Fitzgerald enterprise. (Fitzgerald, Ga.) 1895-1912, 1910-06-09
THE LOAN SHARKS.


men who loan small amounts Of
money on frivolous securities for a
short length of time at exorbitant
rates. The shark is common to eve
ry community the size Of Fitzgerald
and the question has been one diff
lcuIt to settle,
The following from the Atlanta
Georgian will be read with interest
byt hose who have given the subjec
any thought.
Here subjoined is an interesting
letter bearing on tie matter of the
loan sharks;
Editor The Georgian:
There are serious evils connected
with the money lending Business,
out on the other hand, there is a &C.
nuine demand for for a poor mans
bank which now only the loan sharks
supply. My experience has been
that in a few cases even after the
borrowers have become ineXtricably
involved, they feel a sort Of gratitude
toward the uSuriOus lenders.
while think that every man ought
to be compelled to operate his bu
sinesS within the law, and that the
s8!ary assignment people have and
are attempting to avoid regulation
under the law Of 1894 do not be-
lieye that they can operate with the
small capital usually employed at
the rates provided by that act. The
act from which it was copied waa q
dead letter in Massachusetts for this
reason.
The only way 10 keep the abuses
down is to organize a remedial loan
company with sufficient capital to
meet tina legitimate needs on the
small borrower. Such a company
viii earn a perfectly safe Z per cent
return to to its stockholders, pay all
operating expenses, and crate a snr-
plus for secnity and emergencies,
provided an act is passed authoriz-
ing a rate, say of two per cent a
month. Such an act has been pass
ed in New York, quite recently in
Massachusetts, and is pending in IL
inois, and, so far as | know no com
pany so conducted has ever failed
either to meet its dividends or to
correct the evil Of the small loan
shark.
DR.. John E, white and Mr. Woods
White have both spoken to me a
bout the need for such an or9aniZa-
ton in this city, and two of the frieds
of our Office to whom | have men
toned the matter have expressed a
willingness to invest $4,000 Fifty
thousand dollars should be subscrib-
ed to make the plan effective, but
this should not be difficult in view
OF the fact that If is a perfectly le8i-
innate and safe investment.
Put d constructive side to youl
campaign, and get up aremedial loan
association"
Sincerely Yours,
j, c. Logan.
General Secretary Associated CHAR
ties,
Such an institution as MIR. Logan
writes about would do a great dea
Of good in Atlanta In Baltimore
Cincinnati and othet cities the
have worked admirably, according
all reports, being a genuine friend t
the poor in need and at the sam
time being conducted proftably 0
a sound business basis.
The Georgian would welcome tt
establishment of such an Institute
here.
Yet the absence Of a benevole
loan associaGon.in Atlanta does n
warrent the sharks to practice the
usury.
Tha palpable and open violate
Of the state law by the loan shar
has been a disgrace to Atlanta
years.
Only one degree removed fro
them in rapacitysare the metho
employed by many-of the furnitl
honses who operate on what is fac
iously yet with truth called the e
ortion plan" Maybe these vici(
"installment houses viii come
for their reckoning some day.
That thes present grand jury
taken up the-l loan sharks with a
aren't activity is good thing,
open violation of law has been Il
rated too long.