Thomas Aquinas and Usury
Aquinas on Usury 1
The idea of lending money at a cost or interest rate has been a concept that has been around for centuries. St Thomas Aquinas was an early Western philosopher who is acclaimed to be the thought of much of the catholic churches teachings today. Aquinas was against the notion of lending money at interest for various reasons. Following the catholic view on usury often leads to an association with greed and exploiting the person in need of the loan. In today’s society usury is almost virtually never disputed and seen as something customary to everyone. With the concept of inflation and quite a capitalistic society we now live in it is hard to agree with many of Aquinas’ arguments against usury. Aquinas did not see any righteousness in selling or buying something for more or less than it was worth because that would be sin. Aquinas also believed it was right to trade money for things such as necessities but not money for money because this left too much room for greed. Although some of Aquinas’ points are valid, in today’s society it works much differently because there is loaning money fairly without exploiting a person in need.
Aquinas saw two ways to exchange money for what he considered commodities or “things” such as food, land or raw materials; and the exchange of money for money (at interest). He saw this as unjust because it left too much room for greed. On a smaller scale this would seem justifiable such as loaning someone personally money for food if they were in desperation and would have a hard time paying it back. However, a commodity is by definition something of use, advantage
Aquinas on Usury 2 or value (2014). Today many people use money that is loaned to them to buy something as imperative as a home or property. This home will quite possibly be worth a significant increase from initial price. The title of this property will be in the name of the person who purchased the home; however, if we apply Aquinas’ theory then the
The idea of lending money at a cost or interest rate has been a concept that has been around for centuries. St Thomas Aquinas was an early Western philosopher who is acclaimed to be the thought of much of the catholic churches teachings today. Aquinas was against the notion of lending money at interest for various reasons. Following the catholic view on usury often leads to an association with greed and exploiting the person in need of the loan. In today’s society usury is almost virtually never disputed and seen as something customary to everyone. With the concept of inflation and quite a capitalistic society we now live in it is hard to agree with many of Aquinas’ arguments against usury. Aquinas did not see any righteousness in selling or buying something for more or less than it was worth because that would be sin. Aquinas also believed it was right to trade money for things such as necessities but not money for money because this left too much room for greed. Although some of Aquinas’ points are valid, in today’s society it works much differently because there is loaning money fairly without exploiting a person in need.
Aquinas saw two ways to exchange money for what he considered commodities or “things” such as food, land or raw materials; and the exchange of money for money (at interest). He saw this as unjust because it left too much room for greed. On a smaller scale this would seem justifiable such as loaning someone personally money for food if they were in desperation and would have a hard time paying it back. However, a commodity is by definition something of use, advantage
Aquinas on Usury 2 or value (2014). Today many people use money that is loaned to them to buy something as imperative as a home or property. This home will quite possibly be worth a significant increase from initial price. The title of this property will be in the name of the person who purchased the home; however, if we apply Aquinas’ theory then the
References: commodity. (n.d.). Collins English Dictionary - Complete & Unabridged 10th Edition. Retrieved February 04, 2014, from Dictionary.com website:http://dictionary.reference.com/browse/commodity Levy, D. (1987) ‘Adam Smith’s case for usury laws’, History of Political Economy, 19: 387-400.