The daily dispatch. [volume] (Richmond [Va.]) 1850-1884, 1871-08-29
The TJsury Laws.

,,,.de 70 the man who honestly believed
.h.t Ave ner cent. was the natural rate Oh
,ntorest On morley. One Of the candidates
far the House OF Delegates in Louooun
county seems to bc of the opinion tna'
s,x nnr cont. Is the natural rate OF interest
No vii, 90 for "no more and no less " he
pttcrlv refuses to compromise on eight pei
cent. and he quotes distinguished gen
tleman az authority for the statement thai
the new interest law is the most rulnou'
measure ever adopted in the State worse
than the war in it's effects upon the farmers
of Virginia. This candidate says :
at is natural for bankers and money
lenders now receiving nine per cent ,., H.,
terest, and making heavy nron,ss:, " ,, ;ns0
farmers are failing under their oiilcur!t,'hi Ills
to want to cast aside the discussioit o nf the
question, and give us the siren soH ~ riubt.'
legislature last winter that ar All KIT
nobody opposes tho SIX Istt those things.
,,d t.bile this small but active ana lniuet'
t;aI r,rtv is uu,ctlv at work, ana the hich-
, rl", ID E,oyirt1 aud Dispatch and otncr
iaodinc ;ournais arc warmly advocating tne
nreseni twelve per cent. law, we want 10
know where our candidates stand IN fe5aiu
toit."
As to this particular candidate we have
nothing to say. lie and his opponents are
all opposed to orr present usury laws. But
ne to those laws we wish to say few words.
"Bankers and money-lcnderS constitute
but small proportion of the population Oh
Richmond. 1t is not their special interests,
therefore, that our legislators consult when
thew favor liberal rates Of interest. The
people here are generally opposed TO all re-
strictions upon trade. They are entirely
unable to understand why it is wise to al
low JONES to hire out his horse for as much
money as he can get for it, and unwise to
allow him to hire out his money for IS much
As he can get for it.
Why should farmers be injured by the
present usrry laws! If they do not Dor
row money they will have no interest to
pay. and therefore cannot be damaged by
these laws. Why should they, then, wish
to deprive other people Of the privilege Of
borrowing at twelve per cent? II, Oh the
contrary, they wish TO borrow, they will
soon learn that no law can be made that
will induce the capitalist to lend money III
siX.per cent. when he can get twelve for it
Even the United States bonds bear interest
at the rate OF six per cent. in gold, or nearly
seven per ceut. in currency. What foo
will lend money at six per cent. TO private
individuals when he can get seven from the
Government, and collect his interest semi
annually without more trouble than is III
volved in asking for it?
If the clamorers against our usury laws
were out of debt they would look at the
subject from different point of view
Their creditors are evidently pushing
them. The creditor wishes to get twelve
per cent. on the debts due him which have
hitherto borne but six per cent. interest.
This is the source of all the opposition to
the usury laws. Debtors have been so
long favored by stay laws that they have
become dcmorulized. They do not wish to
ray theif debts at alf-that is, if to pay
them would put them to any consider
able Inconvenience. And the indications
arc that they not only arc not ready
TO pay their debts, but are not willing to
pay Il fair price for iorbcaiance OIL the part
of their creditors. These men ill the air
with their complaints, and thus induce u.s.
pirants TO legislative honors to take sides
with them. Such state OF things is d.
plorable.
How can high rates of interest iniure
anybody but the borrowing class? And
what business has this class to borrow at
Ill if it must lose by the operation? Why
not put the restrictions upon the intelligent
borrowers rather than upon the innocent
and non-intclligent money? The people o.
this country spend annually six hundred
millions of dollars for liquors Of all sorts
This reckless and worse than useless eX
pcnditurc of money is, according to some
writer's, the fons ct origo of all our troubles
The same people annually pay several hun
dreds Of millions Of dollars in the shape O
taxes to the Federal Government. In tin
opinion of other writer's, this drain upon
the popular purse Is destined TO whelm til,
country i'll ruin. Then the same peOpIt
pay every year other hundreds of million:
Of dollars for silks, satins, cigars, din
monds, jewelry, tea, coffee, and other
things, without which they could do very
well. These. in the opinion of still anothel
class of writer's, will yet prove the ruin Q
the country. Now, there is not in In,
country half as much money as the people
pay out IL the ways above indicated ever!
year. They actually pay out every yea
twice as much money rs there is in tht
country for the purposes and articles men
toned above. Yet they always have il
their possession, as statistics show, hun
dreds Of millions Of dollars. The reason il
plain. The people pay the money out, and
the people get it back again. 1t is not lost
The country is not ruined by the process
On the contrary, the country will stand
good deal of "ruining" Of this sort, an(
never know that it has been hurt. So it j
rs to the money paid out in the shape O
interest. In the name Of reason and ccm
mon sense, how is it going to injure tn
community for JOHN SMITH to pay To-
JONES high rate of interest? JONES vii
not eat the money, nor burn it, nor destro
it in any way. He will build houses with il
or pay for farming operations, or else
will again lend it out to men who will S
use it. The money will never rest until
gets into the hands of some man who is en-
gagged in productive industry. If JoNE
prefers to lend his money rather than us
it, he will lend it to somebody whose use q
it will benefit the community just as nue.
as If he had SO used it himself. Did any
body ever hear Of a mans borrow
ing money for the purpose of lockin
1t up in his desk? If not, where
the sense of declaring that JONES choose