What does the Bible say about debt?
The Bible offers wisdom on managing money and possessions, and it addresses the topic of debt from several angles. While it doesn't forbid borrowing or lending, it consistently encourages financial prudence, warns against the dangers of debt, and emphasizes responsibility in fulfilling financial obligations. At its heart, the biblical perspective on debt is wrapped up in a larger call to live wisely, trust God’s provision, and love our neighbor.
The Bible encourages financial prudence, warns against the dangers of debt, and emphasizes responsibility in fulfilling financial obligations.
Debt is a Form of Servitude
One of the most direct statements about debt in Scripture comes from the book of Proverbs: "The rich rule over the poor, and the borrower is servant to the lender" (Proverbs 22:7). This verse highlights a fundamental truth about debt: it places the borrower in a position of subservience to the lender. While not inherently sinful, this dynamic can limit one's freedom and choices, potentially hindering one's ability to serve God and others as freely as they might wish. The New Testament also implies a desire for freedom from such entanglements, encouraging believers to "owe no one anything, except to love each other" (Romans 13:8).
Prudence and Planning
The Bible consistently promotes wisdom, foresight, and careful planning in all areas of life, including finances. Jesus himself speaks about counting the cost before embarking on a project: "Suppose one of you wants to build a tower. Won’t you first sit down and estimate the cost to see if you have enough money to complete it?" (Luke 14:28). This principle applies directly to taking on debt. It's wise to assess one's ability to repay before borrowing, considering potential future hardships and unexpected circumstances.
Indeed, the Proverbs are replete with calls to diligence and warnings against idleness and folly, which often lead to poverty and, by extension, the need for debt. "Go to the ant, you sluggard; consider its ways and be wise!" (Proverbs 6:6). This emphasis on hard work and thoughtful planning provides a foundation for avoiding unnecessary debt.
The Importance of Repaying Debt
If one does incur debt, the Bible is clear that it must be repaid. "The wicked borrow and do not repay, but the righteous give generously" (Psalm 37:21). This verse draws a stark contrast between those who ignore their obligations and those who honor them. Repaying debts is presented as an act of righteousness, a demonstration of integrity and faithfulness. To default on a debt, particularly when one has the means, is seen as a serious breach of trust and a moral failing. The New Testament similarly upholds the importance of fulfilling all obligations, including financial ones (Romans 13:7).
Lending to the Poor
While the Bible discourages taking on debt, it also presents a nuanced view on lending, particularly to those in need. In the Old Testament Law, there were specific provisions regarding lending to the poor among the Israelites. For instance, Exodus 22:25 states, "If you lend money to one of my people among you who is needy, do not treat it like a business deal; do not charge him interest." This was an act of compassion and mutual care within the covenant community. Similarly, Deuteronomy 15:7-8 encourages generosity towards the needy: "If among you, one of your brothers should become poor, in any of your towns within your land that the Lord your God is giving you, you shall not harden your heart or shut your hand against your poor brother, but you shall open your hand to him and lend him sufficient for his need, whatever it may be."
These passages highlight that lending can be an expression of love and support, especially when done without exploitative interest and with a compassionate heart. However, it's important to differentiate between charitable lending to the truly impoverished and commercial borrowing for consumption or investment. The Mosaic Law's prohibitions on interest (usury) for fellow Israelites (Leviticus 25:36-37) were primarily aimed at protecting the poor from exploitation, not at stifling all forms of commercial lending among nations.
Living Free from Anxiety
Ultimately, the biblical perspective on debt ties into a larger theme of trusting God for provision and living free from anxiety. Jesus teaches, "Therefore do not worry about tomorrow, for tomorrow will worry about itself. Each day has enough trouble of its own" (Matthew 6:34). While responsible planning is commended, an excessive reliance on future earnings through debt can create significant anxiety and distract from one’s spiritual walk. By seeking to live prudently and avoid unnecessary debt, believers are better positioned to experience the freedom and peace that come from trusting in God's faithfulness.
Bible verses about debt
"The rich ruleth over the poor; And the borrower is servant to the lender."
"Owe no man anything, save to love one another: for he that loveth his neighbor hath fulfilled the law."
"For which of you, desiring to build a tower, doth not first sit down and count the cost, whether he have wherewith to complete it?"
"Go to the ant, thou sluggard; Consider her ways, and be wise:"
"The wicked borroweth, and payeth not again; But the righteous dealeth graciously, and giveth."
"If thou lend money to any of my people with thee that is poor, thou shalt not be to him as a creditor; neither shall ye lay upon him interest."
"If there be with thee a poor man, one of thy brethren, within any of thy gates in thy land which Jehovah thy God giveth thee, thou shalt not harden thy heart, nor shut thy hand from thy poor brother; but thou shalt surely open thy hand unto him, and shalt surely lend him sufficient for his need in that which he wanteth."
"Be not therefore anxious for the morrow: for the morrow will be anxious for itself. Sufficient unto the day is the evil thereof."
Frequently asked
Is all debt a sin?
The Bible does not explicitly state that all debt is a sin. Rather, it offers strong warnings about the dangers and potential pitfalls of debt, likening it to a form of servitude (Proverbs 22:7). The emphasis is on wisdom, prudence, and fulfilling one's obligations. While it encourages avoiding unnecessary debt, it acknowledges that borrowing and lending situations may arise. The sin often lies not in the debt itself, but in irresponsible borrowing, failure to repay, or an attitude that neglects God's provision and relies solely on earthly means.
What about taking out a mortgage for a home?
While the Bible warns against debt generally, many Christians view a mortgage for a home differently than consumer debt. A home is often seen as a significant asset and a necessity for family life, and few can purchase one outright. Prudent borrowing for a home, where one has a clear plan for repayment and can comfortably afford the payments, can be seen as a responsible financial decision. The key is to avoid overextending oneself, to honor repayment commitments, and to seek God's wisdom in such a significant financial undertaking.
Does the Bible say anything about credit cards?
The Bible does not directly mention credit cards, as they are a modern invention. However, biblical principles concerning debt, stewardship, and consumerism are highly relevant to credit card use. Using credit cards responsibly, paying off balances in full each month, can be a tool for convenience and building credit. However, using them to live beyond one's means, accumulating high-interest debt, contradicts biblical wisdom regarding financial prudence and avoiding servitude to lenders (Proverbs 22:7).
How should Christians approach lending money?
Christians are called to approach lending with discernment and compassion. While the Old Testament Law had specific rules about lending to fellow Israelites without interest, primarily to protect the poor (Exodus 22:25), the general principle is to be generous and not exploit those in need. If lending to someone in distress, the motive should be charity rather than profit. In commercial contexts, fair interest may be permissible, but Christians should always act with integrity, clarity, and avoid predatory practices. The overarching command to "love your neighbor as yourself" (Mark 12:31) should guide all lending decisions.
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