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“For the love of money is a root of all kinds of evil. Some people, eager for money, have wandered from the faith and pierced themselves with many griefs.” 1 Timothy 6:10 NIV
Is money inherently evil? No, money is a tool. The Bible specifically says that the “love” of money is evil. If we put money above God in any way, our relationship with money is unhealthy. We know that money can be used for great causes and can be a blessing in many ways. Given to a family in need, money might be the reason that family successfully makes it through a hard time or tough season in their lives. Likewise, money can be used for gambling or other addictions. It can become an idol and so sought after that is drives us to put money and our jobs above not only our families, ourselves but even God.
Well how about debt? Is debt evil? We are all familiar with Proverbs 22:7 that states, “The rich rule over the poor, and the borrower is slave to the lender.” Is this saying that debt is bad? It can be, however I have not seen a verse in the Bible that states that as a Christian, you should not use or have debt. In fact, the Bible never states that you should not use debt. It does state however many times, that you should use extreme caution when doing so. Just like money can be used as a tool for good reasons and for bad, debt is the same way.
First, It is important to understand the types of debts. There is oppressive debt or destructive debt which shows up as many types of consumer loans. These are typically credit cards, vehicle loans and student loans. Most of these types of loans have crushingly high interest rates. Even though some car loans or student loans might have lower interest rates, because of easy access, they typically encourage you to borrow much more than you should and thus the reason to include them in this category.
There is another type of debt however that we rarely discuss from a biblical perspective. This is the same debt that churches use to build new buildings and campuses and that companies use in order to grow their respective businesses. It is used often by real estate investors when they acquire a new rental property. It has been referred to as the “good” debt, wealth creation debt or constructive debt. This debt, typically is at a lower interest rate and is intentionally invested into something that can gain in value greater than the interest rate being charged. For example, borrowing money at 4% and investing into something that can make 7% or borrowing money from a bank in order to buy a rental property where the income from the property more than pays for the mortgage payment. By doing this, the borrower is able to increase in wealth.
So is “good” debt bad? I believe that depends on how it is being used and what our relationship with money really is. Matthew 6:24 says, ““No one can serve two masters. Either you will hate the one and love the other, or you will be devoted to the one and despise the other. You cannot serve both God and money.” So what is your relationship money? Whether rich or poor, If you are so in debt that it consumes you, I believe this is wrong. I also believe that if you are so in love with the idea of being wealthy or wealthier and you are pursuing riches of this world, that is wrong as well. Even “good” debt can be used incorrectly with negative consequences and must be managed very diligently.
As Christians, we need to be storing up treasures in heaven and we should not be so consumed about our “wealth” in this world. If we are right with God and our relationship with money being used as a tool for good and to further His Kingdom, then I do think it is okay to use “good/constructive” debt for gaining additional wealth.
Personally I have paid off all consumer and oppressive debt but regularly use “good” debt to build wealth through real estate investments and for my business. This has allowed me to increase my personal net worth and income, which in turn, increases my tithe and giving, allowing me to be a blessing to even more people.
The truth is, there are many christians right now that are so focused on paying off their debts (both bad and good debt) that they are losing productive years and will not have enough money to retire. Instead they will either have to accept a much lower lifestyle in retirement or they will run out of money.
Many people that find themselves in this situation are often forced into making the decision of selling their house and downsizing or taking out a reverse mortgage (more debt) in order to get by in retirement. When people find themselves in this situation, obviously the amount of their giving and their ability to be a blessing to others is greatly diminished.
So, is having debt a sin? I am a christian and a Certified Financial Planner™, but I am not a biblical scholar. From what I can tell however, is that having debt is not considered a sin. It is something to be weighed heavily in your heart and your overall financial plan. As I teach in Phase I, the Foundation Phase, I believe that you need to payoff all consumer and oppressive debt before you move on to Phase II and start really Accumulating Wealth. Once in Phase II, I believe that you should look at your individual situation, determine the health of your relationship with money and work with your advisors and determine if utilizing “good” debt might benefit you, so that you might have the ability to be in even bigger blessing and benefit others.
What do you think, is all debt bad? Is debt a sin? Leave a comment below.
I like you do not believe that all debt is a sin. Some debt is a part of life. My wife and I are working hard at paying off all of our debt so the retirement is not such a strain . Thank you for sharing this with me.
When you have borrowed people money and they refuse to pay what is spiritual punishment for such person.Muslim believe that the person will not be get to heaven, what is the implications in Christian?
Hello, I hope this finds you a year later…
I aim to clarify the reprocussions of sin as a Christian.
