but yes II think that's exactly right that principle from Ron blue that if you love your children equally. You will treat them uniquely and that often runs counter to what we believe as maybe I'll say Americans because we just don't feel like that's fair. And yet if you think about it. Your last stewardship decision is to decide is the next steward chosen and prepared and those two things are very important you all in and of themselves, and we recognize that our kids are at different places financially different places, spiritually and even though the idea of inheritance is affirmed in Scripture Proverbs 1322 a good man leaves an inheritance to his children's children. The idea that we would think intentionally about how is this money going to affect first of all, their relationship with the Lord and a child who is making poor decisions, perhaps living a reckless lifestyle. Or maybe it's not that bad. Maybe they're just not quite money savvy yet dropping a lot of money in their lab could be the worst thing to do in terms of their ultimate relationship with the father and just the decisions that they're making, especially in the case of children that are making poor choices regarding drugs and alcohol and and things like that and so I think we have to approach each one separately to say how do we want to handle the money that God has entrusted to us who is the next steward and remember there's only three possibilities. The government ministry or charity and your errors. Write your children or others that you would want to leave the money to and so I think deciding in advance how you want to approach that based on what you know today about where they're at and that will change over time as should your estate plan change over time, being prayerful about that. And then as you make those decisions, communicating that clearly so that's not a surprise, so they understand it, but I also think there are certain cases where you would want to not cut the child out of the will. Maybe they're not living a reckless lifestyle, but they just haven't come to the Lord. Yet and you pulling them out may in fact drive a wedge that would make it perhaps more difficult for them to accept the claims of Christ.

So I just think you've gotta be really thoughtful asked the Lord for wisdom. James 15. If we lack wisdom, we should ask the Lord to give it to us and then communicate very clearly in the recommend recognize your estate plans need to change over time, so I want you to read this book, splitting errors that were to send to you and then if you have further questions. I want you to call us back and we can talk about it in a one more thought.

One great thing would be to take a portion of that money that God has entrusted to you.

That's beyond what you need to live on and put it into a donor advised fund and get the boys the kids to start helping you give it away now so you can model and teach how we should handle God's money. Hope that's helpful to you, Barb. We appreciate your calling today. May the Lord bless you and the days that you stay on the line and folks that's going to do it for us today as we begin to wrap up going to say thank you for being a part of the broadcast today. Thank you for your call show as we think about the responsibility we have the stewards of God's resources. It's a big one and we want to be found faithful.

We want to handle God's money wisely.

We wanted to do it in a way that honors him.

We want to be grateful you know what I think gratitude is so key.

If you've not started a gratitude journal.

Perhaps that's your next step. Maybe just take a few moments each day to just jot down what it is you're thankful for and recognize all that you have not what you don't have a what you have.

Starting with God's love story to you, which is the fact that he sent his son Jesus to die for you and then come back and join us tomorrow will be back. Steve will be back with another edition of moneywise live moneywise is a partnership between Moody radio and moneywise me see tomorrow


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