What Does the Bible Say About Borrowing?

The Bible provides guidance on financial dealings, including borrowing and lending. Understanding these scriptural principles helps individuals align their financial practices with biblical teachings. It offers insights into the nature of debt and the responsibilities of both borrowers and lenders.

The Biblical Perspective on Borrowing and Debt

The Bible often presents borrowing and debt with caution, emphasizing potential pitfalls and negative consequences. Proverbs 22:7 states that “the borrower is servant to the lender.” This highlights the dependence created by debt, where the borrower’s financial decisions become subject to the lender’s terms. This can restrict financial freedom, limiting control over resources and hindering capacity to serve God or others without financial encumbrance.

While not forbidden, debt is depicted as a condition to be avoided or approached with prudence. Scriptures encourage reliance on God’s provision rather than human lenders. Financial needs are ideally met through diligent stewardship, wise financial management, and faith, minimizing burdensome obligations. The Bible views all possessions as belonging to God, making individuals stewards of His resources to be managed wisely to avoid perpetual debt. This principle underlines the importance of financial discipline and living within one’s means to maintain financial liberty and avoid the stress of indebtedness.

A biblical warning against “surety” involves assuming an obligation to pay a debt without a clear repayment plan. This includes co-signing loans or taking on non-collateralized debt, where repayment risk falls entirely on the borrower. Such actions are seen as presuming on the future and can lead to financial distress if circumstances change. God desires His people to be free from such financial burdens, enabling them to serve Him without the pressure or distraction debt can impose.

The Borrower’s Biblical Responsibilities

When an individual borrows, the Bible places clear expectations, primarily emphasizing repayment. Psalm 37:21 states, “The wicked borrows and does not pay back, but the righteous is gracious and gives.” This passage distinguishes between righteous and wicked behavior based on fulfilling financial obligations, indicating that failing to repay a debt is a serious matter of integrity and obedience. Borrowing creates a solemn promise, and the Bible upholds the sanctity of promises and agreements.

Repaying debts is a moral and ethical commitment in biblical teaching. It reflects honesty, trustworthiness, and a commitment to one’s word, which are core virtues. The spiritual implications of keeping financial promises are significant, demonstrating faithfulness in managing resources and honoring agreements. This responsibility extends beyond legal obligation, touching upon one’s character and witness in the community.

The Bible encourages borrowers to make every effort to repay, even if circumstances become difficult. This may involve making special arrangements with creditors or finding alternative means to fulfill the obligation. A debt, once incurred, must be honored, reflecting respect for justice and mutual obligation. This diligent effort aligns with the biblical call for individuals to be good stewards of their finances and to live responsibly within their means, avoiding dishonor.

Prior to entering into debt, a borrower should plan for repayment, ensuring the commitment is feasible and not based on reckless presumption. This prevents situations where repayment becomes unduly burdensome or impossible, upholding the borrower’s responsibility and mitigating potential financial distress.

Biblical Guidelines for Lenders

The Bible provides specific guidelines for those who lend money, emphasizing compassion and justice. In the Old Testament, under the Mosaic Law, there was a clear prohibition against charging interest, or usury, when lending to fellow Israelites, especially those in need. Exodus 22:25 instructs, “If you lend money to one of my people among you who is needy, do not be like a moneylender; charge him no interest.” Leviticus 25:35-37 and Deuteronomy 23:19-20 reinforce this principle, stating that interest should not be taken from a “brother” for money, food, or anything else lent for interest.

This prohibition on interest among Israelites was rooted in the communal relationship, reflecting God’s mercy and concern for the poor. The intent was to prevent exploitation of vulnerable community members and foster mutual support. “Usury” in this context referred to any interest charged, not merely excessive rates as the term often implies today. This prohibition did not always apply to lending to foreigners, indicating a distinction based on the covenant community.

In the New Testament, the emphasis shifts to broader principles of generosity and love, extending compassion to all. Luke 6:34-35 encourages lending “without expecting to get anything back,” reflecting God’s benevolence. This teaching moves beyond legalistic prohibitions to a heart attitude of selfless giving, particularly to those in need, fostering trust in God’s ultimate provision rather than human repayment. Proverbs 19:17 highlights the divine reward for those who lend to the poor.

These principles underscore the biblical call for lenders to embody justice and mercy in their financial dealings. While legitimate lending with fair interest rates is not condemned, the overarching theme is to avoid oppressive practices and prioritize the borrower’s well-being, especially the vulnerable. This approach ensures financial transactions reflect God’s character and promote a just society, preventing distress from exploitative lending. Lenders should consider the human impact of their actions, demonstrating patience and understanding when a borrower faces unforeseen difficulties.