New-York daily tribune. [volume] (New-York [N.Y.]) 1842-1866, 1851-03-26
RenenI oil The U.nrv LAWS.

The Assembly's Select Committee on the
Usury Laws has reported a bill abolishing
all penalties and forfeitures for Usury. If
q lender exacts more than seven per cent.
interest by bis contract, the law las pro-
posed) will collect for him his principal
and seven per cent. leaving the balance Of
whatever interest may be stipulated to be
paid or not as the borrower may see fit. But
few men will be inclined to repudiate few
dollars of extra interest while compelled to
pay the principal and seven per cent, 80
that the passage of this law will be sub
stsntial repeal of all legal inhibition of
UsurY.
The SUBJECTS certainly not free from diff
ficulties. We know strong minded, far
seeing men who arc hostile to all interest
whatever, contending that the law of Mo
ses on this subject is universally and per-
jpetualIy accordant with the Rule of Right,
and that the borrower, being amply secured
the return of the exact sum loaned at the
time when he will need it, should be con-
tent with that and receive no interest. On
the other hand, the great mass of money
lenders, with a considerable class of bor-
rowers also, insist that perfect freedom to
borrow and lend at any rates deemed ad-
vantsgeOus is the true rule, aud that money
will be cheaper in the average under this
rule than any other. Then why are the
lending class so eager for its adoption
But the very men who so hold have gen.
orally, in drawing bill to establish and
legalize any specifcated rate of interest,
taken care to stipulate for an exception in
the case of BankS-tO hold them to lending
at seven per cent. or lower under stringent
penalties. Why so, if money will be
cheaper in the absence of Usury Laws I!
The provision indicates latent conscious
ness on the part of anti -Usury men that the
rate Of interest is to great extent facti-
tiOus and arbirary-that the capitalist
class may by combination increase or re-
duce it at pleasure, and would do so if IN
impeded by Usury Laws.
We hold that the rate of Interest
might and should be low and uniform,
though not without radical change in the
Currency. So long as Gold and Silver
maintain the despOtic predominance hith-
erto accorded to them, the rate of interest
will fuctuete, though we believe wisely
adjusted Usury Laws tend to steady and
reduceit. The Circulating Medium should
be of such a nature that its volume would
increase or contract, not as individual inter
est or caprice, but as public good should
dictste-snd such will yet be the case.
The ideas on this subject propounded by
kellogg, Proudhon and others will not die.
though they will be years in permeating
and leaveniDg the public mind. The day
will come when dearth of money will en-
sure further emission, just as a scarcity
OF shoes and boots ensures increased activi-
" in the manufacture, and when super
hoi'y Of money will insure q gradual d.
mmuuon IN the quantity existing. Batthe
world cannot wait for that.
If The question Of interest only were
involved and if that were a simple one.
the matter would be easily treated. Bat
in the loaning Of money tto totally is.inct
cor sidefations are involyed-l. Tbsf of
interest forbcaTarce or use; .. Tha. of
cerfsiafy or uncertainty Of payment An
inventor ~ protector goes 20 men who
Del. nor,s. ord says o. h'o. 'Sir. hove
'i,uy comp. t,d au .aseat va WATCH viii