CHRISTIANS AND BANK LOAN.........What you should know!



The plans of God for His people is for blessing, for good and not evil, to open for them His good storehouse, the heavens, to give rain to your land in its season and to bless all the work of your hand; and you shall lend to many nations, but you shall not borrow. (Deut. 28:12).

His plan for you is not to borrow, but to lend, and even in lending, the Lord is not thinking of lending to people for interest, NO!  But, lending to help people who are experiencing drought in their lives.   God says "You shall not borrow"  because the people of God, who walk in obedience to His Word, should be empowered with the provision of God and should not have to borrow.

In Mathew 25:14-28, in the story of the Talent, the master of the servants asked why his money was not deposited into the bank so that at his return, he could receive his money with interest.  The bible is saying there, that instead of burying the money, it is better to deposit it with the bank and earn interest in return.

People often assume that the Bible says we should not borrow, but that may not be true.  The Bible warns the borrower to beware of the consequences of borrowing.  It says in  Proverbs 22:7, that the rich rules over the poor, and the borrower is the slave of the lender.

Every diligent Christian would want to be led by the word of God in all he does, so the issue of whether a Christian can borrow is relevant and can mean yes or no for many believers.  That is why this piece is coming to explain the issues involved and I hope the Holy Spirit will help me speak His mind on this matter.

Borrowing for Business

Anybody who is in business knows the importance of money, and what it can do.  Without money, wealth creation will not happen.  No matter the ideas a person have if there are no funds to transform it into a product or service, such an idea could die with the owner.

A loan here is talking about the bulk amount of money taken from a bank for business purposes.  When you have a good idea, you need bulk money or capital to bring the idea to reality and market it.  Bulk money makes you a King in the market place.  With bulk money, you can produce a prototype of your idea and take it to the market for people to use and give you feedback.  With bulk money, a Trader can place an order for December goods in August,  so he will take delivery before the Christmas sales sets in from November. That's how important bulk money is to a businessman.  A loan consists of the capital amount and interest.

Being persuaded that borrowing money for business is not a sin, only that the borrower should be sure to repay the loan, I  did some investigation on the N220,000,000Billion CBN Agricultural and SMEs fund which requires no collateral from prospective entrepreneurs.  The study revealed the Fund is operational and qualified entrepreneurs are getting funds.

In Mathew 25:14-28, in the story of the Talent, the master of the servants asked why his money was not deposited into the bank so that at his return, he could receive his money with interest.  The bible is saying there, that instead of burying the money, it is better to deposit it with the bank and earn interest in return.  So putting your money in the bank, as well as borrowing money from the bank are not sin. 

What can hinder a Christian from Borrowing?

The only thing that can hinder a Believer from taking a loan for productive purposes, is his ability to repay the loan.  This is because, if he is unable to repay the loan, he goes into bondage, and there is a chance of his becoming poorer than he was before the loan.  If the bank recovers say the car or house purchased with the bank loan, the person becomes poorer.

The Bible teaches that borrowing money automatically creates a servant/master relationship.  It did not say borrowing money is a sin, neither did the Lord encourage borrowing.  It basically warned that the borrower is the slave of the Lender, which means that you should be ready to repay the loan as and when it is due, otherwise you become a slave to the Lender.  

I know some believers limit themselves by saying the bible forbid Christians from taking loan from the bank, saying: "Owe nobody anything but to love... " But does that statement mean that Believers should not borrow money to do business, the answer is NO!

The Lord knows there are money lenders as we can see in the parable of the Talents, which Christ told His disciples in Mathew 25: 14-28.  He told them of a man, travelling into a far country, who called his own servants and delivered unto them his goods.  And unto one he gave five talents, to another two, and to another one; to every man according to his several abilities; and straightway took his journey.

On his return, his servants came to account for the money he gave them.  Every one of them multiplied their talents except the man that received one talent and went and buried it.  He said "I was afraid, and went and hid thy talent in the earth, take back your penny.  Then the master of the servants answered and said:  Then you ought to have invested my money with the bankers, and at my coming, I should have received what was my own with interest.

The parable shows that borrowing and lending money has been there, even during the days of Christ on earth.  It does not mean that the Lord endorsed the business, but He hates laziness and stagnancy.  So instead of burying money, it should have been given to the bankers, who know how to use it and multiply what is given to them.

Christ endorsed effective utilization of resources including money and the multiplication of same.  You can give the bank your money to keep for you at interest, nobody questions that, neither do they question the interest the bank pays people who keep their money with them.  Then, why is Loan being questioned?  It must be ignorance.

A Christian can borrow money to meet important needs, provided he has a good plan on how to repay the loan.  Borrowing leads to debt if the business for which the money was borrowed fails, and every debt must be repaid, so Christians should approach loan with extra care to avoid negative consequences.

This advice is followed by another advice in Proverbs 22:26-27, saying  - Be not one of those who give pledges, who put up security for debts. If you have nothing with which to pay, why should your bed be taken from under you?.  This warning is especially relevant to those who guarantee other people.  You should know a person's integrity and his ability to generate sufficient income and discipline to keep his promises, before guaranteeing him a bank loan.

Is Borrowing money Sin... NO!

Does "Owe no one anything, except to love each other, mean that Christians should not borrow money for their business?  Is borrowing money and paying interest on it sin? I will leave you to make that conclusion after reading this piece. 

