Edgefield advertiser. [volume] (Edgefield, S.C.) 1836-current, 1839-10-03
Miscellaneous.
TO aie Editor ofths South CarOiinian:

licatlou, anu the misrepresentation IN
which those denunclaluns seem 10 have
originated, render It in some sort, my duty
TO explain the true OBJECT oi that paper. so
far as understand ii, and TO state, more
over, the exact relation bear to it.
While remaining few days in New
Fork, on my return from Europe, | met
with two OF my friends, VINO were cotton
rlau,ers aud the extraordinary and arti-
iiciaL stale ot the cotton trade, aud its cou-
sequent exposure 10 the mercy Of adverse
combinations, on the other side of the wa
ter, and of every great pressure in the mo-
ney markets, Of either London or New
York, became the subject Of frequent con-
Eersation between us. We concurred
fnlly in certain leading features of plan
tor restoring the trade in that staple, which
is the actual currency Of our foreign co"-
nerce, 70 something like the stability and
uniformity which should belong To an arti.
Gle performing function so highly impor-
1au,-a plan which would, at The same
Time, promote the interest of the cotton
planters. give to our southern banks that
Control over the foreign exchanges, that
naturally and righfully belongs to the
States, which produce the staple upon
which, nearly all the foreign Hills of the
United States are drawn; aud by this
meaus give powerful aid, to the direct
trade oil importation and exportauOn,
through our southern cities. in which all
parties among US take SO deep au interest.
will now very briefly, state the out
lines of the plan, TO which have alluded,
so far as my views aud opinions are III
voved in it.
propose that the eristing banks, in the
rotton growing States, should dlscount'he
notes of cotton planters and Others, upon
the security of colton, actually deposited
in ueigboriug warehouse, every paper
being put in possession OF the bank, neces-
:sary 10 the completeness aud security ofi's
lien. That the notes should be discount
ed at 80 days, with an understanding, thai
If the proprietor Of lne cotton determined
uot to have it shipped to Europe III that
time, the noie must be punctually paid at
ats maturity, or The bank be authorized to
have the cotton sold, holding the surplus,
otter paying the note. as deposite to the
credit OF The proprietor.
But il the proprietor determined 10 ship
bis cotton, which ii is presumed would be
the case, in most instances, the bank
should be authorized. at the end of the W
days, to draw ninety days nill upon En.
sope against the cotton. having been a,
the time Of the shipment, placed in posses
sion OF all the documents necessary to make
that authority effective. the planter or
proprietor, retaining the control over the
times and terms of SELL g the cotton, pro-
vided it be sold in lime to discharge the
bill drawn against it, at its maturity.
This is the whole SUN ami substance OF
the plan, so far as | have had any agency
in it. In setting down 80 days as the tine
shat the notes discounted, and bills drawn,
should have to run, have merely adopted
what suppose would be convenient pc
rods, subject of course To such InOditlSa-
,ions as experience may suggest.
This is a very simple plan, entirely un-
incumbered with new or experimental ma
-chinery; and though it aims to work no
miracles, | will point out in a few words,
wha, consider he plain results aud obvi-
GUS benefits it would produce. TO our banks,
and our cotton planters, and our mer-
chants.
Itwoull place our banks OIL more So
lid foundation than auy other banks in The
United States, by giving them a constant
supply Of foreign exchange. For exam
pie, send my cotton to Charleston, at any
convenient periods. | apply to one OF
our banks, to discount my note at 81 days,
upon the security Of that portion of my
cotton actually in the warehouse, instead
ofpersonal security; the bank having the
cotton inspected, its current value esI-
mated by competent Judges, and discount
lug my note for such an amount as will
render the transaction perfectly safe. Al
the end of the SO days, | pay off lay note,
not in the bills of the bank itself, which it
cannot convert into specie, hut in an un
questionable bill Of exchange on London,
which authorize it TO draw, payable 9U
days after sight, on Barring, Brothers u
Co., with whose house in Liverpool, have
in the mean time, caused my cotton to be
deposited. subject to the lien OF The bank.
Now, every welI-informed banker knows
that, bill of exchange upon London, is 10
u bank here, precisely equivalent 10 so
much specie in its vaults. For all prac-
tical purposes, therefore, pay off my note
to the bank in specie. 1t follows that a
bank, that would so largely into this busi-
ness, would have constant supply Of
sterling exchange, of the most unquestion-
able kind, that would render it perfectly
impregnable. So much for the immediate
benefits this plan would confer on our
southern banks.
The benefits which the planter would
derive from it would he, in The first place,
The prompt conversion of large proper
lion of his cotton into cash, as soon as it
reached the market, without selling it, and
,y;,bon, ostino any costly fayors oc bis