New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1894-03-07
SOME QUEER FINANCIERING
AN EXAMPLE OF HOW PAWNBROkER'
DODGE THE LAW.

TAKING "AFFIDAvIrs' A PROFITABLE SIDE Is
SUE WITH THE MoNEY-LENDERs-
MAN CALLED TO ACCOUNT.
During the last two months The Tribune has had
occasion in explaining the plan OF the Kew Dr.
David II. Greer pastor of 81. Bartholomew Prot
estant Episcopal Church. for the establishment OF
a pawnshop as a charitable undertaking FOR the
accommodation of worthy people who may ma
themselves temporarily embarrassed Tor small sums
OF money. refer to the exorbtant rates which
the law allows pawnbrokers in this state 10 charge
by way of interest the goods pledged with thefn
For sums of 500 and under. 3 per cent month is
allowed for the first six months and 2 per cent a
month for the remaining six months AS the bulk
OF the trade g with persons who want temporary
loans OF small sums, this means virtually the I'M
hcirl-Of rate OF 80 per cent per annurn interest,"
which Is at least q per cent more than What the
law calls usury and which a would be able
to recover in ordinary business transaction But
there are many charges in addition to this which
the law does not allow. but which pawnbrokers
exact from people. and wncn people pay under
stress OF circumstance. but which they could evade
II they had the courage anu took the trouble TO
assert their rights of these plans IS to charge
extra instance. for taking special care OF gar
ment. such as hanging up coat, which az 0tteil as
Is never hung up, and for an afhdaVlt Wne,e
a ticket has been lost. AnidIvits have 70 be made
heartily in accord with Tim Campbell when he
asks cOntcmptuOusly 'NhatS a uttle mater NM
the constitution between friends. ana become at
times their own notaries.
The Rev. DR. Greers plan. at present IN opera
ton on a small scale and In connection with whlcn
a nominal rate of interest Is charged the proposed
PrOvidcnt Loan Association, which IL meant 10 b'
"A much larger scale. but on the same general
plan the other in REGARD 10 charges ana now
the bill which has passed the Assembly,, ana which
reduces by % per the present rate or interest
which rawnbrokers are allowed 10 ch22rSe,
have separately and together excited the Ire OF .r
I1wnbrokeS. Now comes incident which ADDS
plquancy t. all thlS-namely. the experience or
Tribune reporter 'who wanted to very ser.
tain informatiOn) which IS here given and Whch
shows that the 3 per cent d month j. Increases 20
u per cent month. The reporter received I,stn
90 West hundrel-and- twenty -hfth-s Six days
later he appeared and wanted 70 rsieen IT, but s'td
that he had lost the ticket. Before he could get
the watch he was made 70 pay II cents. ana sign
receipt which wordeI something Ike this:
''''E
This IS TO Certify TSat hacc his day received
from --. tho article mentioned on the margin
which pledged with him on....... day Off,.
tho Ticket No............ which received Tor sid
pledge neither -od. given away. or transferred 10
,vitncss hand.
The REPORTER wanted to know why the - cents
extra was charged when the law called only FOR
three and was told that IL was for this receipt.
which he called an "atidavt." The reporter pro-
tested that it could not be affidavit. the man
Il notary public, and he paid the money
while protesting. Later he presented the ticket.
was refused. and he obtained sumons return
able to-day before the justice at the Harlem Police
1hirl-avo.. where Mr. Bernstein Will have a chance
10 explain By what right he feels called upon 20
appropriate this Is cents and. Furthermore how
he ca derde the law and the Constitution by taxi
INK AFFIDAVIT when he has neither licence nor
authority engage In any such proceeding which |
amounts virtually 20 obtaining money under false