Banki zastawne

Abstract

The institution of pious banks, also called monti di pietà or monti frumentarii, that developed in the 15th and 16th centuries was an element of the Christian love of the neighbor. The essence of the pawn banks, or com banks, consisted in lending various objects, corn or money at low interest. Franciscans, Observantines and Capuchins were especially active in establishing these mutual aid institutions. The initial capital was obtained from collection after a sermon calling for active love of the neighbor. Next, voluntary donations and testament legacies contributed to the capital. Pawn banks had their statutes defining the way and range of giving loans and specifying the composition of the supervisory boards that included the bishop, the parish-priest, representatives of the municipal authorities and the guardian of the Franciscan or Capuchin order. The low interest was a reason for significant controversy in those times. Because of categorical condemnation of usury Franciscans were accused of favoring this activity. Only the intervention of Lateran Council V allowing reasonable interest resulted in cessation of intense disputes concerning this matter.