The Bible provides specific guidelines regarding lending and the charging of interest, reflecting principles of justice, compassion, and community welfare. These laws are primarily found in the Old Testament and are integral to understanding the economic and social ethics prescribed for the Israelites.

Old Testament Instructions

1. Prohibition of Interest among Israelites: The Mosaic Law explicitly forbids the charging of interest on loans made to fellow Israelites. This prohibition is rooted in the principle of brotherhood and the desire to prevent exploitation among God's people. In Exodus 22:25 , it is stated, "If you lend money to one of My people among you who is poor, you are not to act as a creditor to him; you are not to charge him interest." Similarly, Leviticus 25:35-37 instructs, "If your brother becomes impoverished and cannot support himself among you, help him as you would a foreigner or stranger, so that he can continue to live among you. Do not take any interest or profit from him, but fear your God, so that your brother can continue to live among you. You must not lend him your money at interest or sell him your food at a profit."

2. Interest on Loans to Foreigners: While interest was prohibited on loans to fellow Israelites, it was permitted when lending to foreigners. Deuteronomy 23:19-20 clarifies, "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, so that the LORD your God may bless you in everything to which you put your hand in the land you are entering to possess."

3. Sabbath Year and Jubilee: The laws concerning the Sabbath Year and the Year of Jubilee further emphasize the importance of economic justice and compassion. Every seventh year, debts were to be canceled (Deuteronomy 15:1-2), and every fiftieth year, during the Jubilee, land was to be returned to its original owners, and slaves were to be freed (Leviticus 25:10). These practices ensured that poverty and indebtedness did not become permanent conditions.

New Testament Perspective

The New Testament does not provide specific laws about lending and interest but emphasizes the spirit of generosity and love. Jesus' teachings encourage believers to lend without expecting anything in return, reflecting a heart of compassion and selflessness. In Luke 6:34-35 , Jesus says, "If you lend to those from whom you expect repayment, what credit is that to you? Even sinners lend to sinners, expecting to be repaid in full. But love your enemies, do good to them, and lend to them without expecting to get anything back. Then your reward will be great, and you will be sons of the Most High, because He is kind to the ungrateful and wicked."

Ethical and Theological Implications

The biblical laws on lending and interest underscore the importance of community solidarity and the protection of the vulnerable. They reflect God's concern for justice and mercy, encouraging His people to act with integrity and compassion. These principles challenge believers to consider the ethical dimensions of financial transactions and to prioritize relationships over profit. The biblical approach to lending and interest serves as a reminder of the call to love one's neighbor and to act as stewards of God's resources.