Babylonians and Assyrians : $b Life and customsSayce, A. H. (Archibald Henry)
History
Babylonians and Assyrians : $b Life and customs
Sayce, A. H. (Archibald Henry)
Assyria -- Social life and customs; Babylonia -- Social life and customs
The obligation to repay the loan on “the day of the harvest” is a survival
from the time when all payments were in kind, and the creditor had a right
to the first-fruits of the debtor’s property. A contract dated in the
reign of Khammurabi, or Amraphel, similarly stipulates that interest on a
loan made to a certain Arad-ilisu by one of the female devotees of the
Sun-god, should be paid into the treasury of the temple of Samas “on the
day of the harvest.” The interest was reckoned at so much a month, as in
the East to-day; originally it had to be paid at the end of each month,
according to the literal terms of the agreement, but as time went on it
became usual to reserve the payment to the end of six months or a year. It
was only where the debtor was not considered trustworthy or the security
was insufficient that the literal interpretation of the agreement was
insisted on.
The rate of interest, as was natural, tended to be lower with the lapse of
time and the growth of wealth. In the age of the Babylonian empire and the
Persian conquest the normal rate was, however, still as high as 1 shekel a
month upon each maneh, or twenty per cent. But we have a contract dated in
the fifth year of Nebuchadnezzar in which a talent of silver is lent, and
the interest charged upon it is not more than half a shekel per month on
the maneh, or ten per cent. Three years later, in another contract, the
rate of interest is stated to be five-sixths of a shekel, or sixteen and
two-thirds per cent, while in the fifteenth year of Samas-sum-yukin the
interest upon a loan of 16 shekels is only a quarter of a shekel. At this
time Babylonia was suffering from the results of its revolt from Assyria,
which may explain the lowness of the rate of interest. At all events, six
years earlier, Remut, one of the members of the Egibi firm, lent a sum of
money to a man and his wife without charging any interest at all upon it,
and stipulating only that the money should be repaid when the land was
again prosperous.
Public-domain text, read in full here on John Shaqi.
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