Daily globe. [volume] (St. Paul, Minn.) 1878-1884, 1881-09-04
brooklyn Eagle.l

A few weeks since aH Eoyte IoPoiV0 i IL
the course of a casual conversation with
an elderly gentleman of colloquial ten
denotes, had occasion to refer to the
present craze for stock investments
and mining securities Ihat
gentleman is a retired pawnbroker.
81 could tell you some queer stories in
regard to the pawnbroking business, had
I time" he remarked, ''and not the least
interesting feature connected with it is
the rage for stock gambling which pre-
walls among many ladies of undoubted
responsibility, who move in good socie-
ty." Thinking the subject too good
one to be lost, an appointment was made,
the result of which is the present article,
strengthened by personal inquiries as to
their accuracy.
'sThis stock gambling" said the au-
thor1tv. is comparatively new feature
IN connection with pawnbroking, that IS
to say, that it has introduced new set
of clients from those who have heretofore
comprised the ordinary list of custom
tiers. The late Charles Dickens, and
Greenwood, formerly of the London 1ete-
oraph, have written up the subject from
its poverty stand point, but the aristo-
cratic side of the subject has never been
dealt with, so far as am aware, in its
relation to the many phases OF New
York life.
MISERY AND FLATIRONS
have hitherto formed the stock in trade,
so to speak, of the reporter, in regard to
pawnbroking literature"
''Then in what manner are the pawn
broking and the stock gambling COM
bined?'
az will come to that directly, but you
must let me tell the story in my own way
In the first place, since society ladies will
oe in for this sort of thing their wants
have to be met in new form. This is
done bv the establishment of private loan
Offices, the external appearance of which
bears no relation to the character of the
business transacted within, although
they are to all intents and purposes pawn
broking establishments. There are some
half dozen of these scattered around the
fashionable up town streets of New Y ork,
elaborately appointed in the latest style
of art furniture. One of the best known
is in the vicinity of the Hotel Bruins
wick. second is in Forty-first
street, but l cannot give them all away
Honor among pawnbrokers, you know"
4sBUr WHERE DO THE CUSTOMERS COME
FROM"
ssOh. there are dozen different ways
of getting customers, and it is pretty safe
to saw that when lady client comes once
that she will come again. In the first
place they are partly drawn from the adj
vertising columns of the daily newspaper.
For instance, Mrs A. advertises that she
wishes to sell her diamonds, or to raise
money on them. A gentlemanly agent
of the principal is put into correspond
ence with her, for all these advertise
ments are carefully scanned and tled
AWAY. The correspondence may or may
not end in loan, although in the major
itv of cases a loan is made, ladies gen.
erallv preferring to deal with the profess
sional money lender rather than with
private parties. They have a greater
sense of security by adopting the former
method. AS rule the principal prefers
to lend on diamonds than to buy them
outright, the risk of purchasers being too
great Thus. you see,
THE LENDER HAS DOUBLE SECURITY,
for repayment. He has moral, as vel
as a financial guarantee. 1t might sound
strange, but it is perfectly true, that some
of the first-class money lenders who do
business in this way keepa list of names
of ladies whose tastes and habits are
known to be eXtravagant, but yet whose
responsibility is undoubted. In the sec
ond place, ladies' maids, who are often
intrusted with valuables to raise money
on. and who are pecuniarlly IN the pro
ceeds, prove very useful agents In giving
points In regard to future customers. The
position they fill toward their mlstresses
renders this quite easy
ANOTHER SOURCE OF CUSTOM,
although not extensively INDUCED, is OBJ
tanned from jewellers. There is firm on
Broadway, who make it speciality to
give notice to money lender when they
have sold goods to women of certain
class. feeling sure that the newly pur-
chased iewelry will find its way into
theirs or some other hands before long"
"But how does the law affect this kind
of businessP
tThe law has nothing to do with 1t
provided the parties who lend money pay
their license and charge no more than the
legal interest But the law in this, as in
many other cases, is in the latter respect
almost dead letter, because the parties
mostly interested would rather pay al
most anything than have the matter made
public
care costly valuables often left in the
money lenders hands unredeemedP'
ssNot so often as you would suppose
Perhaps about 25 per cent of the jewelry
pawned in this way is sacrificed. Some
times it happens that Mrs. B., for in
stance, wishes to get the use of her dia-
monds for certain evening. Her hus-
band has promised to take her to ball,
and is unaware that they are pawned.
Well, Mrs. B. would do anything sooner
than he should know, so she goes to the
money lender and states her case. He is
quite aware that an exposure will do him
more harm than good, and as a very
great favor lie will let her have
the use of them for that particular oc-
casion, feeling quite sure that they will
be returned at the time specified. Of
course, he takes care not to lose anything
by the transaction, whereas Mrs. B. be-
comes, after two or three experiences of
the same kind, an agent of the man from
whom she has borrowed money, by recon-
mendinp to him other ladies who are hard