Western Reserve chronicle. [volume] (Warren, Ohio) 1855-1921, 1857-02-11
Remarks of Mr.. Townsend,

State of Ohio, January 30th, 1857, on
the bill to repeal the law commonly
known as the Ten per cent. Interest
Law In Committee of the Whole.
Mr.. CHAIRMAN:-I have been highly
gratiGed and edited with the debate on
this bill, and much as l dislike 10 occupy
the time that might be employed to a
much better advantage by others, l can-
not let this opportunity pass, without
giving my reasons for supporting this
bill. Now, sir. in my opinion. the end
and aim of all governments. is, or should
be, 10 protect the weak against the exer-
else of unjust power by the strong, | do
not think the protection should extend
only 10 the physically weak, but to the
weak of all kinds, whether physically,
mentally, Or pecuniarially. and | deem
it TO be the duty of legislatures TO re-
strain, IS far as possible, all power that
is liable to be exercised TO the injury OF
one class of community by another /; no
matter what that power may be-where
it originates, o by whom exercised
the protecting arm Of the law should be
thrown around the weak, or those liable
to be injured; for this end was our gov
eminent established, and for this end. !
hope 1t may be perpetuated. This is the
distinctive feature of our government
Whilst otter systems have been formed
for the sole benefit of the powerful,
whether so by birth or other circumstan-
ces, ours, | trust, was reared on a differ
ent basis, the corner stone Of which, is
Equal and exact justice TO all''-the
powerful as well as the weak-the rich
as well rs the poor.
With this view of the subject, if it can
be shown that a high rate of interest, or,
an unrestrained power to exact whatever
the avarice of the lender, stimulated by
the necessity of the borrower may de-
mand. is injurious to community, surely
the matter demands our serious conside
ration, and this, l think; can be demon
s'rated. That it is proper subject of
legislation, think, is susceptible of proof
also. In the first place, government
reserves 10 itself the sole power to make
money, and 10 establish the value of it.
Now if it has this right, and l think it
will moi be questioned, has it not just
as legitimately the right to limit the
riice for which it shall be hired, as to
fix the price for which it shall be sold.
And again, when we consider the in
terest is paid in kind, it matters not now
scarce money may be, o how valua
bic, Il e interest bears the same proper
ton to the principal in all cases. II
money is scarce and consequently valua
bic. the interest is just as scarce and pro-
portionately valuable. If interest was
generally paid in something different
from the principle-in something, the
iuctuation of which in market, was not
dependent on the principal, then, might
ii with a show of consistency, be urged
that money is worth more at one lime
than it is at another but when we con
lend that money. is worth more money,
at one time, Than it is at another, it APP
pears, to say The least of it, simply ridic-
ulous.
Therefore, if six per cent. is enough
for money at n time, it is enough at
all times.
A high. or an unlimited tate Of inter-
est, must necessarily drive from bust
ne SIS. in a great measure at least, the
active, energetic, p%ersevering business
man. The man who possesses all the
qualifications for business except money,
must direct his energies in some other
than their legitimate channel, or seek a
field for operation where the protection
of the law is thrown between him and
the Shylock, who would take that, which
to him, is almost equal to the pound of
lesh." to wit: his means of doing bust
ness. Look around you and see who
are the asgal business men of the day,
and in nearly all cases, you will find
them men OF limited melns-mauy of
whom, | am sorry 10 say, struggle hard
TO keep their heads above the waters Of
bankruptcy, with The milestone OF usury
about their necks, and many sink never
10 Iise 10 the surface OF business life
again.
But. where is the moneyed mar in
the meantime. Why, sir. if in business
at ali. you will generally find him doing
business behind the sign of Broker, be
cause the trade in money is the richest
field a man can labor in, it yields larger
profits with less labor, than any other
business, and the more there is done at
it, the worse for the country, for the bur
dens generally fall. eventually, on those
who are least able TO bear them.
But here we are met with the obiec
ton that, "a mans money is his own,
and after he has worked for il, and has
II in his poss .%ssion. the law has no bust
ness TO say what he shall make Of it,
True, but the law has a right to say
what he shall not do with it, and this
right has never been questioned. II
says he shall not use it to bribe a public
officer, a witness, juror, voter, &c. He
shall not buy toIen properly with it
knowing it to be stolen. &C., and in nu-
merous other cases, and without any in
justice whatever, TO the owner Of money,
the law points out The manner liz which
he shall not use his money, or his prop
erty. He shall not use il for purposes
of dishonesty, he should not use it for
purposes OF oppression. This is a power
that has long been exercised, and the
hight has never been doubted, nor indeed,
can it be. for the principle is founded on
justice and equity. and is consequently
lmmoyeable. | deem it. SIR, to be as
much the duty Of legislatures, to shut
up the avenues TO crime and oppression,
as is to provide for furnishing the Grim
inal after the crime is committed; and |
do think, this high rate of interest. or an
unlimited power in the matter, is one.
among the greatest thoroughfares to
wrong AMI oppression-one, that we are
loudly called on in our Legislative capac-
ity, TO close up. and ecure with the
bolts and bars of usury laws.
TO prevent the multitude, who seem in