Borrowing & Lending, Is it Okay?

My Story

I borrowed money from my parents and pastor until I was almost 40 years old. Then, I made a commitment that I wouldn’t do any more. I wanted to be in a position to help and not always need help. That meant I had to start living within my means. I can remember the talk I had with myself when I made that decision. I was a little scared about whether I could do it or not, but I felt proud that I was growing up. And so far, I’ve been fortunate to be able to keep my word.

Now, along the way, I ended up falling into credit card debt, but that’s a story for another time.

I also loaned money to others… money I didn’t have …money I needed back to pay my own mortgage or utilities. Sometimes, I ended up having to turn around and borrow money myself.  I don’t put myself in these types of situations any more.

A Familiar Scenario

Does this scenario sound familiar? You loan some money to someone who says they need it.  Over the next few meetings, the loan always seems to come up. “I didn’t forget you”; “I’m going to take care of you on Friday”; or “I got you.”

When time to pay up comes around, she doesn’t have it. She may own up to it and may make a new promise to pay. She may avoid you like the plague because she’s ashamed that she can’t pay as planned. She may even pick a fight and use that as 

the excuse for not talking to you.

When it’s time to get your money back, you have a sick feeling that you might not get it. If you need it, now you are stressed about whether you will be able to pay the bill you need to pay. If you don’t need the money, you may agree to an extension- especially since there’s very little you can do about it anyway. Or you may forgive the debt- which she may gratefully accept or she may refuse, insisting she will pay it back.

What Does the Bible Say

Either way, there is a tension between the two of you, as a result of this awkward lender/borrower situation. The bible has a lot to say on the matter. So, here are a few scriptures that tells us God’s stand on borrowing and lending.

“Owe no man anything, except to love each other” (Romans 13:8a).

“The wicked borrows but does not pay back, the righteous is generous and gives” (Psalm 37:21).

“The rich rule over the poor, and the borrower is servant to the lender” (Proverbs 22:7).

“…lend, expecting nothing in return…” (Deuteronomy 28:12).

Conclusion

There isn’t equity in wealth, so God puts parameters on those who are in a position to loan; but also on those who borrow. He says it’s better not to borrow- not to owe anything but love. He also says if you do borrow, pay it back. And if you are in a position to lend, be in a position to give. Don’t loan money you need back. In fact, don’t loan expecting it back; give it as a gift and release the debt. If the borrower is faithful in keeping their word and paying you back, that will turn out well for you and for them.