How does grace lead to peace in a believer's life?

Grace, defined as the unmerited favor of God, is the foundation upon which believers find peace. As articulated in Galatians 1:3, grace must precede peace; without grace, there can be no true reconciliation or peace with God. When individuals understand their need for grace, they also recognize that they cannot achieve peace by their own efforts or merit. This realization leads to a profound sense of inner peace, as they now rely on Christ’s finished work for their standing before God. Thus, grace ultimately transforms a believer’s heart and mind, filling them with the peace that surpasses all understanding.