We are fighting today for costly grace. Cheap grace means grace sold on the market like cheapjack's 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. Since the cost was infinite, the possibilities of using and spending it are infinite.
Cheap grace means grace as a doctrine, a principle, a system.
It means forgiveness of sins proclaimed as a general truth, the love of God taught as the Christian 'conception' of God. An intellectual assent to that idea is held to be of itself sufficient to secure remission of sins. The Church which holds the correct doctrine of grace has, it is supposed, a part in that grace. 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.