Author Topic: Usury? "Pawn Shop" (Read 4909 times)

innocenza · « **Reply #15 on:** July 06, 2010, 03:14:19 AM »

What would 'honest profit' be?

Agobard · « **Reply #16 on:** July 06, 2010, 10:24:25 AM »

Quote from: innocenza

What would 'honest profit' be?

Including, but not limited to:

farming and selling produce
producing goods and selling them
providing medical services and receiving pay/compensation

Belloc · « **Reply #17 on:** July 06, 2010, 10:49:08 AM »

http://distributist.blogspot.com/2008/01/usury.html

http://distributist.blogspot.com/2007/02/belloc-speaks-on-usury.html

http://distributist.blogspot.com/2008/10/menace-of-money-power.html

Belloc · « **Reply #18 on:** July 06, 2010, 10:50:41 AM »

Quote from: Agobard

Could a Catholic start a non-profit "pawn shop" where the needy poor take out loans using their valuable goods as collateral. The loan would be no more than 2/3 of the value of the good put up as collateral and would last 1 year. This organization would collect a moderate interest (4-12%) on the loan. Plus, the non-profit organization has to store and secure the good, so perhaps it would not be "purely" interest.

The salary for the "overseer" of the non-profit organization would definitely take care of his/her needs. The rest of the net income would pay for the salaries of the workers and to expand this charitable "pawn shop" organization.

Is this sort of arrangement, Catholic?

near me, there is a thrift shop that has over last 10 yrs raised over 1 million for Alzheimers research....most that work there are volunteers, the money goes in small amount to family for salary ($50,000 a yr) and small rent, the huge bulk toward the charity....

Agobard · « **Reply #19 on:** July 06, 2010, 11:03:02 AM »

More on usury:

Quote

Theologians and canonists of the Middle Ages constructed a rational theory of the loan for consumption, which contains this fundamental statement: The mutuum, or loan of things meant for immediate consumption, does not legalize, as such, any stipulation to pay interest; and interest exacted on such a loan must be returned, as having been unjustly claimed. This was the doctrine of St. Thomas [Aquinas] and Scotus; of Molina, Lessius, and de Lugo.

Quote

the 12th canon of the First Council of Carthage (345) and the 36th canon of the Council of Aix (789) have declared it to be reprehensible even for laymen to make money by lending at interest. The canonical laws of the Middle Ages absolutely forbade the practice. This prohibition is contained in the Decree of Gratian, q. 3, C. IV, at the beginning, and c. 4, q. 4, C. IV; and in 1. 5, t. 19 of the Decretals, for example in chapters 2, 5, 7, 9, 10, and 13. These chapters order the profit so obtained to be restored; and Alexander III (c. 4, "Super eo", eodem) declares that he has no power to dispense from the obligation.

http://www.newadvent.org/cathen/15235c.htm

Trinity · « **Reply #20 on:** July 06, 2010, 11:28:46 AM »

Informative thread, Agobord. Thank you.