Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1876-02-05

State, and he thereby does wrong 10 the ms n to
whom he leans the money and a wrong TO him
self
The gentleman from Augusta [Haynesl had
gone back to the days of Justinian aud Jeremy
Bentbam; but he Lynch was content to take for
our lights the men Of the present day. Gentieme n
who had been here in the interests of no usury law
say that the bill proposes something not thong ht
of outside of Maine, and they call those who de-
sire to go back TO the old state of things fogies.
In the United States there is difference of opn-
ion in regard to that matter.
Ia Vermont the rate of interest is six per cent.
with usery law If Il man goes above it, la Penn
sylvania, and they know something about finances,
the late is SIX per cent. with strong usury law.
In New ufk the lega rate Is seven per cent. New
Jersey seven with strong usury law New lamp
shire SIX with strong usury law, Maryland six,
Connecticut seven with strong law, and Dele
six per cent. Thcse were the guides that he
pressed upon the attention OF the House in decid-
ing the matter.
In Washington Territory they have law SINH
lar to ours. In Utah they have free trade in
money and free trade in wives. \ GU can charge
much interest you wish and have as many
wives you wish. and it is all legal. They carry
their free trade to the fullest extent, md
sisient. South Carolina, since carpet baggers got
the control there, has changed the law and has
one ike ours substantially. With that law they
have b,nkruped the State. In Nevada and Mon
lana the interest law is like ours. In New Mexi-
co, that land OF free voters, they have a law like
ours Colorado, also, has law similar to ours.
These were the guides; which would gentlemen
take: ttah or Pennsy lvania New Mexico or
Connecticut: He found in almost all of the other
states that they fix the rate of interest somewhere
and lie found only State where they were al
lowed to 90 over II per cent.
Gentlemen would have members understand
that it is outrage to regulat, the rate Of inter-
est lie qnoted Michigan, Ohio and Indiana as
among The States that regulate it. All the gre at
Central States regulate it. And if the friends OF
the bill could not get all they ASK then they wished
10 do well as those States.
One objection made to re-enactment Of the old
law that it would have no effect. People
would 90 taking high interest in spite Of it
In answer to that he mentioned money lender
worth $4,000 ct his death, who was proud to
say IN his old age that he in his life violated
the law against usury There is Il elias. of relig-
ious 10 the State never violating the law on
interest. If only one man in a community is de-
tered by the law. he would stand in it as eX-
ample on the question, ard we should have &C.
compiished great deal.
He took issue with the proposition that the
present Law is necessary for the protection Of the
young men. There Is nothing so disastrous 10
Young mans hopes in life to borrow money at
Il higher rate OF interest thaa six per cent. lie
compared the financial condition OF ;he Young
men Of 80 wears ago with the ,ouug men Of to-
day. and agreed that the coLdtuon OF the latter is
inferior to that OF the former. lie spoke OF the
enormou; debts of the municipalities, and of the
tax that had got to be kept up Ior years. We can
do nothing more than we are doing in the way Of
paying this debt, but we an 60 something 10 fi
the Burdens. And why should we nave anv deli
cIcv about II The young men and the old men
who had no money, went 10 war ard nterpo .cG
then bodies as guards to the safety OF the MON
But when the country wanted money needed to
carry the war, the money lender, rlqs,i:ed
every advantage. Ii made 10 din, renee what
political party "a man belonged to in the 4lt>.i Of
money; they wanted the advantage, ana tLey
have mad It. lie would now say 10 them, 'ha,
far YOU shall 60 and no farther
Mr.. lloBsoN took the floor end opposed the
bill in speech ct half an hour. Remarks
hereafter.
Mr.. FRANK did rot desire TO take up the time Of
the House at any length, bat he desired few
moments III which 70 express some ideas that had
occurred to him. Ii there was any law that could
be enacted that would lift from the shoulders OF
the producing population of the State the burdens
that are now upon them consistent with the in.
tere>ts OF the state in general, he was heart and
hand Tor it. But he believed that it was not true,
a universal proposition, that usury laws tend to
lessen the rate OF interest although it might do so
in some instances. And he maintained that in
those where II IS lowered, it is to the injury
Of the very class to which he had referred. The
savings banks Of the State are the repositories of
the earnings of the poor people. During the las,
year the savings banks of Portland have had de-
posted some eight millions OF dollars, and he ven
tured TO say that seven millions of those deposits
are from the Worhlngmen.- Ii the law which the
gentlemen proposed has the tendency which they
claim Tor it, ami those savings banks which now
charge -. per cent are Obliged to take six, VIVA,
viii be the result ? If they only pay deposit
tors per cent. when they loan it for "a they can
only pay ga or when they are limited to taking
per cent. Reduce the rate of interest, and wha.
becomes OF the interest paid to poor menf Again,
the poor men whom II IS desired 10 nelp sre lend
ers OF money, as well as the producers. They do
not lend it directly, but through the savings
banks. Pass this law and they, not desiring to
violate the law, cannot compete with the money
brokers. They are honest men, and not skilled in
the ways of evasion. The borrowers OF money, as
general thing, are railroad corporations, town
and cities. Did the gentleman wish to lower the
rate of Interest that those wealthy corporations
might profit by it He would allow the law to
remain AS it is now, and allow men to make their
contracts as sensible and reasonable men should
have a right to do.
Mr.. kEEGAN advocated the bill remarks here
after
Mr.. ANDERSON wished 10 say q few words in
reference to the saving banks lie thought the
movement in regard to the rate of interest had in
its belly ar attack upon the savings and national
banks of this state. lie was not going to depend
the national banks, although if gentlemen would
look into the history of their accumulations they
would find that larry portion of their surplus was
made at the time of the sale of their
81; ,b 81 had or;e,b L. ~