To a Christian, sin separates us from God and heaven. He’s good and perfect and being around anything evil he would have to either 1.) destroy it 2.) cease to be good (tolerate it)
Christians have a broad definition of sin because many thoughts or actions we have every day cause us to be “imperfect” and God can’t be around that. A sinless life is not something we can realistically achieve.
The solution is this:
Roman’s 6:23 “For the wages of sin is death, but the gift of God is eternal life through Jesus Christ our Lord”
*Death = spiritual death = not going to heaven.
As a Christian, the belief is that since we cannot be good enough to approach God, He came to us, paid a price, and ultimately forgave us. Therefore a relationship and heaven is possible.
So “what is the punishment for not paying a debt?” although they’ll be earthly consequences, as a Christian, we accepted Jesus to pay all our sin “debts” so there really isn’t an eternal punishment.
However, a Christian should be a good, moral person. We ought to be inspired by the love and grace we were shown and pass that to others. (John 15:12: “My command is this: Love each other as I have loved you” .)
Taking advantage of this grace is possible… But that’s kind of like an unbelievably kind stranger donating $1,000,000 to save your life, then turning around and trying to steal their car….raises lots of questions on whether you know God or not.
Long answer, but the Christian system is setup differently than Muslims, so I felt I needed to give some background. I wish you the best in your search for truth and morality.
I really hope debt is not a sin. I’m left with no choice but to take out federal student loans so I can go to college and I’m really upset that I have to do so. I wanted to go in and out of college debt-free. It’s going to be a huge weight on my shoulders.
Research your options seriously. You do not have to go into debt to get an education. You do have to consider alternative ways to get your education. Those ways are vast and available. Set your first goal to find a debt free path to an accredited education. Remember, the diploma or certification received, will not guarantee you anything. Certainly independence. Put God first!
He really will show you the way.
The battle is always spiritual because that’s where the enemy is. Let Jesus fight that battle for you. Your first education should be learning that.
May God bless you with discernment. Clear a path for you to see truth.
Regards
Does tithing really work when you are in debt to begin with ? How does all that work? I don’t get it.
Yes it does work.
God can get more out of your 90%
Then you can get out of your 100%
It has worked wonderful for me.
God bless you
Rob
Faith …….is at the base of all instruction from the Bible.
“To get it”, you must have faith.
People laugh and scoff at this and simply remain blind.
Get in a bible, ( king james) is my choice. Study out faith. You must be responsible to do this. IF YOU DO, GOD WILL be faithful to show you.
God bless
Debt was a thing in Jesus’s time as well. Every seven years the Jews had the year of Jubilee where debts would be forgiven. And there are Old Testament rules about the amount of usury (interest) that one person of the faith could charge a fellow person of faith. Where Jews got into trouble with public opinion is that many interpreted that to mean they could charge whatever they wanted to anyone outside the faith and did. Those indebted to them blamed them instead of themselves for feeling trapped by debt. That hasn’t changed. If someone owes you money they are struggling to repay they will resent you, even if you are friends.
Here is one for you with an obviously answer. The problem is equally obvious as well. The problem is simple but difficult to carryout by the borrower.
The borrower is a Pastor that wanted a church building. Needed a number of days to put personal finances together to buy the building. Time was not an option due to others ready to buy on the spot. A friend was present and presented a way out. He would loan the earnest money on the spot and thus confirm the church could be the pastor’s.
The pastor verbally guaranteed to repay the loan and construct finances for closing on the property. The closing date was one (1) month later.
Husband admitted to hospital on an ongoing problem for years. While pastor was financially well off and confirmed there would be NO problem in her personal guarantee to pay back loan. Net worth substantial ! The loan then, was expanded to buy the entire church.. Husband dies.. the net worth actually increases through insurance policies. She, the pastor, now refuses to pay off the loan. She trys to off weight the loan unto the unsuspecting elders and congregation. Meanwhile, the loan is still outstanding and the loaner is
Left holding the bag.
Comments are welcome.
Depending on what it’s used for and source I believe not all debt is bad.
I pay my debts & that includes personal loans, with that said, we are all forced into debt by the satanic laws on earth, we have to pay trash bills, electric bills, rent, water bills, car insurance etc, so my opinion on the matter is, let no balance be left unpaid, but always know in our hearts that those who force debt on us are of the devil & debt taken willingly is of ourselves, if we pay the devils that force debt upon us, why not pay those who lend to us even if it is only so they can get rich off interest charged on the loan, this is a worthless ungodly world, but the bible says the thief borrows but does not return, so as i pay my debts I know that my money is not going to godly people, I also know God says pay them people, I believe it is because in the end they have their money & we who are enslaved in the government & financial institutions debt trap will be free of them & still have God on our side.
You evidently haven’t read the Bible overly carefully… try Romans 13:8.
