Constitutional Whig. [volume] (Richmond, Va.) 1824-1832, 1826-06-27
Vol. IU.-No. d..

tfEnr
c"'r"ctcr, and liable 10 all the penaitie Of the lac
CIR, 'nGy tell us that Tie lender conlers great favor
upon me borrower by the loan, yet for this favour he
makes him pay usurous interest II is = contr,n, -
trade and not OF friendship. The only nreccdon, ~
paying for friendship the cases annIanous 10
Gus bargains, Indian and Agerine treatiesIt is cnn
tended that the borrower frequently makes Iarre r,o
by the money hch he hires, and therefore car e.,
! TO pay large interest. Who runs the whole r;,ll ,
ony the loss of the profits, but the PRINCIPAL srns
iNot Tue lender but the borrower. In all Other c.eos
The hIrer does not the risk of the safety of tho I
hired, but when money is hired debt created yIo6
must DE PAID at all events whatever losses may ber,u
me borrower 1t IS said, TOO, the price of OTHER arI
Is not anu cannot be regulated, and that raoncy like
every thing else, must, and will find its level, IT.
'ogest advocate OF the maxim, that trade SHOULD be
ieit 10 una ITS own channel, that IFS course shon3 no, M
oostrncted, considers money sometime ,l;ac,o,.
from every thing else, and adrts il 10 be an co,a
10 Ihe RUE" Other articles may be produced or crea
eu a9 'iieE are wahtcd--tnoney cannot he. There IS
hot uH danger OF oppression in the purchase of goods
as IN Tue borrowing of money. a man is not uujer "a
Necessity OF purchasing goods as he is sometimes of oh
tanning a loan The relation Of lender or borrower is
widely dIeren from that of Uuyer and seller for ,ho
borrower by the obligation which c assumes NAV h,
put in the power of the lender who NAV horrass "a
Cypress nun He therefore needs the protection of thc
Jaw io MS security But the strong, perhaps the strono
est argument one constantly pressed against us nv o,
opponents, one which must be admitted TO be plansibl
ana specious, remains 10 be considered Ii is asserted
tiat Inc repeal OF UsUry laws will reduce The r,to f
interest by bringing money lenders into tho r,,
ket and that where there is penalty for Usurv fb
ehCei eXacs premium, for the risk which he is ex
posed rom tins IT Is argued that lie repeal of IIsur
laws operates favourably TO the borrower rro H.
suggestions tls reply is offered. The true reason WIN,
'he borrower pays cxhorhant interest is not as rrc
mum 10 The lender for the risk which he runs hint b
cause he is compelled to BY his necessities md the mo-
I'VE winch induces the lender, exact this exhorh;t,nt
'"'efest because lie can obtain il and his ayaricc
prompts him 20 demand it, Sir, will NOT those ro,;
es ana That ararce exist whether the Usury laws re-
main on the statute book repealed Their renot
VIE not essen borrower : distress, lenders ava:
rice Neher IT tine that the repeal will brine MOI
money 10 market Where is it To come iroma 3Thero
Is but little money Which lies idle The protested ona
lenders are already tlec. The miser who hos Lu-;1
hs talent in the earth, who with a snecns of ;r..,
lioiZes the gold which in lis hands is worthless be,
not trust II out Of his sight or lend il 10 any one for
an! interest whatever II mus; then be- that some one
no, now lender "i money is expected become one
nouccd ny The prospect OF high interest. To fIrns,
himself wiI the means 10 into the marie,
ne must sell ms property, for example his Bank or Ma,
nnacurng Corporation Sock-Supe enc rnrst I
ana the very money which The buyer nays G,r to 49,,
chase OF his Stock has been taken from the money ,re
Ne II l. manifest, therefore, that this operation i'm
NOT increase bnt vii" only The money TO the mar
ket Let u.s. however suppose tina there orc nono of
these difficulties in the way; that the repoaI of I;,r
laws can effect irnpossibiiitv can Increase ,Ia .
mount oi money! that those who will rot now lend tha
morey al SIX per cent because they can do better Win
H. VIII rush INTO the market and by competition brine
down the rate Of usancc This will he Gne staie ~
'hng Tor TIC borrowers, and the accomplishment of ue
euictons OF thc advocates Of The rcrcal of ury I
How OEg Will this state of tirrs Iasi2 WIN w.,
cease; " Ill not he who could afford to lend AT six
rcr cent before, now that lie cannot obtain even hat
IN consequence of the competition amcp fine lende,s
return WIN ms capital 10 his former profitable cn,
roymen: VIII! not The money market be as be(urc
the repeal, subject TO the controu Of tic rrofsed ma,
ucy-icndcrs alone, wi;h the borrowers N tloir
"'iho"' Ne sheid oi the law to guard then against y
t'rti"u! MS case IS put 10 for consideration. II -
sad tha nan knows tiat he purchase cood1,no,
"n'cH lie W" realize large profit, and that there is no
injustice OF baH IN his paving large interest for tIo
money by which be is blcd make the snccnI,t;r,
suppose ttaths expectations fulfilled let us po one
step further and find cot who paws the excessive into
rest hen Tie Spectator sells his goods 10 his r,so-
mers III estimating the price, lie puts on tie interest of
The money. az well as tie principal in The Same man
Fr As e importer adds TO ms invoice, to xpenses of
exchange. Does not the consumer tie country ron,
tic"an for instance, who comes down to the cc with
his READY money 10 purchase his supplies IN fact nav
tbs usnrious interest and for money which he never
narrowed. Nor can il DE countcrvaled by raising tbr
prices OF the articles Which lie sells FOR tcre IS n,
chance for combination among tie farmers q laroc
dispersed aud upright body Of men as ailorr s,E,u
number of practiced In a new country tor
where tie FnoEsy capital small compared with other
property where the dprOroriiun very rrcaf. where
the lenders must be few, and the borrowers numerous
1t would seem to DC clear, that The competition mt. al
ways oc among Tie borrowers, and the combination
among the lenders And ibis viii forever pot The many
IN the power OF The few unless The OF tie law is
sire tChed out for the aid Of tie tnauv
We have also been shocked with cor,DI,u,s ,cr.inst
the old law as creating inducements and hoLijpp nut q
1re and temptation 10 perjury by the provision rcquir
ing te credUor when the debtor offers TO swear 10 su
rs IN the contract 10 swear on his part that there is mo-
usUry IN TIC transaction, to lose his debt II Is STA
ted that Tie fear of losing tie money viii drive him m
The commission OF perjury but should be recolieced
tia this mode of forcing out tic rDh and obtaining
testimony from an adversary, is nothing now II is tie
practice OF the Court of Cbancery--a Court cocvaI
with the great Courts OF England. II is tie pract,ce
at The Admiralty Courts 1t was a part Of die iurs
prudence Of tae Roman Empire now exists in every
system oil the administration Of Justice, AT this day on
Inc continent oil Europe. We have ourselves within
few years, invested our Supreme Judicial Court with
an extensive Chancery jurisdiction aud With ic po,vcr
% establishing The Chancery practice, TO compel when
all oh'r ut'h5 ial OF discovering the truth, dsco-
sure from The parties. Yet no fears have bcor cn,cr
tanned iha this mode Of appealing to the conscience
OF the party, has been upon the whole productive
iof m'scmei: When no other proof exists one
may appeal TO his opponents conscience, end tho
appeal IS generally successful, for man wiz not
knowing that the worm Of will feed UPON his
MCaIt That LLere lrlhlLnal tul..L --,.,o