The Caucasian., 1895-06-13
-FOUR PER
CENT LOANS,
The South Flooded With Cbsap
Money With Grea: Schemes
Involved.
A RUSE OF THE GOrDBuos.

- AaS oOklOUOo0s
fA~y Lead ns.e, 20 o.s assA>~ vN.
rsrs s~.s 20 Oct % sss ssss~~,>-r>.
i't.a ss rr-.s rs.s rs... A,, a.sss..
aessss.
f-oFls', Party rsg~r.
The news comes from Nss York
;hA, 5000 90 or O.. .ooo. 90 Aav.
been loaned to the banks in South
Carolina, Georgia and Alahaus s.ses
Nay Is, n the lou rate Of Der
cent.
Thls money is shipped down here
to make .he dear people believe thar
prosperity has resumed business n
the old stand and that . contracted
currency Is delo~ion and q snare.
The banks that Are borrowing the
money proposs turn il looss IN the
South. BY . prcconcerfed arrange
ment, however, Il will drif, into the
hands Of country merchants ~ D per
cent who vail IN turn lc, the farwsrs
have u IN the way Of plaatai,eu
supplies At the rate Of Il or - psr
cent interest. %
VI course the promoters Of Prssi.
dent Cleveland's anancial scheme A.
behind tins movement Ia .s n russ
on the part Of the bankers - sssab-
lish the idea that money 10 plsus sl
and change from the present nu2s-
cial system unnecessary
Ii will be observed, however. thai
th. bankers and merchants are the
only ones that secure q clean cat
profit, while the farmers. Who are
the real endorsers for the loan. have
all of the burdens 20 bear and a
usual reap meme of the beuefits.
The New York correspondent Who
called attention To this infuH Of sheap
money goes into details which are
very interesting. He says;
"There. have been q large number
OF bankers visiting New York frou
the States of South Carolina, 6sorris
and Alabama since May LIST, a differ
ent tunes. Probably other southern
States had as many, but most Of the
men ] am acquainted with are from
the States named, and they are here
for the purpose Of farranging, whether
preconceried or NOT, to get currency
TO carry 10 their respective States. I
am informed by one Of the intslli-
gent men above named that they
have secured loans from bankers IN
this city since the LIST OF May amount
ing TO 81 .O00, 600 or $S, 600, 900. They
get II for per cent until the lse Of
October, with the privilege Of re-
newiug NJ that time on %, 20 aud 20
days at the same rate Of interest. In
conversation with one Of these bsuk-
ers today, he informed me that it
would make times better in the south
when this money Was turned ioose.
How do you propose to turn IL
loosef ! inquired.
".Oh,' he said. we can turn four
times that amount loose IN our States
at a good rate Of interest. We vail
lend this money due. say October
lst. at s to l2i per cent per annum,
which you see will be quite q moe
profit for US on the amoanf loaned
But can you ! asked, make
these lo3ns on good sesuritys'
Just ~ good as anybody would
wish. In the first place . great deal
of this money will be loaned 20 usr-
chants who sell what 10 known in our
section OF the country - time 0Usds
to farmers. These merchants uilI
Il q
will sell goods due IN Oetobst 20
planters and farmers and get 10 or
20 per cent for the supplies
Then you think this process will
make good times''
We'll he said, ii will give the
people what they vsnt-thst 10,
money
".But can they make any money
by paying this high rate Of INTEREST,"
".Of course the nerchapts will.
They pay s per cent for il and IL thsy
sell TO the farmers goods on tios,
the farmers will have 10 pay q very
high rate Of interest. il 10 true. bal
they can not make . crop withoui
something to make il With, and vhila
the interest these farmers have q
pay is pretty high. il il not - mach
rs they have paid in the past and W
will have m trouble in disposinG
Of this money, - ] tell you.'
This is the programme that 10 -
ing worked 10 relieve the pseesars q
the South. II may bring sbout -
porAry prosperity, but in he ed
when the day Of ssttlsaent comes,
think the farmers will b left prettJ
much in the condition they vsrs 4
before they borrowed the noney
many Of them probably in . vees'
fx.r