But I’m sure there’s a good reason why that word “anything” doesn’t include money.
“Constructive” debt, as you call it, brings people to sudden financial ruin when the economy takes a steep dive.
After reading this article has made me grow up and become closer to God.
Thanks
My impression from this article jumps from the principle of debt from a biblical perspective to stewardship and management of God’s abundance. Economics puts citizens in virtual debtor’s prison; the largest portion of the debt is obligatory, not discretionary. Persons are not educated in general finance or accounting and learn life lessons the hard way. There is sin in what is owed Caesar when the debt is caused by Caesar. When wealth is held by 1% and the 99% can’t survive or build a life sin exits by the rich being over the poor.
Persons who should apply Scripture to the evils of money are those that love it, not by persons who need it. This topic is about injustice caused by rampant sins and who pays for injustice? What justice pays for capital sins of greed, etc. ?Answer: the debtors which is why the saying you can’t squeeze blood from a turnip exist. Debtors can pay for their debt by paying for the needs, burdens of another. That’s how good” debt can be described in a biblical sense. This is known as reparation and reciprocity.
It’s a paradox which is indicative of every parable Jesus told. Persons think in terms of scarcity because of secular economics instead of abundance which is the economy of God.
All I know is debt is a killer. I was victimised by my friends in taking away all my business monies that I loaned and left me zero. And now facing difficulties is paying the loan alone. It’s very hard to start when you don’t have the means to start again. I regret that I borrowed money to start a business and I end up to nothing but stress. Only a miracle can help me out. I want to be debt free. Debt is not a sin but as much as possible avoid debt.
Hello,
I live by the principals that Dave Ramsey teaches. No debt is good debt!
Student loans ,credit cards, car loans are the worst!
Cash is king!
Michael, et al. ,
The bible is clear on this issue. The bible states that to be in bondage to the debtor ( taking on debt) is a sin. The old Testament (prior to the new covenant with God (Jesus Christ) addressed a different time with a different people. While I can not speak on whether it was permitted or not under Old Testament times, there were different rules that applied during that time. What foods could be consumed, execution, etc….but under the new covenant, We as Christians are told to not partake in debt. Under any circumstances. I have an education in Business ( specifically Account / Economics). I understand the trappings of debt and understand why, but let’s be honest with each other… It is a sin.
Supporting verses:
Deuteronomy 15:6
“For the Lord your God will bless you just as He promised you; you shall lend to many nations, but you shall not borrow; you shall reign over many nations, but they shall not reign over you.”
Romans 13:8
“Owe no one anything except to love one another, for he who loves another has fulfilled the law.”
Proverbs 22:7
“The rich rules over the poor and the borrower is servant to the lender.”
God bless you, am really bless
My question is that those people who are working as credit official (money lenders) and people are owning them huge amount of money what steps do you think they should take in order to recover their money
I am looking to buy a building. It’s going for $1,100,000. I have $245,000 in cash, and I could gather another ~$80,000 if I liquidate some items.
I keep running into verses in the bible that tell me not to borrow, and I don’t understand why everyone is ok with borrowing for a mortgage… or vehicles… or student loans… or whatever.
My house is paid off, I buy vehicles with cash, and my 2 college degrees were paid as I went through college… a little later in life.
I don’t come from money: My dad never graduated high school. My mom went to night school to get her GED. I’m the first in the family to have a college degree… I’m also the first Christian in my family.
You see… I really want this building but I can’t get past these verses… and I don’t want to dishonor God.
Exodus 22:25 (ESV) “If you lend money to any of my people with you who is poor, you shall not be like a moneylender to him, and you shall not exact interest from him.
Deuteronomy 15:6 (ESV) For the LORD your God will bless you, as he promised you, and you shall lend to many nations, but you shall not borrow, and you shall rule over many nations, but they shall not rule over you.
Deuteronomy 28:12 (ESV) The LORD will open to you his good treasury, the heavens, to give the rain to your land in its season and to bless all the work of your hands. And you shall lend to many nations, but you shall not borrow.
Proverbs 17:18 (ESV) One who lacks sense gives a pledge and puts up security in the presence of his neighbor.
Luke 14:28 (ESV) For which of you, desiring to build a tower, does not first sit down and count the cost, whether he has enough to complete it?
Luke 16:11 (ESV) If then you have not been faithful in the unrighteous wealth (money), who will entrust to you the true riches?
Romans 13:7-8 (ESV) Pay to all what is owed to them: taxes to whom taxes are owed, revenue to whom revenue is owed, respect to whom respect is owed, honor to whom honor is owed. Owe no one anything, except to love each other, for the one who loves another has fulfilled the law.