Bible Dictionaries
Interest

Holman Bible Dictionary

Sum of money a borrower pays for use of loaned capital. Mosaic law prohibited the charging of interest to fellow Israelites (Exodus 22:25; Leviticus 25:36-37; Deuteronomy 23:19 ). Interest could be charged to foreigners (Deuteronomy 23:20 ). The motive in loaning without interest to fellow Israelites was to prevent the formation of a permanent underclass in Israel. Ezekiel regarded the charging of interest as a watershed act separating the righteous from those practicing abominations (Ezekiel 18:8 ,Ezekiel 18:8,18:13 ,Ezekiel 18:13,18:17; Ezekiel 22:12 ). Nehemiah challenged neglect of the Mosaic prohibition which had resulted in dire poverty for some of the returned exiles (Nehemiah 5:6-13 ).

The “harsh” master who expects interest and reaps what he did not sow (Matthew 25:24 ,Matthew 25:24,25:26-27; Luke 19:21-23 ) is hardly to be taken as a model for Christian business practice. Luke's parable in particular contains reminiscences of the hated Archelaus (Luke 19:12 ,Luke 19:12,19:14; compare Matthew 2:22 ). See Matthew 5:42; Matthew 10:8 ).

Many commentators feel compelled to defend the common, contemporary practice of charging interest. Any moral decision on the matter must carefully weigh rival claims: (1) that capital loaned at interest provides an opportunity for persons to escape poverty and (2) that the inability of both individuals and nations to pay interest on borrowed capital contributes to continued poverty. See Banking; Loan .