Debt Is Not Your Friend

The scriptures contain a number of cautionary teachings against accumulating debt so that persons, families and nations are not unduly constrained by long-term financial burdens that can become a source of distress and even lead to neglect of basic responsibilities.

Temporary debt that can be reasonably paid off and places the borrower in low risk of default is morally acceptable, common and practically necessary in today’s world. When a person incurs debt that they are not paying off or cannot pay off (including principal) then that person has placed themselves and their dependents in an unnecessarily precarious situation, which is immoral.

The immorality of accumulating burdensome debt also applies to lenders who have a moral responsibility to care for their neighbor and protect them from incurring financial obligations they cannot fulfill. Lenders who prey upon those who are trapped in debt are particularly reprehensible since they profit from desperation and vulnerability.