Ki Teitzei: Collecting Interest

An unfair, preferential law? Devarim 23:20-21:

כ לֹא-תַשִּׁיךְ לְאָחִיךָ, נֶשֶׁךְ כֶּסֶף נֶשֶׁךְ אֹכֶל: נֶשֶׁךְ, כָּל-דָּבָר אֲשֶׁר יִשָּׁךְ.	20 Thou shalt not lend upon interest to thy brother: interest of money, interest of victuals, interest of any thing that is lent upon interest.
כא לַנָּכְרִי תַשִּׁיךְ, וּלְאָחִיךָ לֹא תַשִּׁיךְ--לְמַעַן יְבָרֶכְךָ יְהוָה אֱלֹהֶיךָ, בְּכֹל מִשְׁלַח יָדֶךָ, עַל-הָאָרֶץ, אֲשֶׁר-אַתָּה בָא-שָׁמָּה לְרִשְׁתָּהּ. {ס}	21 Unto a foreigner thou mayest lend upon interest; but unto thy brother thou shalt not lend upon interest; that the LORD thy God may bless thee in all that thou puttest thy hand unto, in the land whither thou goest in to possess it. {S}

If taking interest upon a loan is such an evil thing to do, why allow them to do it to the gentiles?

The answer is that taking interest is not a "sin," or an "evil" thing in and of itself. Much of Western society is based on taking interest. Banks offer loans for things like mortgages, and collect interest, and thus profit and make their money work for them.

No, interest is not evil. However, the Torah is talking about building a society with the value of fraternity. You see your "brother" needs help, assist him, be it with his lost article or with his struggling under a load.

Thus, to someone who is not part of this religious, moral society, there is no ethical issue with dealing in interest. This is just business, as they themselves conduct it. Among coreligionists, however, trying to build up a righteous, fraternal, society, help a brother out! If he needs money and you have it, let him borrow it with the fullness of sincerity and helpfulness - help his wealth increase. And your fellow will do the same to you.

Thus, the LORD thy God may bless thee in all that thou puttest thy hand unto, in the land whither thou goest in to possess it.