9 Exchanging for an interest.
Exchanging for an interest is licit, and something may be taken for the interest ... 34
If for exchanging a person gets out of a deal in which he was engaged, he should be stopped, which should not happen if he has not ... 35
Defense of Doctors Antonio and Luys Coronel ... 34
34. The fifth type of exchange, exchanging for an interest, is also licit. This means that if the exchanger deals with merchandise and for lending to whom it is convenient he stops dealing, he may take an interest both for the profit as well as [for] the loss. As we have proved extensively elsewhere, (1) any merchant may take an interest under certain conditions. We add again that even if he does not deal with other merchandise apart from his exchanges, but if for lending he stops dealing with them (if they are licit), he may take an interest for the profit that for lending he is deprived of earning in his occupation of just exchanger. (2) Caietano's (3) above-mentioned (4) decision may be applied here, which is the one referring to the person who stops dealing in true exchanges for helping someone else with a feigned exchange. He may earn what he would earn with the true one. Woe to the one who for this reason does not stop dealing or doing so many true exchanges as before and takes feigned interest without there being a real or probable one, (5) as if God did not exist (who not only sees our acts but even our hearts).
This type of exchange can correct the doctors of Paris--among whom were those two renowned brothers Antonio Coronel and Luys Coronel (whose works and advice we benefited from for some time) and whom Saint Doctor Soto (6) admonishes. Merchants may take more if they have to wait for their payment until the second fairs than if they wait until the first ones. They can take even more if they wait until the third ones than if they wait until the second ones. Because the exchange of the interest is larger the longer the period, in all probability the person is not earning. It is certain that the dealer who stops dealing and the exchanger who stops exchanging with his money for two fairs is prevented from earning more than if he stopped for one fair, as is the case with the person who does not deal in two more than the person in one [fair]. It is hard to believe that such renowned doctors belonging to such a great university analyzed this other type of exchange regarding buying or bartering. Even students with few years of study know that buying or bartering for a higher price when there is a longer term is usury. This subject, though, is not talked about in schools, according to what Saint Doctor Soto (7) says. It was never discussed until him, although we believe that Gaspar Calderino, (8) Laurencio Rodulpho, (9) Saint Antonino, (10) Ioan de Anania, (11) Sylvestro, (12) Caietano, (13) Medina, (14) and others studied this subject extensively, even if they did not explain its concepts as much as we did.
35. As far as this exchange is concerned, the exchanger who stops being a merchant to become an exchanger once he has gotten his money out of the deal and devotes all his money to exchange from fair to fair for a certain or uncertain interest, is mortally sinning and must pay restitution. That means [that he exchanges] under agreement that those who take his money pay him as much as what those who deal in what he used to deal earn, or a certain amount of probable interest [that is equal to what] he would earn if he were dealing. Because he has already removed his money from the deal and does not want to deal, there is no true nor probable interest, as was said in the Manual (15) and in another commentary. (16) Also sins the exchanger who in order to exchange his money does not stop dealing with the money he has destined for that purpose. He should pay restitution on what he has earned for the same reason. Therefore, there are many penitents who have enriched themselves in these ways, and many confessors who listen and have listened to them in confession, absolving them without ordering them to stop doing it or to pay restitution on what they have earned or ordering thus and not being obeyed, which condemns both one side as well as the other. (17)
(1) In commentario c. I, 14, quaest. 3 [Decreto II, 14, 3, I], n. 46 et sequenti [23 s.], una cum hoc excuso.
(2) Quia eadem omnino ratio, idem omnino ius suadet lex illud, ff. Ad legem aquilam [Digesto 9, 2, 32] et c. Translato, de constitutionibus [Decretales I, 2, 3].
(3) In tractatu De cambiis, cap. I .
(4) Supra eodem n. 26 .
(5) Quasi non esset Deus, vel non scruptaretur corda, et renes, contra psalmun 75 [25, 2]; c. Novit, de indiciis [Decretales 2, I, 13] et c. Deus Omnipotens, 2 quaest. I [Decreto 2, 2, I, 120].
(6) Lib. 7 quaest. 5, art. 5, De iustitia et iure [lib. 6, quaest. 12, art. 5, 603].
(7) Ubi supra [lib. 6, quaest. 12, art. 5, 603].
(8) In consilium 11 [De usuris Rubrica].
(9) In repetitione c. consuluit [Decretales 5, 19, 10], quaest. I secundae partis.
(10) 2 parte, tit. I, quaest. 7, s. 49.
(11) In praesenti [De usuris Rubrica c. Naviganti = Decretales 5, 19, 10].
(12) Verb. usura, 4 per totum.
(13) In tractatu De cambiis [cap. I, 163].
(14) In Codice de rebus restituendis a fol. 145 [De cambiis, fol. 155].
(15) C. 17, n. 212 .
(16) In c. I, 14, quaest. 3 [Decreto II, 14, 3, I], n. 49 [82 s.].
(17) Add. R.: Quibus addo nunc Pium V per extravagantem infra transcriptam statuisse, ne a principio certum interesse praefigi possit in cambiis.
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|Title Annotation:||Commentary on the Resolution of Money|
|Publication:||Journal of Markets & Morality|
|Date:||Mar 22, 2004|
|Previous Article:||8 Exchanging by transference.|
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