In Season 1 Episode 7 of ‘Where Your Treasure Is…’, Simon and Bex continue to explore the theme of ‘Negative Money’, a term used by Simon to prompt us to think about various kinds of debt and borrowing that can be part of our financial experience these days.

Some key points of interest covered in this episode include the following:

• Initially, a quick recap of Part 1 of this topic is provided. [01:02]
• Some points to consider regarding bank overdrafts are put forward. [02:49]
• When discussing credit cards, it is acknowledged that they can be useful, but Simon suggests that they should be treated with caution and an awareness that they can prove problematic if they are not managed carefully. [04:37]
• Bex and Simon talk about various kinds of loans, and issues associated with them, [09:14] before Simon goes on to remind listeners of the two key questions to ask when considering the possibility of taking on any kind of debt. [11:31]
• Specific points relating to student loans are considered. [12:33] Simon highlights the fact that we are our own most valuable financial asset (because of our ability to work, earn money etc), so it can be a “good debt” to invest in our education, health and personal development. [14:51]
• Bex asks Simon about “buy now, pay later” arrangements (including those offered online by Klarna) and whether we should consider them to be good or bad debt options. [17:06]
• Simon talks about ‘snowballing’ approaches to paying off multiple debts. [19:56] If, however, attempts to manage debt are unsuccessful, very helpful information and advice can be provided by Christians Against Poverty and Citizens Advice [23:35]
• In next week’s episode of ‘Where Your Treasure Is…’, the topic under discussion will be ‘Financial Planning for Key Life Stages’. [24:30]