usury,
two things are to be reconciled. The one, that the tooth of usury be
grinded, that it bite not too much; the other, that there be left open
a means, to invite moneyed men to lend to the merchants, for the
continuing and quickening of trade. This cannot be done, except you
introduce two several sorts of usury, a less and a greater. For if you
reduce usury to one low rate, it will ease the common borrower, but
the merchant will be to seek for money. And it is to be noted, that the
trade of merchandize, being the most lucrative, may bear usury at a good
rate; other contracts not so.

To serve both intentions, the way would be briefly thus. That there be
two rates of usury: the one free, and general for all; the other
under license only, to certain persons, and in certain places of
merchandizing. First, therefore, let usury in general, be reduced to
five in the hundred; and let that rate be proclaimed, to be free and
current; and let the state shut itself out, to take any penalty for the
same. This will preserve borrowing, from any general stop or dryness.
This will ease infinite borrowers in the country. This will, in good
part, raise the price of land, because land purchased at sixteen years'
purchase will yield six in the hundred, and somewhat more; whereas this
rate of interest, yields but five. This by like reason will encourage,
and edge, industrious and profitable improvements; because many will
rather venture in that kind, than take five in the hundred, especially
having been used to greater profit. Secondly, let there be certain
persons licensed, to lend to known merchants, upon usury at a higher
rate; and let it be with the cautions following. Let the rate be, even
with the merchant himself, somewhat more easy than that he used formerly
to pay; for by that means, all borrowers, shall have some ease by this
reformation, be he merchant, or whosoever. Let it be no bank or common
stock, but every man be master of his own money. Not that I altogether
mislike banks, but they will hardly be brooked, in regard of certain
suspicions. Let the state be answered some small matter for the license,
and the rest left to the lender; for if the abatement be but small,
it will no whit discourage the lender. For he, for example, that took
before ten or nine in the hundred, will sooner descend to eight in the
hundred than give over his trade of usury, and go from certain gains, to
gains of hazard. Let these licensed lenders be