The Houston daily post. [volume] (Houston, Tex.) 1886-1903, 1899-01-08
RfDUCTIoN IN INTEREST.
49, legal NATE SHOULD
= Ersnyycp SIX PER CENT.

sArs 1.pGAL NATE SHOULD
rsr NxupED SIX PER CENT,
i. open Letter 70 the Two
.-.b,,can Msmbers Of the
s..r,.laturs Concsrning II.
- -
Solpwfng opsn letosr has been sene
Il GRANT, who Is the Texas member
!. republican National committee. to
ualler Bturns. nepublican member Of
s..+. senate from Harris county, as
- Hon. A. c. Tomkins. who is the
,,,can member OF the legislature from
En- county:
Texas. january 6.--Knowins and
= that your impulses will join with
.ctlon In any movement that will
ar it, object the advancement Of the
~nod in Texas, address you this
I an, deeply mindful OF the POSI-
~ disadvantage you are placed in by.
a the limited number OF party as
10 you have in the legislature, but
ent1y we can use those who are averse
u advance an object when 1t is SO
hlv non partisan in It's character,
q supremely necessary to SO great a
ntaVe OF the whole people of Texas as
move propose. ! have looked with
concern and solicitude upon the
ties In legislation In this State and
Tried to analyze the situation with
81 making deductions that might be
eneral use. My Investigations have
tnced me that there is an evil existing
n prevents the possibility Of general
MS and anything like accumulation on
mart of the people while the present
tn,lchjng on the Case remains IN force
effect
eyiI referred to Is the present legal
If interest in Texas. AS you know,
aw governing this matter is now a sort
puble -headed law. allowing one class
" & per cent and forcing the great
Of the people TO pay 10 per cent in
Il In other words, the law is SO fixed
the great moneyed concerns who are
\ wise in default OF contract, the great
Dad companies who have judgments
erred against them. or the corporations
q State who have become liable to as
In the courts for indemnity, or any
Of Indebtedness of any kind to the
or TO individuals, are protected by |
against paying more than per cent |
est, while the people who borrow are
ically eoerced at the muZzle of q law |
an M t,,fa. ACt w
M Is that the great mass of the peo- |
farmers, laborers. merchants, arti- |
manufacturers and all who have to |
he consent of the lender pay 10 per
interest for money, and as nine tenths |
9 merchants. farmers or producers OF |
kind are borrowers, nearly every |
stry is burdened and throttled to death |
a rate OF interest which exceeds the |
profits of the average industry, hencs
people of Texas are simply working
he men who loan money. The, farm
NE paying the same rate of interest |
with cotton al cents per pound as
did when cotton was worth s cents
pound
worst feature OF the matter is that
burden OF 1t falls upon the producer
consumer. The merchant carries the
Ter with goods that the local banker
s u per cent int nonsy 70 for PAY x ia
est Is added to the price of the goods
the farmer pays for 1t. Then the i
man borrows money from his local
er at 10 per cent interest to buy
from the farmer. and, of course,
PTS 10 per cent from the price he
for the grain, SO that the farmer lases
9th endssi Why should this be the
when the money markets of the
try are deenjng with money for loan
ana per cent interest? The great
lgs institutions have reduced their
tie great trust companies, insur-
companies. banks and lenders of
" OF Chicago. New York, Philadel-
iand elsewhere are loaning all the
y they can get secured at 9 and per
interest Why is it that we should
perced by the magic of local economics
Ry 10 per cent interest? There need
apprehension about there being
Pty OF cheap money when it is known
When the government issue OF war
OF S2oO 100000 wals placed upon the
et, bearing interest at per cent,
was application made by the people
i,tVV,Voo,uO0 Of them, and much more
that could have been placed if there
Deen any chance of obtaining them.
" Should our bankers be allowed to
East ana borrow all the money they
AZ = and 8 per oent interest and
ooWn here and get the protection
Jaw IN aoaning 1t at 10 per cent
~. IL 10 well known that depressed
e.er-production and competition
euuced the prices OF everything, so
wy ~, margins OF profit are desperately
Oh
tanker be reduced to correspond?
y as long as money is held I'm to 10 II
'eat py law in Texas, that Will be the
oaarsed, and as long as that ia the
money will be held to loan rather
~ purchase. as there is not 10 per
pront in legitimate business, hence
VIII be no investments made. Ths
~, PROPERTY of whatsoever kind l.,
mutably by the amount its income
pS axes on, and the income Will, Of
Ny interest on an amount propor-
~. larger as the rate Is reduced,
ssaace, $1,000 will pay interest at
oent on 10000. while at s psr cent
owsu an pay interest on $4,000; hence
the rate of interest the higher
ao value of property.
4, ~ ~ ilalsputable fact that reduce
Ealvs rave oil interest would increase
uns u me property hence it should
thar onuer conditions as they exist
WA Is no movement In realities.
men preferring to loan their
|bctn ~ which results in their get
orrc., .ne product OF the properly and
~ toll and effort as we'll. While
get 'esa,is manufacturing will never
NJ % roothoid in Texas, as the manu-
East Nh n1t compste. with the man in
ID ths 10 40 Dorrows his money at onx-
urer ~ I, 'sse Of what he pays. The man
Sent nrnt I've East is satisfied to make 4
dcs,p'o iit on his business while Tho