The Wheeling daily intelligencer. [volume] (Wheeling, W. Va.) 1865-1903, 1866-12-31
Union City Ticket.

"SSaSuASAV ~ tle IepeAA vi the OAu IT.
Einia uSuy:'sTaI.aEEsSet in force i'll this
State. The Legislature OF Virginia
have heen lately discussing the repeal
of the Virginia usury laws, (which are
identical with our OWN. We noticed
some time since that bill to modify
them had passed the House, but we
have not been able to learn what be-
came OF 1t in the Senate.
The usury laws OF Virginia, are
AMONG the laws West Virginia adopt
cd at second hand. They provide, in
brief, that the rate OF interest for all
loans whether OF money or "other
thing" shall not exceed 9 per cent, that
contracts at n greater rate are void and
the borrower not bound TO pay any in
terest; that the excess over t per cent.
when paid may be recovered; and that
the party taking greater rate also for
feits double the principal, one half of
which goes to the informer.
Il is true that this stringent law is
Omen evaded by process known as
"kitinE," or is disregarded by parties
who rely on the honorable secrecy Of
borrowers at a greater rate; but the
INST is roundabout and sometimes
embarrassing way OF edectinG loans,
and in the other case, the lenders are
entirely at the mercy OF the borrowers.
While the law may thus be rendered
practically null in individual cases, il
yet exercises sufficient restraint on
business circles to have very mischie-
viors influence.
There is but single argument which
we have ever heard in favor of any
Limitation on rates of interest by State
legislation; and that is, that it protects
the poor msn from the eNtortions of the
rich. This is one of the numerous ar
Kuments that men effectively address to
an unretiecting public, which neverihe-
less are altogether Sophistical. The fact
is that in the main poor men are not
the borrowers. The great bulk of Dor
rowing is done by manufacturers. large
traders and operators OF various sorts
men who have some means, and on this
are able to borrow more. II is in the
free circulation of the money disbursed
by these men that the laborinE nom
capitalists lind their harvest. Indeed,
it is rare that really poor man can
borrow at all, because capital always
requires security, either personal or
collateral. So that practically this ar
gumeut falls to the ground for want of
any basis in truth. II any other refu-
tation were needed il may be found in
the example OF the States where there
Is no such restriction, where the gener-
al prosperity far exceeds anything yet
attained here. II is of course
possible to imagine individual
cases Of supposed hardship, where men
may be compelled to borrow at a
high rate OF interest. But no law can
suit every case. The present laws do
not guard against such cases; for al
though you may say by law that man
shall not receive more than six per
cent, you cannot compel men to loan
at that rate. Nor are they likely to do
30 when just across the Ohio river, or in
cities but few hours distant, they may
lend at much larger rate. But the
true theory of legislation is that it looks
TO general results. not to special ends.
The argument before the legislature
last winter against the repeal OF these
laws was that it was a movement of
the brokers. Now the fact is the bro
kers have about as little interest in It
as any other class OF men. Indeed it
is probable that if men could lend one
another money at living rates as freely
as they deal in other commodities, a
great deal Of money now locked up in
bonds and stocks would be put in cir
culation, so that the brokers would
have rather less to do than before. But
save in the matter of little trouble
the brokers here need not care, and We
suppose do not, whether the usurv
laws are repealed or not: for they can
and do lend the bulk of their money
outside of the State.
Other classes of business men have IA
deep interest in putting Il period to the
present state OF affairs here. They
want whatever capital our own citizens
have to loan, loaned and circulated
here at home. II any body ofmen have
more interest in bringing this about
than the working non-capitalists, we
do not know who they are; for when
money is driven away, trade lam
guishes, work stops, and their resources
are cut off. And let it be remembered
that in all times Of stagnation, those
who actually come to want and suffer
ing are not the wealthy or middle
classes, but the poor, whose daily bread
depends directly on whether capital is
able to give them work.
II is at best but a narrow species of
legislation which ignores the welfare of
the moueyed classes OF society, which
in fact aims rather at their detrimcnt.
from a supposed antngonism between
their interests and the interests of those
whose only capital is their labor; for
labor without capital is helpless, lust as
capital without labor Is useieEs, The
two classes III those may be termed
classes who are only separated by the
circumstances and accidents OF fortune,
have an interest in common. Men by
their success or failures in business. are
continually transferring themselves
from one to the other. The poor
man Of to-day, in prosperous times,
may be the capitalist of Lo-mor-
row, and vice versa.
II legislators would only be content
simply tn let capital alone; to leave it..
nptrnmmeled, to seek its own channels
It's own level, it would be much
Ter for all classes and interests.
here Il no reason in commonsense, as
tue experience of other communI-
4iaa nlIoUEa there IL nnna in hnsinnan r.