The Trinity journal., 1856-11-15
Endorsing Notes,

1t was well said by Shrewd observer,
that there were some things which every
man has to learn for himself 1t would
seem as if the folly of endorsing what is
called accommodation paper was one of
them Tens of thousands have been ruined
in this way, yet tens of thousands still con
tinue to practice it. Many who endorse
paper with immunity for years, discover at
last, that they also, in spite of their assertion
that they would never be loosers bS it, are
brought to bankruptcy 10y it. Sir Walter
Scott, who had gone on, from year to year,
adding acre to acre, farm to farm, woke,
one morning, to find that he was ruined
through his endorsements on ConStable's pa
per and the rest of his life, life shortened
by excessive labor, had to be devoted, not
to carving out the iayorte dream of his
ambition, but to liquidating the debts thus
contracted Even Barnum whose name
had become Synonymous with shrewdneSS,
fell before this deusVc habit. A calm OBJ
server is almost led to believe that there is
an infatuation accompanying the practice of
endorsing notes which luls Sagacity to sleep,
else how can he account for the fact that so
many able men have so to speak, gambled
away their fortunes on this mercantile rogue
et n0ir.
No man ought ever to endorse an accom-.
mediation note The fnanciering which
raises money in this way is radically wrong.
Generally regarded as the cheapest, it is re-
ally the dearest method, for the friend who
endorses for you is sure, some time, to want
an endorsement in turn and he who once
begins to endorse for another has put his
fortune at the risk of a hundred casualties
beyond his own control. 1t is game OF
hazard, which, once commenced, hardly ever
can be stopped. Money can be got so readily
by endorsing, that the temptation is great
to enter on speculatous that would never
otherwise be thought of and hence requires
the coolest of heads and the most prudent of
operators to resist becoming too extended
when Il habit of exchanging endorsements
has been fallen into Nine men out of ten,
sooner or later, get beyond their depth
Hard times" come on, and then insolvency
follows, as q matter of course. 1t is always
wiser to raise money on bona ide securities
and if these cannot be had then to curtail
ones business as fast as possible. Where
two men are in the habit Of exchanging en-
dorSementS, they are really in partnership
together, but a partnership only of risks, not
of profits, and worse yet, a partnership in
which neither can control the other.
So far We have been speaking of cases in
which there was mutual consideration be-
tween the partics-an exchange OF endorse
ments but what shall we say of the man
who endorses from motives of private friend
ship and not as business affair at all p
Hundreds Of such men there are, who en-
dorsc notes for social intimatcs to whom
they would scarcely sell IL bill Of goods on
credit, simply because they have not the
moral courage to say no. ltwould be wiser
in such instances, to give the applicants at
once whatever you can afford to throw away;
for then you know where you are because,
if you endorsed for him, he may involve you
for a larger amount than you can pay and
be sure Of one thing when you do have to
pay, as most likely you will, it will be at a
time when the payment will be especially
inconveuient. No private friendship, how
ever close, ,juStlieS one man in asking anoth-
er to endorse for him. He who takes of
fence when refused an endorsement, is I'M
worthy to be your friend, for he is ignorant
wherein true friendship consists, that rela-
ton giving no man the right to ruin another.
Take advice in time, and don't give or cX-
change endorsements if you would escape
sleeplesS nights or avert probable insolvency.