The Opelousas journal. [volume] (Opelousas, La.) 1868-1878, 1873-03-22
The Credit System.

From the New Orleans Times, March Isl
The credit system, which is so univer-
sal in this country, is in its practical
workings, u great Stimulant to cxtrava-
gance. 1t is based on two hypOtheti-
cal asSumptions-ability and disposition
to pay. Mistakes, deceptiOns and the
absence of one or both of these condi-
tions, have led to financial difficulties,
bankruptcies and litigation in q thOus-
and forms.
In view Of the injurious consequences
inseparable from the credit system, a
corrective has been sought, and radical
minds years ago leaped to the COnclu-
sion that all laws for the collection of
debt should be abolished. The idea,
it will be remembered, was extensively
mooted as the only summary and cffcc-
tlal method OF putting an end to the
evil complained of.
1t is curious to observe how the march
LOT political events and statutory enact
mcnts was anticipated i'll this instance.
Society is evidently advancing to the
point, originally regarded as desirable
by the speculative theorists, who held
that no debts should exist but debts of
honor, nc laws for their collection but
those Of conscience, and no tribunals to
enforce collections but public sentiment.
The homestead laws and kindred acts
which exist i'll many OF our States, the
passage OF an act by the Dryades street
Legislature exempting twelve hundred
dollars worth of property from seizure
and sale. and the prevailing custom
of lOaning money only on cOllaterals,
all tend in the same direction. They
are indirect agencies in accomplishing
the abolition of the credit system, and
of establishing in its stead the stability
| of values.
When imprisonment for debt was
done away with, a step in the right d.
rectlOn was undoubtedly taken. But
the distinction between m~eritorious
worth and fraudulent ability will never
be properly marked, till assured merit
becomes the test of trust, and honest
integrity the sole measure of credit.
We think that were all laws for the
collection Of private debts stricken
from Il statute hooks, many a lOafer
who now relies on the chances of credit
III a corner grocery would be forced to
adopt habits Of industry, so as actually
to earn his bread by the sweat of his
brow. DO away with the absurd credit
system, and the goods now marked IN
to V losses arising from bad debts,
would at once be placed at more reason
duIC lSuICS, uuI IOleSU purchasers
would not be saddled in advance with
the prospective failures of the fraudu-
lent.
Another marked effect of such 4
change would be seen in a decrease OF
litigation. Petty courts, petty con
stables and pettifOggers constitute now
a pitiless trinity OF demOralizing agents
from one end of this country to the
other. A large element of non-prOduc.
ing dead-Weights on tho,industry of the
community would be forced to become
self-sustaining in some reasonable fash,
ion, and industry, honor and morality
would thereby be advanced. The luxu,
~ OF law would be greatly abridged
but the luxury of honest independence
and manly worth would come int
higher prominence.
The desire of humanity is to advance
but advancement can never be salts
f~actOrily attained while thriftlessnes.
is encouraged through commercial, lie
gal and judicial machinery. We mus
make honesty the best policy if we wisE
to have a really progressive community
Were honor and integrity the sole pass
ports to accommodation, and the publ,
ban the chief punisher of the unfaithfuI
society would be relieved of an i'm
mense litigiOus tax, and all it's highc
interests would be materially advanced