Deuteronomy 23:20 Meaning: Why Charging a Brother Interest Was Forbidden
You may charge a foreigner interest; but you shall not charge your brother interest, that Yahweh your God may bless you in all that you put your hand to, in the land where you go in to possess it.
Unto a stranger thou mayest lend upon usury; but unto thy brother thou shalt not lend upon usury: that the Lord thy God may bless thee in all that thou settest thine hand to in the land whither thou goest to possess it.
Unto a foreigner thou mayest lend upon interest; but unto thy brother thou shalt not lend upon interest, that Jehovah thy God may bless thee in all that thou puttest thy hand unto, in the land whither thou goest in to possess it.
To a stranger thou mayest lend in usury, and to thy brother thou dost not lend in usury, so that Jehovah thy God doth bless thee in every putting forth of thy hand on the land whither thou goest in to possess it.
of a foreigner thou mayest take interest, but of thy brother thou shalt not take interest; that Jehovah thy God may bless thee in all the business of thy hand in the land whither thou goest to possess it.
Meaning in one sentence
Why did God allow Israel to charge foreigners interest but not fellow Israelites?
Context
Deuteronomy gathers Moses' final speeches to Israel on the edge of the Promised Land. The people are about to build a nation where God Himself is King, and the laws He gives shape every part of life, worship, justice, even money. This verse sits inside a collection of rules about who belongs inside the camp and how to treat those on the outside. Just before, Moses banned bringing the earnings of a prostitute into God's house. Just after, he speaks about keeping vows. The thread is holiness: God's people are called to live differently, especially with those who share their covenant bond.
Key Words
Two terms frame this verse: interest and brother. The Hebrew word behind 'interest' (translated 'usury' in older Bibles) literally means 'a bite', a picture of lending that gnaws away at the borrower's means. The law did not forbid all lending; it banned profiting from a fellow Israelite's need. 'Brother' here refers to a fellow member of the covenant community, someone bound by the same faith and history. The 'foreigner' (nokri) was likely a traveling merchant, not the resident alien (ger) who was to be treated like a native. So the distinction is not about race but about relationship: within the family of faith, loans were to be acts of mercy, not business.
How Christians Read This Verse
Christians have understood this verse in different ways. Reformed commentators like Matthew Henry and Gill see it as a civil law for the theocratic nation of Israel, not a universal moral command, the permission to charge foreigners was for economic dealings with surrounding peoples. Other traditions emphasize the principle behind the law: God's people should not exploit the vulnerable for profit, and that principle carries into the New Covenant. Some apply it to lending within the church, seeing it as a call to generosity among believers. All agree that the heart of the verse is protection: the community must care for its own, and the poor should not become a source of income.
A common misunderstanding
A common misreading is that this verse commands Christians to never charge any interest to anyone, or that it permits high interest to non-Christians. In fact, the Old Testament law allowed interest in business transactions with foreigners as a concession, not a command. The New Testament calls believers to love even enemies (Matthew 5:44). So while the specific civil law does not bind us, the spirit of it, avoiding exploitation and being generous to those in need, remains. Charging fair interest in a business context may be permissible, but charging excessive interest to someone in distress is always wrong.
Living This Out
This week, consider a loan you might give, money, a tool, your time. If the person is in need and close to you (a fellow believer, a family member, a neighbor in a tough spot), let the loan be a gift in everything but name. Don't calculate what you could gain from their situation. If you are in business, keep your rates fair and remember that profit is not the only measure. The blessing promised in this verse comes not from maximizing returns, but from trusting that God sees and provides when we put others' welfare ahead of our own gain.
Main takeaway: God measures blessing not by how much we profit from others, but by how freely we help those in need.
For Families
For ages 5, 8
When you lend a toy to your brother or sister, do you ask for two toys back? God wants us to share without making the other person pay extra. That makes everyone happy.
For ages 9, 12
This verse says that when someone in God's family is in need, we shouldn't charge them extra to borrow money or food. We should help them because we love them. Even today, when a friend is struggling, we can give or lend without expecting more in return. God sees that kind of heart and promises to take care of us.
Questions People Ask
Does Deuteronomy 23:20 mean Christians can never charge interest?
No. This was a specific law for the nation of Israel. It forbade charging interest to fellow Israelites but permitted it with foreigners. Under the New Covenant, the principle is to avoid exploiting anyone and to be generous, especially to those in need. Charging fair interest in business may be acceptable, but the heart should be love, not greed.
Who is considered a 'brother' in this verse?
In the immediate context, 'brother' means a fellow Israelite, someone within the covenant community. It's a term of kinship, not just biology. Later, through Christ, believers are called brothers and sisters. The principle extends to treating fellow believers with special care and not profiting from their need.
How does this apply to lending money to a non-Christian friend?
The law permitted charging interest to foreigners, who were often merchants. Today, many Christians see that as a permission for fair business dealings with non-believers. However, the New Testament calls us to love even enemies and to be generous. If a non-Christian friend is in genuine need, the loving thing is to help without taking advantage.
Is charging interest always a sin according to the Bible?
The Bible condemns charging excessive interest and exploiting the poor (Exodus 22:25, Proverbs 28:8). But it also allows interest in some contexts, like this verse with foreigners. In the New Testament, Jesus teaches mercy and generosity. The sin is not interest itself, but greed that ignores the needs of others.
What does this verse teach us about God's character?
It shows that God cares about relationships and community. He wants His people to protect the vulnerable and not treat family as a source of income. The blessing comes from obedience and generosity, not from profit. God is not against commerce, but He is against the kind of lending that crushes the poor.
For pastors & researchers
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