What are the Bible's teachings on lending money?

Introduction

The subject of lending money appears frequently in Scripture, revealing guiding principles of compassion, caution, and fairness. These passages address the character of the lender, the terms of repayment, and the protection of the vulnerable. By examining key texts, one gains a comprehensive understanding of how these teachings remain relevant both in personal relationships and within wider society.

Teachings in the Law of Moses

1. Compassion toward the Needy

The Torah sets a foundational tone of mercy and justice. Exodus 22:25 states, “If you lend money to My people—the poor among you—do not be like a moneylender to them; do not charge them interest.” Such guidance underscores the duty of care toward those unable to meet their own needs and warns against exploiting their desperation.

Leviticus 25:35–36 reinforces this: “If one of your countrymen becomes poor...help him as you would a foreigner or a stranger, so he can continue to live among you. Do not take any interest or profit from him, but fear your God…” This call to aid a fellow member of the community, free of harsh financial burdens, illustrates the high value placed on compassion.

2. Distinction between Israelites and Foreigners

In Deuteronomy 23:19–20, we read, “Do not charge your brother interest on money, food, or any other type of loan… You may charge a foreigner interest, but you must not charge your brother interest…” This distinction sought to protect Israel’s community bond while also acknowledging transactions with those outside their covenant community.

These regulations shaped a society that viewed lending not merely as a financial arrangement but as an extension of familial unity among the Israelites. Scholars have noted, based on cuneiform loan contracts recovered from ancient Near Eastern sites, that major cultures around Israel often had exorbitant interest rates. By contrast, biblical law promoted a more merciful approach that still recognized economic realities.

Wisdom Literature

1. The Moral Dimension of Lending

Proverbs addresses lending by highlighting the reciprocal nature of generosity and warning of the dangers of debt. Proverbs 19:17 declares, “Kindness to the poor is a loan to the LORD, and He will repay the lender.” The focus here is that compassion toward those in need reflects a deeper spiritual investment—lending becomes an act of righteousness.

Conversely, Proverbs 22:7 warns, “The rich rule over the poor, and the borrower is slave to the lender.” This admonition cautions both borrowers and lenders: borrowers risk becoming beholden to their debts, while lenders should not exploit their position of power.

2. Practical Stewardship

Encouraging prudent stewardship, the wisdom books remind readers to avoid oppressive practices while also stressing solidarity within the community. Psalm 112:5 adds, “It is well with the man who is generous and lends freely, whose affairs are guided by justice.” By linking lending to moral uprightness, such passages emphasize that adopting fair lending practices aligns with godly wisdom.

Teachings in the Prophets

1. Condemning Exploitation

The prophets often rebuked the exploitation of the vulnerable. Ezekiel 18:13 pronounces dire warnings over unjust interest practices: “He lends at interest and takes a profit—will such a man live? He will not!” This vivid rebuke further embeds fairness and compassion into Israel’s moral code.

2. Urging a Return to Righteousness

The prophetic writings call God’s people to realign their financial dealings with the covenant’s requirements. Prophets such as Isaiah and Amos condemned oppression and fraud. This theme of returning to faithful, merciful lending underscores the expectation that God’s people demonstrate His character in all social and economic exchanges.

Teachings in the Gospels

1. Radical Generosity

Jesus broadens the concept of compassion in lending to include all people. Luke 6:35 instructs, “But love your enemies, do good to them, and lend to them, expecting nothing in return. Then your reward will be great…” This teaching shifts the focus from mere compliance with the law to a heart-transforming generosity.

2. Principles from Parables

In the Parable of the Talents (Matthew 25:14–30), while it does not exclusively revolve around lending, Jesus references money management to illustrate faithfulness and accountability. The principle is that resources entrusted to a person should be stewarded wisely and used in a manner consistent with the Master’s interests.

Teachings in the Epistles

1. Encouragement to Give Freely

In the early church, believers shared resources willingly. Paul’s exhortation in 2 Corinthians 9:6–7 highlights a general principle of generosity, “Whoever sows sparingly will also reap sparingly… Each one should give what he has decided in his heart to give…for God loves a cheerful giver.” While this passage addresses giving rather than lending, the heart attitude extends to both situations: financing others should be done freely and cheerfully, without coercion or profiteering.

2. Restoration and Accountability

Although the epistles do not include detailed legal codes for lending, they instruct believers to imitate Christ’s sacrificial love in all personal and communal dealings. The overarching principle is sincere concern for others’ welfare.

Practical Insights for Today

1. Interest and Fairness

Some caution strongly against any interest, while others interpret the biblical context to focus on prohibiting exploitive interest. Wherever one lands, the Bible’s clear emphasis is that no financial transaction should oppress or diminish the borrower.

2. Attitude of the Heart

Scripture consistently emphasizes a heartfelt concern for the borrower’s wellbeing. Lending is an opportunity to extend grace, reflecting a commitment to love and justice. Acts of generosity, whether through outright gifts or wisely structured loans, show compassion that aligns with spiritual maturity.

3. Communal Responsibility

From the earliest recorded instructions, lending is portrayed as a tangible demonstration of communal love. Whether helping a believer or someone with different beliefs, the principle remains: lend in a spirit of mercy, not for profit alone, but to uplift and restore.

Conclusion

Biblical teaching on lending money weaves together themes of compassion, responsibility, and moral righteousness. Throughout the Old Testament, a strong call emerges to avoid exploitative interest, protect the vulnerable, and mirror divine mercy. In the teachings of Jesus and the writings of the apostles, this core of generosity expands to include enemies and strangers alike, underscoring that lending is not merely a financial arrangement but a reflection of love in action.

Approaching lending with a heart of compassion, a commitment to fairness, and a vision toward others’ wellbeing embodies the enduring biblical call to do good in every facet of life. The principles found in these passages point to an economy of grace in which meeting needs and preserving dignity triumph over personal gain alone.