“Manifest in this trade (commercial sale of indulgences via bankers) at the same time was a pernicious tendency in the Roman Catholic system, for the trade in indulgences was not an excess or an abuse but the direct consequence of the nomistic degradation of the gospel. That the Reformation started with Luther’s protest against this traffic in indulgences proves its religious origin and evangelical character. At issue here was nothing less than the essential character of the gospel, the core of Christianity, the nature of true piety. And Luther was the man who, guided by experience in the life of his own soul, again made people understand the original and true meaning of the gospel of Christ. Like the “righteousness of God,” so the term “penitence” had been for him one of the most bitter words of Holy Scripture. But when from Romans 1:17 he learned to know a “righteousness by faith,” he also learned “the true manner of penitence.” He then understood that the repentance demanded in Matthew 4:17 had nothing to do with the works of satisfaction required in the Roman institution of confession, but consisted in “a change of mind in true interior contrition” and with all its benefits was itself a fruit of grace. In the first seven of his ninety-five theses and further in his sermon on “Indulgences and Grace” (February 1518), the sermon on “Penitence” (March 1518), and the sermon on the “Sacrament of Penance” (1519), he set forth this meaning of repentance or conversion and developed the glorious thought that the most important part of penitence consists not in private confession (which cannot be found in Scripture) nor in satisfaction (for God forgives sins freely) but in true sorrow over sin, in a solemn resolve to bear the cross of Christ, in a new life, and in the word of absolution, that is, the word of the grace of God in Christ. The penitent arrives at forgiveness of sins, not by making amends (satisfaction) and priestly absolution, but by trusting the word of God, by believing in God’s grace. It is not the sacrament but faith that justifies. In that way Luther came to again put sin and grace in the center of the Christian doctrine of salvation. The forgiveness of sins, that is, justification, does not depend on repentance, which always remains incomplete, but rests in God’s promise and becomes ours by faith alone.”

“A true Christian does not see God's promise of forgiveness as a license to sin, a way to abuse His love and presume on His grace. Rather, he sees God's gracious forgiveness as the means to spiritual growth and sanctification. He continually thanks God for His great love and willingness to forgive.”

“The gospel of justifying faith means that while Christians are, in themselves still sinful and sinning, yet in Christ, in God’s sight, they are accepted and righteous. So we can say that we are more wicked than we ever dared believe, but more loved and accepted in Christ than we ever dared hope — at the very same time. This creates a radical new dynamic for personal growth. It means that the more you see your own flaws and sins, the more precious, electrifying, and amazing God’s grace appears to you. But on the other hand, the more aware you are of God’s grace and acceptance in Christ, the more able you are to drop your denials and self-defenses and admit the true dimensions and character of your sin.”

“Confession is the God-given remedy for self-deception and self-indulgence. When we confess our sins before a brother-Christian, we are mortifying the pride of the flesh and delivering it up to shame and death through Christ. Then through the word of absolution we rise as new men, utterly dependent on the mercy of God. Confession is thus a genuine part of the life of the saints, and one of the gifts of grace.”

“Cheap grace means grace sold on the market like cheapjacks' wares. The sacraments, the forgiveness of sin, and the consolations of religion are thrown away at cut prices. Grace is represented as the Church's inexhaustible treasury, from which she showers blessings with generous hands, without asking questions or fixing limits. Grace without price; grace without cost! The essence of grace, we suppose, is that the account has been paid in advance; and, because it has been paid, everything can be had for nothing. Since the cost was infinite, the possibilities of using and spending it are infinite. What would grace be if it were not cheap?...Cheap grace is the preaching of forgiveness without requiring repentance, baptism without church discipline, Communion without confession, absolution without personal confession. Cheap grace is grace without discipleship, grace without the cross, grace without Jesus Christ, living and incarnate.Costly grace is the treasure hidden in the field; for the sake of it a man will go and sell all that he has. It is the pearl of great price to buy which the merchant will sell all his goods. It is the kingly rule of Christ, for whose sake a man will pluck out the eye which causes him to stumble; it is the call of Jesus Christ at which the disciple leaves his nets and follows him.Costly grace is the gospel which must be sought again and again, the gift which must be asked for, the door at which a man must knock.Such grace is costly because it calls us to follow, and it is grace because it calls us to follow Jesus Christ. It is costly because it costs a man his life, and it is grace because it gives a man the only true life. It is costly because it condemns sin, and grace because it justifies the sinner. Above all, it is costly because it cost God the life of his Son: "ye were bought at a price," and what has cost God much cannot be cheap for us. Above all, it is grace because God did not reckon his Son too dear a price to pay for our life, but delivered him up for us. Costly grace is the Incarnation of God.”

“In Him we have . . . the forgiveness of sins . . . —Ephesians 1:7Beware of the pleasant view of the fatherhood of God: God is so kind and loving that of course He will forgive us. That thought, based solely on emotion, cannot be found anywhere in the New Testament. The only basis on which God can forgive us is the tremendous tragedy of the Cross of Christ. To base our forgiveness on any other ground is unconscious blasphemy. The only ground on which God can forgive our sin and reinstate us to His favor is through the Cross of Christ. There is no other way! Forgiveness, which is so easy for us to accept, cost the agony at Calvary. We should never take the forgiveness of sin, the gift of the Holy Spirit, and our sanctification in simple faith, and then forget the enormous cost to God that made all of this ours.Forgiveness is the divine miracle of grace. The cost to God was the Cross of Christ. To forgive sin, while remaining a holy God, this price had to be paid. Never accept a view of the fatherhood of God if it blots out the atonement. The revealed truth of God is that without the atonement He cannot forgive— He would contradict His nature if He did. The only way we can be forgiven is by being brought back to God through the atonement of the Cross. God’s forgiveness is possible only in the supernatural realm.Compared with the miracle of the forgiveness of sin, the experience of sanctification is small. Sanctification is simply the wonderful expression or evidence of the forgiveness of sins in a human life. But the thing that awakens the deepest fountain of gratitude in a human being is that God has forgiven his sin. Paul never got away from this. Once you realize all that it cost God to forgive you, you will be held as in a vise, constrained by the love of God.”