The evening telegraph. [volume] (Philadelphia [Pa.]) 1864-1918, 1866-05-04
FRIDAY, MAY 4, 1865.

debt on the Is of May, we may estimate il
at $2SO0O0O,O00. This aggregate is composed
OF bonds bearing different rates of interest
falling due at different times, and having diff
ferent provisions made for their extinguish-
ment or extension. Commencing to accumu-
late national indebtedness at the outset oi
the war, and not comprehending the magni-
tude Of the strife which was to ensue, we
naturally asked for loans as our necessities
required, and when at last the full force oil
our position dawDed upon us, the public credit
had been so much shaken by continual de-
mands, that we were obliged to contract more
debts at still more injurious rates to the Gov
ernment. Although such a condition would be
at the best of times incoherent and confusing,
yet now, when we remember that the Seven
thirty loan and number of compound in
terPst notes fall due next year, when it will
be necessary either to provide for their pay
ment, or resort to a conversion into Five
twenties what was before inconveDient become;
vitality important. There can be no question
that next year will decide the financial fate of
the nation. Either we will have debt bear
lug OLA ptL III SOlu3 VI ClSc SOu16
other form less oppressive to the nation; for,
during the course of 1867 and the early part
OF 1868, nearly S1,oOO,OoO,OOO OF the debt will
change its form.
Mr.. Secretary MCCULLoCH, seeing that it
would chen be necessary to provide for an
almost total revolution in the character of
our national Indebtedness, has prepared a
plan which cannot iail to recommend itself to
popular favor. The large proportion which
would be beneath his control has induced
him to conceive system whereby all may be
reduced to uniform standard. His bill is at
once so simple, yet so comprehensive, that in
a moment all its provisions are apparent. 1t
provides for the conversion of all kinds of
national indebtedness into Consolidated
Bonds" which will bear five per cent. inte-
rest, be payable in thirty years. and be tree
from all taxation. Experience has taught us
wisdom, and in this plan is found the essence
OF all the points which secured popularity to
the loans contracted during the war;
1t provides for long loan at a uniform
rate oil interest. The events of our struggle
prove to us that the people who have money
to invest land when we say the people, we speak
oil the great masses, and not the speculating
capitalists), prefer bond which will run tor
years, at low rate OF interest, rather than a
temporary investment at a greater remunera-
tiOn. This was proved by the Fve-twenties
and Ten-forties, which went as readily as the
SeVen-thirties, and had it not been for the
provision of conversion in the latter, their
additional interest would not have been COM
pensated. When, therefore, the consolidated
Bonds" are offered, we prophesy that they
will at once secure popularity fully equal to
the palmiest days OF the first issue OF the
SeVen-thirties.
In this funded form, old persons incapaci-
tated for active business, women ignorant of
finance, the guardians Of children, who desire
to save from danger their wards property, will
find a special investment, which must recon-
mend itself both as permanent and perfectly
safe deposit for the money. When once the
bonds are secured, then all that will be neces-
sary is to receive every six months the in
terest falling due. There need be no anxiety,
no fear OF defalcation or breach of trust. The
United States is their banker, and for thirty
years, if they desire, they can rest safe from
the tricks Of swindlers and the dangers of
fluctuations from trade. To the man
of active business, who keeps his money
continually moving, it offers an opportunity
for him to lay by, from year to year, sums for
his family which will be safe from all the
chances of his failure or his death. For there
he knows it will be safe. We predict that
these "Bonds" will be as popular as the Bri-
tish "COnsolS;; )" indeed that they will even ex-
coed them in the eagerness with which
they will be taken.- Foreigners now send
their money to London to receive English
Consols in exchange, and get per cent.
When this bill goes into effect, it will draw
from Europe her surplus capital, which desires
a safe investment at rate which, in the Old
World, is considered almost bordering on
usury.
Again, the freedom from all taxation Sc
cured to these bonds recommends them as
most desirable, and does away with any
seeming inequality between the I'VE per cent.
interest of the Consolidated and the higher
rates of real estate or bank stock. For
while the exorbitant taxes necessarily inn
posed on real estate make the exorbtant
interest melt before its power, yet the five
per cent. of the american Consols" is all
received, no deduction, no Withholding, but
all paid. You know exactly how much YOU
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