Covenant theology is a Biblical Theology, a conceptual overview and interpretive framework for understanding the overall structure of the Bible. It is often distinguished from dispensational theology, a competing form of biblical theology. It uses the theological concept of a covenant as an organizing principle for Christian theology. The standard form of covenant theology views the history of God's dealings with mankind, from Creation to Fall to Redemption to Consummation, under the framework of three overarching theological covenants: those of redemption, of works, and of grace.

Dispensationalism is a theological framework of interpreting the Bible which maintains that history is divided into multiple ages or "dispensations" in which God acts with his chosen people in different ways. It is often distinguished from covenant theology. These are two competing frameworks of Biblical Theology that attempt to explain the continuity of the Bible as a whole. The term "dispensationalism" is attributed to Philip Mauro, a critic of the system's teachings in his 1928 book The Gospel of the Kingdom.