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...The words testament and covenant are virtually synonymous in their theological usage, the Latin definition of testamentum being "a covenant with God, holy scripture." Thus, the Old and New Testaments, as we commonly refer to them, are written testimonies or witnesses (the Latin testis meaning "witness") of the covenants between God and man in various dispensations.
Jeffrey R. Holland
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...The words testament and covenant are virtually synonymous in their theological usage, the Latin definition of testamentum being "a covenant with God, holy scripture." Thus, the Old and New Testaments, as we commonly refer to them, are written testimonies or witnesses (the Latin testis meaning "witness") of the covenants between God and man in various dispensations.

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...it is a mistake to reduce every decision about Christian living to a "Heaven-or-Hell issue."For example, some ask if the Bible specifically says a certain action is a "sin" or will send them to "Hell." If not, they feel free to indulge in that action unreservedly and ignore any scriptural principles involved. But this approach is legalistic, which means living by rules or basing salvation on works. It treats the Bible as a law book, focusing on the letter and looking for loopholes.By contrast, the Bible tells us that we are saved by grace through faith, not by our works (Ephesians 2:8-9). Grace teaches us how to live righteously, and faith leads us into obedience. (See Titus 2:11-12; Romans1:5; Hebrews 11:7-8.)