Based on recent reports from the financial sector, an estimated 80 percent of American households are currently in debt. On a national level, consumer debt amounts to more than $14 trillion. Furthermore, nearly half of Americans are living paycheck to paycheck, and at least 20 percent report having to allot 50 percent of their monthly income or more to paying off debts.
On top of those figures, more than 40 percent of American families are making monthly mortgage payments at this point. More than 113 million auto loans are currently being repaid across the United States. With all this in mind, it’s safe to say that the majority of Americans are borrowing money and living with the resulting debt.
Considering drastic increases in the cost of living over the years, some might say it’s impossible to go through life without debt. Is borrowing money a sin, though? Does God approve of taking out loans for homes, vehicles, and other worldly possessions? Opinions vary on this matter, but let’s take a look at what the Bible itself says about borrowing money and going into debt.
From a Christian Perspective
It was once said that love makes the world go ‘round. Today, though, it seems that money is the main driving force of society. Desire, greed, and obsession with personal gain can seem to replace kindness, mercy, and showing love for our fellow man. Is increased borrowing part of this movement?
Quite a few passages in the Bible mention borrowing money and living with debt. Based on those verses, many Christians wonder whether taking out loans is a necessary and acceptable way of life in the modern age or an increasingly common sin arising from worldly evolution? Let’s explore what the Word of God says about borrowing money.
Looking at Bible Verses about Debt and Borrowing Money
First off, let’s consider Proverbs 22:7. This passage states, “The rich ruleth over the poor, and the borrower is the servant to the lender.” Matthew 6:24 points out, “No man can serve two masters: for either he will hate the one, and love the other; or else he will hold to the one and despise the other. Ye cannot serve God and mammon.” Mammon has been interpreted as wealth as a negative influence in our lives or an unfounded object of our allegiance.
Romans 13:8 tells us, “Owe no man anything, but to love one another: for he that loveth another hath fulfilled the law.” Matthew 6:19-21 notes, “Lay not up for yourselves treasures upon Earth, where moth and rust doth corrupt, and where thieves break through and steal. But lay up for yourselves treasures in Heaven, where neither moth nor rust doth corrupt, and where thieves do not break through nor steal. For where your treasure is, there will your heart be also.”
Based on those passages and certain others, it would seem that the Lord is very much against us placing ourselves in debt. Borrowing money could ultimately leave us more devoted to repaying the lender than serving the Lord. As such, it might be reasonable to feel that borrowing money goes against the grain of our faith. Having said that, there are other sides to this story.
From a Different Angle
Now, let’s approach the subject of borrowing money from another angle. While the previously cited verses advise against living with debt and pursuing money and worldly possessions, the Bible looks at the situation from a different perspective as well. Consider some of the following passages that touch upon borrowing money.
Speaking to Those Who Lend
In terms of lending, the Bible seems to encourage generosity and supplying others with what they need. Matthew 5:42 says, “Give to him that asketh thee, and from him that would borrow of thee turn not thou away.” At the same time, Proverbs 3:27 tells us, “Withhold not good from them to whom it is due, when it is in the power of thine hand to do it.”
On the Subject of Borrowing and Repaying Debt
Of course, the Bible also offers guidance on borrowing wisely and managing debt. Psalm 37:21 tells us, “The wicked borroweth, and payeth not again: but the righteous showeth mercy, and giveth.” Romans 13:7 says, “Render therefore to all their dues: tribute to whom tribute is due; custom to whom custom; fear to whom fear; honor to whom honor.” Some translations take that a step further to include taxes and debt.
In James, chapter 4, verses 13 and 14, we read, “Go to now, ye that say, today or tomorrow we will go into such a city, and continue there a year, and buy and sell, and get gain: Whereas ye know not what shall be on the morrow. For what is your life? It is even a vapor, that appeareth for a little time, and then vanisheth away.” Then, in verse 15, it says, “For that ye ought to say if the Lord will, we shall live, and do this, or that.”
Some experts believe those verses are warning us against taking for granted that our situations, both physical and financial, will remain the same. Life is fleeting, and income and expenses can certainly be unpredictable. When borrowing money, are we sure we can pay it back? Will it cause undue hardship in the long run?
Delving Deeper
Some things are basic necessities for survival. Shelter tops the list. These days, transportation could fall into that category as well. Matthew 7:7 tells us, “Ask, and it shall be given you; seek, and ye shall find; knock, and it shall be opened unto you.”
Throughout the Bible, we’re assured that God will always provide for our needs. We simply need to trust in Him and follow His guidance. With that in mind, the opportunities some of us are praying for could come in the form of a loan with affordable terms to cover something we need.
On the opposite side of the argument, Colossians warns us to set our affections on things above rather than earthly possessions. First Timothy states that the love of money is the root of all evil. James, chapter 4 seems to tell us that we need to be careful about asking for more than we need and spending it carelessly.
Is Borrowing Money a Sin?
Is borrowing money a sin? With so many verses of the Bible touching on money, borrowing, lending, and spending, this debate could go on forever without being resolved.
All things considered, the Bible doesn’t seem to be telling us that taking out a loan to buy a home or car or cover another truly important expense is a sin. Instead, the Word of God advises us to avoid letting money take over our lives. We’re asked to keep our sights set on our faith and families rather than placing money at the forefront. Working with others who share your values could be the key to maintaining that balance.
Additionally, God says that we shouldn’t borrow more than we need or frivolously spend our money. We shouldn’t borrow excessively to buy better homes or vehicles than our neighbors. He also expects us to be diligent about paying back the money we borrow. In a nutshell, the Bible expresses the importance of borrowing and spending wisely while not letting finances interfere with our faith.
