Thank you for your question.
The NIV translates it in the way that I would understand it.
Romans 13:8 Let no debt remain outstanding...
A person of integrity pays when what is owed becomes due. There is nothing sinful in taking out a loan; the sin comes when we refuse to pay when payment becomes due.
Under the Law of Moses lending and borrowing was recognised as a necessary part of life and legislated for as follows:
If an Israelite lent to his fellow Israelite he was not to exact interest on the loan.
Deuteronomy 23:19 Thou shalt not lend upon usury to thy brother; usury of money, usury of victuals, usury of any thing that is lent upon usury:
If an Israelite lent to a non Israelite he could exact interest on the loan.
Deuteronomy 23:20 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.
Christians are not under the Law of Moses but it serves to show that the principle of lending or taking out loans does not constitute sin.
It is sensible to live without debt as far as we can and to live ‘within’ our income.
If we borrow money for whatever purpose we must make as certain as we possibly can that we are able to pay it back.
To buy a house, a long-term loan is generally necessary and the building itself provides the guarantee that the lender cannot lose his money (we should borrow a lot less than the house is worth).Building cover insurance is necessary to the same end.
Insurance Policies are not loans. Some are required by Law. Others we need to examine our motives for.
Having taken out a policy we should make sure that we pay the premiums on time.
A Christian is required to keep sufficient funds in reserve to give to others in time of need so it is necessary to keep our bank balance ‘in the black’.
Luke 12:33 Sell that ye have, and give alms; provide yourselves bags which wax not old, a treasure in the heavens that faileth not, where no thief approacheth, neither moth corrupteth.
Bills should be paid on time and not delayed until the ‘red one’ arrives.
Credit cards are useful if we use them wisely and pay the full amount off each month.
If we find ourselves each month slipping further and further into debt a remedy needs to be sought immediately.
I hope this helps.