There are ninety and more verses in the bible about borrowing and lending, but I want to say categorically say that borrowing money and paying interest on the money is not a sin.  If taking loan is a sin, what about the Mortgage that everyone is familiar with today?  Is a mortgage not a loan, it is!  But, if you cannot repay your mortgage, the mortgage company or bank takes the house back from you.  They will repossess the house from you.

You see, borrowing is not the problem, it is the inability to repay the loan that makes one, a wicked person before the Lord. I will advise people not to borrow at all if they are not sure, how they will repay the loan.  But, for others that can use the loan to create more money, borrowing could be a wise decision.

The bible says the borrower should be ready to repay the loan, otherwise, if he fails to repay or refuse to repay, he becomes a wicked person.  God is against borrowing with the wicked intention not to pay back.  No child of God should think of such evil.   Some highly placed people borrow without any intentions to repay, believing that when the loan goes bad, the bank will write it off.  

The Lord God is against such practise, so Christians must make plans to pay back what they have borrowed.  It’s wrong not to repay debts. Psalm 37:21 states, “The wicked borrow and do not repay.” The conclusion is obvious: if you don’t repay your debts, you’re what the Bible calls “a wicked person.” So, the borrower has a moral obligation to repay every money borrowed. 

What about debt?

When it comes to debt, remember that God is a God of justice and judgement.  That means that every contractual agreement must be fully satisfied by a Christian, otherwise, God is not with you in that business.  I have provided scriptures to show that God expects you to repay back every loan taken, otherwise, you should not take the Loan.

Debt obligation is a serious matter.  In the bible, a Prophet of God died without repaying his debts,  His creditors came to take his two sons before the wife cried to Prophet Elisha for help - 2 Kings 4:1-7.  The question to ask is this: Is there any such thing as good debt? The answer is yes. Even though all debt produces some kind of pain, there is a thing called good debt. 

All debts must be repaid, but the intention and purpose for borrowing could make the difference between a good and bad debt.  When it comes to good debt, your goal should be to pay it back as fast as you can.  Good debt would be a debt that works for you over time; bad debt is a debt that works against you over time. Every type of debt that you owe will fall into one of two categories: good debt or bad debt.

An obvious example of good debt would be your home. If you are renting, you should not buy another car until you become a homeowner. Owning your own home is a good debt that will work for you over time.

I encourage people to borrow money to buy a home because it is just a good step for most people.  I also encourage people, as they get older, to keep buying bigger homes because of the value that they have invested.  It has been proven that a home is one of your best investments.

Good debts would also be an education for your children, land, or a loan to start a business. However, when it comes to any kind of loan you should seek counsel before you enter into it.


When it comes to lending money to people, the Lending that God loves and encourages is benevolent lending.  Lending to help the needy, and support people in need without charging them any interest or fees.  

God wants us to share the blessings He has given to us with others, but, not for reward.  He loves a compassionate person, who is willing and ready to lend money to help someone in distress.  In Leviticus 25:35-37, God warned the Jews that: “If your brother becomes poor and cannot maintain himself with you, you shall support him as though he were a stranger and a sojourner, and he shall live with you. 

Take no interest from him or profit, but fear your God, that your brother may live beside you. You shall not lend him your money at interest, nor give him your food for profit.  You shall support your brother, assist him and even lend to him, but you shall not charge him interest, and your God will bless you.

This advice was repeated in Deuteronomy 23:19, which says: “You shall not charge interest on loans to your brother, interest on money, interest on food, interest on anything that is lent for interest.  Benevolence giving is borne out of love, compassion and kindness.  God's requirement is that you love your enemies, and do good, and lend, expecting nothing in return, and your reward will be great, and you will be sons of the Highest, for he is kind to the ungrateful and the evil - Luke 6:35.  He says, give to the one who begs from you and do not refuse the one who would borrow from you.

To again prove that God encourages giving and lending in love and kindness, see what the bible says in Psalm 112:5 - It is well with the man who deals generously and lends; who conducts his affairs with justice.

Can a Christian start a money lending business, giving people money at an interest etc... The bible says neither Yes nor NO.  But if you must be a money lender, then you must not charge interest on money given to God's people,  brethren in your church.  He says clearly in Deuteronomy 23: 19-20: 

“You shall not charge interest on loans to your brother, interest on money, interest on food, interest on anything that is lent for interest.  You may charge a foreigner interest, but you may not charge your brother interest, that the Lord your God may bless you in all that you undertake in the land that you are entering to take possession of it

You are not to collect interest from a brethren in the household of faith, no matter how much you are lending to him or her.  You should regard such money as an interest-free loan.  God expressly said so, in Exodus 22:25, which says: “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.  

Consider these two scriptures on money Lending:

1. Proverbs 28:8 - Whoever multiplies his wealth by interest and profit gathers it for him who is generous to the poor.

2. Psalm 15:5 - Who does not put out his money at interest and does not take a bribe against the innocent. He who does these things shall never be moved.  


This piece was written to provide evidence that the bible did not forbid Christians from borrowing money for business or other important issues of life, like buying a house or car.  

What the Lord is against is borrowing with the intention not to repay, that is wickedness.  The Lord also does not like debt accumulation, because every debt will have to be paid, either by the person or his children, so be wise in money management and avoid bad debt.

Personally, I do not agree that when you borrow, you have made the bank or the Lender your god, because the bible says "My God shall supply all your needs according to His riches in glory by Christ Jesus - Phil 4:19

Thank you for dropping your comments and sharing your bank loan experience with us, so people can learn from you.


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