The nature of the sin called usury has its proper place and origin in a mutuum contract. Jerod Frank, a financial advisor and recent Catholic convert, shares his personal journey of grappling with the concept of usury within the context of ethical and moral investing. We answer questions such as should there be limits to profits? Jerod delves into the distinction between mutuum and societas loans, emphasizing the potential for perpetual indebtedness as the defining factor of usury. He also raises concerns about exploitative lending practices and the ethical implications of perpetuating a culture of living beyond one’s means. Throughout the conversation, Jerod’s authentic insights as a recent convert and financial advisor add depth to the discussion, highlighting the importance of aligning faith with professional conduct. The episode provides valuable insights into the concept of usury from a Catholic perspective, offering thought-provoking considerations for investors and financial professionals regarding the moral implications of interest-bearing investments and the broader impact on individuals and society making it a valuable resource for individuals seeking to understand the intersection of finance and ethics within the context of Catholic teachings.
Key Takeaways:
- What is the concept of usury from a Catholic perspective and how does it impact modern financial practices?
- How can the teachings of the Catholic Church guide ethical lending and investing decisions?
- What are the potential ethical dilemmas associated with high-interest lending such as credit cards and payday loans?
- How can investors and financial advisors align their investment choices with principles of human dignity and the common good?
- What resources are available within the Catholic Church to deepen understanding of ethical financial practices?
Key Timestamps:
- (00:00:00) – Introduction
- (00:01:27) – Jarod’s Conversion to Catholicism
- (00:04:34) – Understanding Usury
- (00:08:50) – Issues with Usurious Transactions
- (00:12:42) – Understanding the Distinction of Collateralized Loans
- (00:13:35) – Evaluating the Morality of Interest Rates
- (00:17:33) – Bankruptcy as a Safeguard Against Usury
- (00:19:47) – The Moral Implications of Credit Card Lending
- (00:22:26) – Practical Implications for Investors
- (00:25:26) – Understanding Usury and Corporate Bonds
- (00:26:11) – Old Testament Laws and Financial Ethics
- (00:27:04) – Ethics in Financial Transactions
Key Topics Discussed:
Catholic Financial Planning, Catholic Financial Advisors, Catholic Money Mastermind, Faith, Finance, Usury, Usurious, Ethical Investing, Credit Card Lending, Perpetual Loans, Mutuum Contracts
Mentions:
Website: https://catholicfinancialplanners.com/members/jerodwealthcoordinationpartners-com/
LinkedIn: https://www.linkedin.com/in/jerod-frank/
Resources: https://www.newadvent.org/summa/3078.htm
https://www.papalencyclicals.net/ben14/b14vixpe.htm
https://zippycatholic.wordpress.com/2014/11/1
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