The Wichita city eagle., 1875-02-25
Usury, Commissions. State Inter-
eat Etc

The bills introduced in the l-xi-ln-
ture 10 do away with the sxtortiona'~
commissions, attorneys fees. etc., add
ed to legal interest By the money cor
norants, in evasion Of punishment for
usury, and before which us,,ry sinks
into imsiguificance. failed TO becOme
laws. The mon-passagc Of these acts
is one Of the most fatal mistakes Of
the present legislative body. No
greater curse could blight any land
than follows in the wake Of these har-
pies. Beside them, grassi."ppers,
chinch bugs and drouth. are mere bnga-
teIle. Aside from the passage Of both
these acts. the legislature could have
Justly won reputation far wisdom
had il reduced the present rate Of state
interest TO at least eight per cent.
The only plausible argument that
can be urged in favor Of twelve per
cent, is that it brings Foreign capital
to onr state for investment. The
farmer cannot afford to pay even this
rate of interest and succeed we'll.
The manufacturer could, but is there
any considerable amount loaned to
manufacturing interests, or hare we
any reputed, well sustained manufac-
tories i'm the state? Money loaners do
not invest ia anything SO uncertain.
They want to loan on real estate
securities. Our rcmoteness from the
real money ccnters, the caution Of
heavy capitalists and their unwilling
ness to go beyond their old lines Of
investment, sends out upon us small
capitalists or vampires who want to
double their money Zach year. on the
risk. The open door left by our law
for the practice Of usury, is m invit-
ing field for such, and they swarm the
fairest lands Of our state. plastering
whole counties with mortgages, Mt
a rate Of interest, not twelve per
cent, but mostly from eighteen to six
ty per cent, with appraisement waiv-
ed, all cxtorted from the calsmitics of
the times. State governnets only ex-
ist from the will Of the governed. 1t
is merely mutual protection society.
Then why is the state unwilling TO
protect its citizens by snch wholesome
laws as would put beyond them tho
possibility of being sharked, and
would SO destroy the traffic in money
as q commodity, that capital would
seek the useful emplovments of life
out of which to reap remuneration
for the investment? or late years
money has grown to he an article of
commerce, its handling as much q
trade as merchandising, slowly is it
being drawn, through the extrav-
agancc Of the age, from the man-
ufacturc, farm aud work shop. aud set
afoat, like an evil genus, tempting the
middle classes to ruin. A lower rate
of interest well protected would have
the opposite effect TO what is urged, II
would force money back from It's un-
natural to its natural channels. Ii
would make it work for itself, attract
ed by the larger profits arising from
the manufactures and various indus
tries it would seek here, what il could
no longer find in the exixeucics created
by itself. So demands would be in
creased, emigration attracted, labor
invited. Thus real estate would have
a settled value, trade grow steady, uu-
certainty become certainty, while
money would be converted to It's true
use, earning something for itself, SO
to speak. In this.way. we started out
to say, is your twelve per cent. state,
at the cost of your farming and mail
ufacturing interests