The Davenport daily gazette. [volume] (Davenport, Iowa) 1856-1869, 1856-06-27
NoNErAIY.

The Chicago Dsssocrai, in answer 70
inquiries relative to the interest laws
Of Illinois, states among other things, thai
the rate Of intercet in that State 10 fixed at
s per cent. per annum, that the law also
provides that in any action brought upon .
Sonsfart, where il is proved that Q greater
tate of interest is discounted or taken than
s per cent, the deiendan, may recover full
costa, and the plaintiff shall forfeit three
fold the interest taken or reserved. The
inv also provides that il q person con
tract to accept 2 lgssa,er rate OF 'neeres.
than 6 per cent, . third party may sue and
rccpver three times the amount 90 contrac-
ted Tor, which goes to the person suing.
A party having paid an excess of interest
over s per cent, may also sue and recover
three timer the am cunt paid.
The Democrat says it is unnecessary fOf
il to state that this law is generally disre.
ssrded by common consent. There are but
Few cases where G per cent. 10 stipulated
for; ten per cent. is considered the minimum
standard IL nearly ali transactions, and from
hat indefinitely. upwards, 70 three and Eve
pcr cent. q month. And it further remarks,
that if any one should attempt TO enforce
the law in this particular, he wsald and
nearly, or quite, every man in the CON.
rnunity derelict. and liable to be made 70
refund.
As it is in Illinois, 50 it 10 oil over the
country. The laws against usury are ~
general consent treated Is desd letters, AID
instead of their frequent enactment causing
them TO be more respected or obeyed, the
popular sentiment appears to be becoming
more determined to treat money - any 9TH
CT m~erchantable commodity, and buy and
sell it according to the current proportions
Of demand and supply. We cannot there
fore see any propriety in enacting usury
laws which the members OF Legislative bod
ies not only know are systematically disre-
garded, but which m ost probably the larger
number OF such members th emselves are IN
the habit oil violating.
In the new States the rates Of iateres,
are higher, and the laws against taking more
than the legal rate, are. if Possible, treated
with more con,smptuous indifference than
they are in older communities. In this
State, for instance, where the probable in
crease Of one, two or three hundred per
cent, in the value of lands, jus,ihes or
iempts men TO borrow money for sPecnia-
tive transactions al corresponding rates, it
10 perfectly idle to expect that any atten-
lion will be paid to a statute fixing the rate
al 10 per cent.
As eSery body lnows. the situation Of
Iowa rs regards q circulating medium, IL .
very sexatisus anomaly. II is the misfortune
of cur State To be the only one in the con-
federacy which has received Gil the injury
which could result from the hard money
theories Of Mr.. Benton. without any of their
alleged advantages. Restricted BY the con-
s.itution imposed upon them BY q sci Of ex-
perrin entail Legislators from having n
banks OF their own, the people of Iowa are
effectually deprived Of any of the problemat-
ical benefits Of q metallic currency, ny the
influx Of the paper money Of other States,
which no legislation can prevent. and which
10 irresistibly caused by the laws and the
necessities OF trade. And TO increase the
difficulties OF their financial position, and to
give il a complexion somewhat ludicrous %
we'll as embarrassing, the very men who
inserted in our code the restriction against
banking, have been for some time manu-
featuring large quantities Of paper money,
which purports to be issued under the laws
of Nebraska Territory, but which wa and
il intesded to supply . circulating medium
10 this State. The efforts have long been
maturing towards this consummation, and
il 10 probable thai the day is not distant
when the introduction Of this species Of
"Wild Cat money will be attempted on =
large scale.
We think tina: this movement ought to
be watched with suspicion by the business
men of the State, and ought TO be SUMMARY
ly thwarted by them, IL their own invest.
CATIONS should demonstrate il. detrimental
tendency. Let them reflect, ~ . part OF
its consequences, what viii be its efiec, on
the rates Of exchange with eastern cities,
and the unsteady and hsphazsrd nature Of
the influence which it will exert On all bus
iness operations,-snd if their conclusions
are that the proposed iraax Of this Nebrss-
ks currency will be injurious to their own
interests and those OF the State At large, il
will be in their own power, BY 3 proper I'M
dersta nding among themselves, 10 avert
the imposition with which they are thres-
tened.
IHDIcTEp.-The Grand Jury OF Phiiadel-