The day book. [volume] (Norfolk, Va.) 1857-1867, 1865-11-30
R6T Owing to the storm last night we re-
ceived no Geographic dispatches.
PRESENT LEGAL INTEREST IN
SUFFICIENT,

For number Of years past, practical bust
ness men in this State have seen the necessity
of raising the rate of interest from six per
cent. to figure that would induce money be-
longing here not only to remain here, but to
cause money from elsewhere to flow into the
State for investment. But they unfortunately
have been mis-represented in the counsels of
the State by impracticables and as a result,
the business operations of the people Of this
State have remained hampered with the legis-
lation of half a century ago. Fortunately,
or unfortunately, the war has upset the old
regime and given us, in great measure, new
men to legislate for us. 1t remains, therefore,
to be tested whether these new men have the
common business sense to meet the emergency
that is upon us at present, by SO altering or
amending the laws in regard to legal interest,
money to set the machine to work again.
The legal interest in this State is six per
cent, the interest paid by government is seven
thirty. Which party in this case is likely to
get the money? Not the six per cent. man.
To satisfy ourselves of this, it is only necessa-
ry to revert back to a state of affairs that ex-
listed prior to the war, where most of our
monied men had their means invested in North
ern stocks, in which they realized considerably
more than the legal interest allowed by that
law
he ipHn al inf Of
quire money. All of them are comparatively
crushed by the war. The farmer, the miner,
the merchant, the mechanic, all need money.
There is plenty of money ready to flow into
them, but not at six per cent 1t won't come
at that figure, because elsewhere it can realize
from eight to ten per cent. No one can doubt
the urgent necessity our people are under for
means to prosecute their business. What, then,
should be done? Shall Virginia, ethe mother
of States and statesmen, follow the lead of
her younger sisters, and advance the rate OF
interest, or shall her people remain impover-
ished, for g consistency's sake"
We all know that, hedge around these usury
laws as we may, there are those that will find
means to evade them and it really appears
to us that the most reasonable course to pursue,
under the present circumstances, would be to
give considerable more margin to the moneyed
men than what is at present allowed by law.
If the laws were to allow the Banks to de-
mand eight per cent, and outsiders ten OF
twelve per cent, we should speedily have
enough money in the State to give her every
industrial interest an impetus that would drive
poverty away from her doors To be sure
such license might possibly entail upon us
some evils; but it is very doubtful if they
would be as serious as the evils of prostratien
and stagnation under which we now labor
The State Of Virginia is an empire within
herself. She has everything within her Dor
ders, and can grow everything on her soil
that her people may want, even if their num-
bers were hundred times multiplied But
she needs capital-money, ready money-fol
the development Of her prosperity. She has
gold mnes-but her gold mines cannot be
worked without means Then, in the name
of common sense, we call upon her Legislators
to remove at once the barriers to her advance
ment and prosperity, by setting the rate OF
legal interest as high as any of her sister
States.