New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1894-02-25
TIE PEOIIDENT Loan SOCIETY.

An institution which has long been needed
in This city is just coming into existence under
the name of the Proyidcnt Loan Society "i
New-York II has been organized by some OF
our most prominent and useful citizens aft'r
q careful investigation Of the conditions when
suggested its Incorporation. ana oi Inc opera
ton of similar institutions in other countries
The scheme has indeed been already so lar
thought out and worked ont as to warmth
beginning of business 50 soon rs the application
for n charter has been granted There Is no
reason 10 anticipate the least hesitation or tlii-
necessary delay on the part OF the Legislature
and ii may De hoped therefore that while the
present distress is at its height this new means
of relief will be put ut the service ~ those FOR
whom ii is intended.
The object Of the society is 10 loan money in
small amounts upon such security rs the lie
serving poor may be able and dcsirorS To fur-
nish. under conditions alike favorable 10 the
borrowers and safe for the lenders The so
cicty IS essentially benevolent in the true sense
for while its motive i entirely uhSclilSh us
work will be- conducted on sound business prin-
cplcs and in such way aS 10 proInot" Inc
pcrmancnt welfare Of its bcnc Charles, while
supplying their immediate necessities. 1t VIII
not foster paupcriSm by encouraging Incidence,
imprulcncc and moral degeneration, hut stimu-
late sclfrcspect. scf-rcliance and thrift 10y
enabling those who possess those qualities 10
turn into cash in an emergency on an cquitabl"
basis Of exchange. and redeem without serious
sacrifice when the pressure rcaNoS. the small
motcrlol resources which their industry and
economy have accumulated. and which under
the present system they can utilize only on
terms amounting almost 10 forfeiture. IhoS"
who furnish the capital of the society Will re-
ccivc no more than lawful interest on their in
vestmcnt and the loans which 1t makes ON per
sonal property will be ut as low rate a its
financial stability will permit. TIL" projectors
have resolved to encourage the redemption Of
pledges by successive part payments, and there
is good reason 10 believe that This insialm"nt
feature will prove 10 be especially valuable; for
it will not only tend 10 stimulate the thrift OF
borrowers but enable them 10 take prompt al
vantage Of an improvement In their circum-
stances.
The prevailing misery caused by enforced Idle
ness has doubtless FASTENED the realization or
this project but the institution was conceived
before the present troubles began. and will have
ample reason for existence after they have
passed away Such an establishment, similar In
design To more than one already in operation.
and capable or growing even 10 inc uliil'NNl"ns
Of the great Mont de PiGtG in Paris. If the de-
mand should become 50 great, has been made
imperativey necessary In this populouS city
by the practices of the pawnbrokcrs. The law
enables them 10 conduct their business in IN
extremely oppressive manner. 10 prey upon The
misfOrtuncs of the poverty stricken ana de-
fencelcss and in too many cases 10 Increase
the distress Of those who resort TO them for
relief The legal basis Of the pawnbrOkcragc
business Is grossly inequitablc, and the methods
by which 1t Is carried on aggravatc It's funda
mental evils The interest permitted on loans
Of 500 or less is 30 per cent n year. and gen
orally speaking, there is not a trace of human
kindness In the operations Of these cXtoriiOncrs
Rapacity Is the keynote of their trade The law
which tolcratcs such system sorcly needs
amendment, and the Legislature ought 10 take
prompt action upon the bill now before 1t, or
upon better one If possible
But no change Of statute or Of disposition
which Is at all likely 10 be brought about will
leave the new society now forming without I'M
ample field for its activities. The demand for
It's services long felt and sure to De long
tinued, is particularly urgent just at this time.
The plan on which ii has been formed is wise.
and those who have united 10 carry it into
execution are men Of sound judgment, pos
scssing the fun confidence Of the community.
They ought to have, not only the goodwill, but
the cooperation OF their fellowcitzcns TO what
ever extent they desire ii.