The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1854-10-06

tous oppression Of any gsatve boay assn misg -ort
Of fathery that has been asked Of Thorn ~
their constituency
All the 'snaenss Of the presess dsy require freeosm
In our currency movements. Our tiis to mooey Is
of property In r.gsr thsp TO the rate Of interest
loans OF capital need only 70 ask govcrumert TO
determine proper suitable maxi mum rate 70
vern In the absence Of any contract, also mAim@
rate TO upon deferred Judgment Ia lag, after
it's rsooiuon and then leave ndivau and banks and
other entirely free to mako bargains
they eas, upon every description OF loan or credit
that be or subordinate eoiy I, the same
rules and principles that govern IN all other human CO.
| verants and obligations.
More han twofhids OF the ststcs II Usion have
made honorable progress towards the ni consunma Ion
al hich VOC committee aiming Some twenty tso
Of States have usury s " so enent as merely
20 forfeit the Interest upon usurors transactions. aud
this has in ali cases found adsfsctory
IL certainly would rebound 70 he honor Of this great
sats 10 taye forth With one step ahead OF All her GO
peers stand on the proud einsnce Of entire free
dom in important element in social compact
il the Medium OF Exehange"
other Of the minor argn meas Of opponents 1t
frst to notice their Icing continued aud pertina
party asking relxstio In our usury laws. This Is
snmmariiy met and orerthro~n by our having proof
that almost every ore Of the very sigusss 10
our men ora's for relief borrowers tor the siegt
mate purposes Of useful cuisine they having also thu
ight to borrow for any pose seeming TO themselves
that proper regard fos, fairness viii nducs op.
losing friends 10 crop entirely that feature in their
mark AID meet Us honestly and candidiy upon the
another nt touched by tie friends OF restriction Is
tAat riso usnry law h 20 chsck wild speculation In
states much j. -aic about Wisconsin,
thst S'ae was named II sort y text pamphlet for tho
restrcticnists, which Iepuslishei in 1880 IL Is
said ihat some OF the farmers became 80 Encouraged
there 20 20 90 10 California ahete, by the bye theY
had. probably VIII have, any restrictive
usuy laws No proot has eser been shown that specI
aton aggravated In Countries for wsat Of
legislative tnksficc. Wild speculation Will Occasionally
1hd its way into All States ghsher they do do
have usury laws No rnsiter what human VS. are
to have occasional njscretions In trade well in
az in old .tai.s II IL the roa. fancul sLurdity to
suppose prevent this by and hen turning
legiitve All ence, the earliest re
cords OF history shows the tutiiity Of such hopes.
In he interior who owe on bond and mortgage
fearful that relaxation or repeal q our usury lava
might inHuce lenders % cali 10 their money, and thus
disturb rtgages To the great det-ment Of the agri
cultural districts Of cur State.
In 10 this, would say 10 he farmers that
good influences drawn 10 focus at any great CONNER
cial ma 9 radiae immediately thereto every point
q the COMPASS The beneas Of city and country
always reciprocal; neither the the other
thrive without entire sympathy OF feeling.
nres that clog the free action of currency njure
farmers and manufacturers quite much as they do
merchants The state Of things We seeking
would greatly increase the facilities of farmers and
other enterprisirg business men in the INTERIOR It
would moot efIectusiy put stop to Gil oppressive
stratasens that have teen and are at rssorted to as
veil country as IN city in the vain belief of thereby
There would be no temptation to such wicked
senso under the new state Ct natters The freedom
snts all state In all their Ip,oratons
INTO scopsin our opponents did not nud half 80 high
but in and about the Interior towns. right rder the
very guns CT our usury laws
Our opponents aim TO sustain themselves ia some
measure by referring to feelings thai cherished
against In ancient times We might upon that
pinciplo justify infripgewents upon religious rights
BY citing of ecclesiastical severity in former
sses, might deny the present theory of
pisoetary STEM merely by referring TO what said
plnaA MA cd
this fsllscious manner be re-estahlished
Instead OF yielding 10 doctrine for no
other reeson than because II il ola must look upon
modern roress and be governed by what the experi
enccs the present day show to be moot conducive to
our substantial good
Before concluding this report your COMMITTEES wound
add some further comments upon the subjects of banks
being cor s,,ered the Creatures Of lceislatoa.''
II should be borne la mind that Tree banking law
or general laws of the state IN relation banking
Citations have placed bants in more dsniied and
every way useful attitude than they formorS enjoyed
When association OF Individuals possessing the re-
gusite MEANS wish to establish bank under our pre-
sent general banking laws they legally claim it IS
posss right Such right, too ia to re extended our
citizens IN simple form and free from all COM
plcAton and tramme any association of individuals
poses.
Banks used for deposit snd for loan and for crcu
OF the country much ailicacious and productive
when propefiy conducei, and wnen not deprived Of
" tne natural rights they arc very seryiceable IN
the encouragement Of credit and in the promotion OF all
the useful enterprises Of the day
They draw out into channels OF efficient action many
small Gums that would otherwise remain idle in hands
not qualified 20 put their money into active use.
In allowing banks follow the natural current Of tho
market up or down, in charging for the Of money
precisely on we allow insrranco compsn les to fol.
low the market rates IS to premiums Of Insurance
We but follow the example of tho two great moncy
markets OF the world, London and AInsterdam-the
Bank Of England and the Bans of Amsterdam being en-
tirey FREQ from all psury restrictions. The public here
movements Of these Ibc al measures II would net Be-
necessary to bargain at the counter fer each note dis
counted but the banks would Of course watch all the
thereby In Issuing their notices to the rates OF dis
count.
II would Immediately be seen as It was sesn in London
that The price during money pressure would gradually
riae BY geatle degrees and not jumps as we
bays Il In Wall stret 1t would thus rac a. Il always
does in the European money markets, until the rate
CHECKS the export OF The bullion and then pressure
would subsde and tho bank rates would OF necessity
snd by Thelesome competition, immediately begin to
decline In the two great money markets Of the world
to which reference has slready been made o. being fires
Of that stability Of soften so useful in commeresl
buairess nlso 81 lower ree of interest than AFRO
current at any other place whatever There mover yet
always been lowered BY relaxation in interest laws
We msy not 10 this country for many years to come,
see the rate of interest 80 low here II is in England
and Holland, and yet, inssnlrch as the same govern
mental action hss and in Europe precisely alike in
secure the same reaye .asisy Which they enjoy ts A"'
word may also be appropriately added at this stage
o. our reIaar ss TO the general character Of bank
directors In this country. they in this city
stance, from among eur most active practical msr.
chants whose In ell conceivable respects har
monte With all the peea1ry interests of the conau,u
nifty nt largo that ncsntng be unjust than
to imputo to them any improper purpose Of injurng
the money market by combined action. We hear It
said occasionally, that "thc banks" are doing this or
that, 10 accomplish improper ends OF their own
when in TRUTH They DO not confer together 50 much as
they ought.
In drawing this report TO close your comEittcs viii
briefly speak Of ono or two more q the beneficial In
fuences that would result from the freedom yht
The luggsh capital of Holland snd Englaus and other
places, would derive groasly increased tendency to-
wards New York BY the beralsng of financial laws
Foreign capital now shrnks back from every day bu
sircss channels
The money holders Of Holland particularly naturally
suppose mean something by the formi liable aspect OF
our srnisdemesnorn and our forfeiture threats They
fear that, in working horc with their money through
agents, they might not be able to compete fairly with
capitalists on the spot who know, think they know,
how TO discriminate betv thoee who will stand faith
fully to their engagements to psy the market rats and