Interest on loans, often referred to as usury in biblical texts, is a topic addressed in various passages throughout the Bible. The practice of charging interest on borrowed money is examined within the context of moral, ethical, and communal considerations, reflecting the values and societal norms of ancient Israelite culture.

Old Testament Context

In the Old Testament, the Israelites were given specific laws regarding the lending of money and the charging of interest. These laws were designed to promote justice and compassion within the community, particularly towards the poor and vulnerable.

Exodus 22:25 states, "If you lend money to My people, to the poor among you, you are not to act as a creditor to him; you are not to charge him interest." This verse underscores the importance of mercy and support for those in need, emphasizing that financial transactions should not exploit the disadvantaged.

Leviticus 25:35-37 further elaborates on this principle: "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." Here, the focus is on maintaining the dignity and welfare of fellow Israelites, ensuring that economic hardship does not lead to further oppression.

Deuteronomy 23:19-20 provides additional guidance: "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." This passage distinguishes between fellow Israelites and foreigners, allowing for interest to be charged to the latter but not to one's own people, thereby fostering a sense of community and mutual support.

New Testament Perspective

The New Testament does not explicitly address the issue of interest on loans as directly as the Old Testament. However, the teachings of Jesus and the apostles emphasize principles of love, generosity, and selflessness, which can be applied to financial dealings.

In Luke 6:34-35, Jesus teaches, "And 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." This passage encourages believers to adopt a spirit of generosity and to lend without the expectation of gain, reflecting the character of God.

Historical and Cultural Considerations

In ancient Israel, the prohibition against charging interest was rooted in the agrarian and communal nature of society. Loans were often sought out of necessity rather than for business ventures, and charging interest could lead to further impoverishment and social injustice. The biblical injunctions against interest were intended to protect the poor and maintain social equity.

Theological Implications

The biblical stance on interest reflects broader theological themes of justice, mercy, and community. It underscores the belief that wealth and resources are ultimately God's provision and should be used to support and uplift others, rather than to exploit or oppress. The call to lend without interest is a call to embody God's compassion and righteousness in economic relationships.

In summary, the Bible's teachings on interest on loans highlight the importance of compassion, justice, and community support, urging believers to prioritize the well-being of others over personal financial gain.