Wilmington journal. [volume] (Wilmington, N.C.) 1844-1895, 1858-09-10


sold at what it will bring and serves to satisfy the fam
shing people but in the case of the money the State
steps in, with her usCry law, and says sOp You shall
sell money within my limits, unless you sell it at my
price, per cent, and then you must pay quar-
ter per cent for doing this So the suffering people are
still left to suffer- and yet the remedy their own
hands,
Further, as to what would be the result of relaxing
the usury law : have said it would make money more
free more abundant and of course more cheap that is
interest would be lower l do not mean by this, that
money is to fall to the low rates of Europe, do an
ticipae that it will often be lower than per cent but
mean it would at time be so high as it
has ranged for the past few years. and is likely to
long the prosperity necessity of the country
ates demand for it that only be supplied-owing
to usury aw-fr0m the money that may happen to
be in the country. have said the argument was in
favor of the relaxation of the usury law Now what
are the facts? Among the documents have collected
bearing upon this point is prepared by the Chamber
of Commerce of New York, "a highly respectable body
of the first merchants of the worldly and printed under
their authority in this it is stated that relaxation has
never in instance failed to lower the rate of inter
est" and it will be found that stringent usury laws
have always ben accompanied by violent and frequent
disturbances in business" And again. 1.-TWO instances
upon record in the commercial histories of France
and Russia The experiment of trying to force down
interest was tried and in both cases failed At the pc
RODS alluded to, the market rate and the legal rate of
interest running along together at five per cent per
annum; Government took fancy to reduce the statute
to four per cent per annu upon which the market
rate rose to per cent and the Government DEGREES
were promptly revoked"
Again: the result of relaxation of the usury law
and its total abrogatiOn has been in England France
Holland and in Spain, to reduce the rates of interest in
eUery and in all the commercial Cities of our
country where the usury laws always ignored the
rates of money have been reduced and in those States
that have modified these laws, making them LIBERAL
the effect has been in evey instance to lower the prev
rates, though not in all instances to bring it down
below per cent that is not to be expected in and
prosperous untre where ent rprse and industry
so highly paid
What do we see at the present moment? In New
York where the legal rate of interest is per cent
ney find investment, good security, at to
4 per cent. And it is the same in Boston and in
Philadelphia. Be it noted too that in Pennsylvania the
usury laws have oeen so relaxed that money is virtually
free.
! Some timd men among us, who ignorant of the
practical effect of taking off the shackes from trade and
commerce which the ignorance and prejudice of bygOne
ages had fixed them, ear lest if men have the priv
ege, unchecked, OF charging such interest their
avarice would dictate, that still higher rate would rule
but moments reflection will show that this cannot be
the result tor already have the privilege uncheck
ed OF charging the price their avarice would dictate
corn and all the other neccssaries Of life but the nvar
able law of supply aud demand steps in and regulates
the price, and money free would the same law
step in, and the very moment that prices became hgh
throw in sufficient supply to regulate the price This
is no theory; it is the practical effect witness the
cent result in England where money free The recent
panic drove money up from g. per cent in few weeks
to 10 per cent. An immediate result was, that money
rushed in from all quarters supplies that not hith
ertO knOWn-hOards that not suspected were
brought forward and in less than half the time it took
to carry the rates from per cent to 10 per cent, it
brought back to per Cent and it IS difficult i'll
England to make secure investment at % per
: cent. per The the result in France
and Holland and also in country, wherever the
usury law was more relaxed as is seen III the present
rates of interest
do not pretend Messrs. Editors in the short limits
OF newspaper article, to write treatise usury.
only desire to commend the subject to the earnest and
honest consideration of those who will be called upon
next winter to act for the advancement of our good old
State which has been long kept back, trudgng along
f in the mud of Rip Van Wrinkle and old fogysm, till
some among begin to think that Carolina " has
been singled out from her ssterhood OF States to be the
dried up old maid " which Mr. McRae would make
her out to be- Ii she is to be So it will be the fault of
those who have her destnes in their hands, and not the
fault OF nature which has made her bcautcOus and
lovely and loveable, and amply endowed her with all
the riches and blessings of this life.
Yours very respectfully
Ii. K.B.
; We publish the above by request The writer has
evidently paid than usual attention to the subject
of which he treats, and his remarks will be found
worthy of consideration in view of the fact that
some mOdlUcaIlOn OF the uSury laws has Deen
g regarded as desirable by many and that an
effort in this direction will probably be urged dur
ing the approaching session of the General Assembly,
What constitutes usury is quite arbitrary. In this
State per cent is usury. In South Carolina it
is legal interest State and corporate bonds arc Offered
in market upon conditions that totally ignore the spirit
} OF such laws. The town of Wilmington issues her
bonds at per cent and sells them for
what they will bring. If John Smith were tc
do the same and Bill Jones to buy them, the transaction
would be illegal because of usury. Why not let John
Smith take his chances in the market equally with
corporation State? The thing is certainly worth
thinking over.
Mr.. RoEBUCK ON THE ATLANTIC. 1ELEGRAPH.-Mr
Roebuck and Mr.. Lindsay, M. p. had been to Cher
bourg and upon their return invited to address
= the Mechanics Institute at Tynemouth, when Mr.. r
y said
My honorable friend and myself went to Cherbourg
! We went there to see sight, and sight did see
(great laughter) and while there hearI of
greater feat than any that we saw We learned that