1. What does surety mean?

a. Surety =
• (Strong’s) to make a pledge for; exchange; mortgage
• (thesaurus) security; backing; collateral; guarantee

b. The idea of surety is guaranteeing payment

c. It involves guaranteeing a financial payment; making a pledge to pay;

d. It could be applied to signing a loan for someone today—which means you are guaranteeing to pay if they default.

e. It could be applied to putting up your house as collateral… thus you are guaranteeing that the one loaning the money will not lose out. (But if the loan goes bad—you lose your house.)

f. It refers to any kind of financial pledge or guarantee (with cash or with property)… which serves to make the loan safe for the one loaning the money.

g. You tell the loaner “Your loan is safe; the payment is sure—because I am pledging to you that I will pay if the one borrowing the money does not pay.”

h. That’s the way banks operate. They want their loans to be safe and secure. They don’t want to take huge risks. They look for SURETY… a guarantee that if anyone loses out on the loan it’s not them!

i. Thus, if a loan or business deal goes sour, it is the one who is surety who loses out.

2. What is surety for a stranger?

a. Stranger = a foreigner; a stranger.

b. Solomon is not promoting a fear of foreigners… but the idea is a stranger; someone we don’t know… or don’t know well.

c. Solomon is not saying that it is wrong under all circumstances to sign a loan for someone… or to put up collateral.

d. Rather, he is warning us of the danger of obligating yourself to a STRANGER!

e. Be careful not to enter into such a financial obligation with a stranger.

f. Don’t let a smooth talking stranger lure you into signing something you don’t really want to sign!

g. Don’t let a golden tongued salesman talk you into buying something you don’t need…

h. Don’t let a slick telemarketer convince you to buy a house full of furniture on credit—with no payments until next year… because next year will be here before you know it!

3. But not only strangers… even casual friends and acquaintances.

a. Prov. 6:1 – here he speaks of a friend or a stranger.
• Friend: companion; fellow; fellow-citizen; another person
• Here the term could refer to a close friend OR (which the context seems to indicate) just a casual friend… someone you met at work… or at the gym…

b. Co-signing a note for a friend might appear to be quite generous and kind.
• There may be times when it IS the RIGHT thing to do. (Your son’s first car… student loans…)
» Solomon is speaking about putting your money at risk to help out a third party.
» His warning is: be careful who that third party is!
» If it is a son or a life long friend, that’s one thing.

• But there are other times when it is a FOOLISH thing to do.
» A casual friend at work who fell upon hard times…
» A relative you know is irresponsible…
» A teenager who thinks he needs a brand new Lexus…
» A risky or questionable business deal…
» A total stranger… a salesman knocking on your door.

c. In 6:1-2 – Solomon has in mind a decision that was made HASTILY.
• You struck hands… spoke too quickly before thinking it through.
• Those hastily spoken words could become a snare later on.
• It takes a long time to go to work every day and earn your money. Don’t hastily sign it all away without thinking it through!
• Be careful. We are usually well advised to avoid any business transaction that requires our signature TODAY… hurry up or the offer expires…
• If you feel you are being pressured into a decision—say NO!

d. In 6:3 Solomon implies that the agreement was made out of PRIDE. (He says, “Go humble yourself!)
• Why humble yourself? Because one who enters into such agreements often does so out of pride.
• We like to think of ourselves as big shots… as being well to do… thinking we can handle that… we’re too smart to get taken… I know all about these agreements… no problem for me…
• We might feel important signing a loan for someone else… it sort of makes us feel superior to them… they will look up to us as a hero who saved the day—and won’t everyone think you’re great!
• Then after we enter the agreement, we might discover that we bit off more than we can chew… more than we can handle… that we are not such a big shot after all…

e. Prov. 22:26-27 – Another time when we should not be a surety is when we are NOT ABLE to back up what we pledge!
• If a person (who acts rashly or out of pride) co-signs for a large loan and does not have the money to back it up, he may find himself homeless!
• When you enter into a legal agreement, you are BOUND to keep your pledge!
• If you pledge yourself as a guarantee on a loan, and the person defaults, you are responsible for that loan. If you don’t have the cash to pay it, you could lose your house… or your bed!

4. Thus, Solomon gives some advice when it comes to signing for a loan.

a. He warns us NOT to do it under the following circumstances:
• For a stranger… or a casual acquaintance…
• Don’t enter into a pledge hastily… or out of pressure…
• Don’t do it out of pride (to be seen as the good guy or a hero)
• Don’t do it if you can’t afford it… if you are not financially able.

5. The one who becomes surety for a stranger will SMART for it.

a. Smart = to shout out either in joy or distress (distress here)—or to be destroyed.

b. You might become destroyed financially… ruined…

c. In other words, THINK before you act!

d. Remember that there are consequences to our actions. You could lose your shirt! Or your bed! Or your house!

e. Our country is full of scam artists… clever people who spend all their time scheming up ways to trick you into signing your life away. And once you sign—they’ve got you! Legally, they’ve got you!