A Santa Casa da Misericórdia de Coimbra e o empréstimo de dinheiro a juros (1753-1765)

Abstract

Money lending at 5% interest was one of the sources of income of Misericórdias charity and welfare institution. Among those who benefitted most from the money of the Coimbra Misericórdia were the Brothers, who could also be members of the institution's administrations. There were several reasons for borrowing. Since not all borrowers fulfilled their commitments, Misericórdia had several mechanisms it could resort to to ensure debt repayment, which would obligate borrowers to contract new loans to reschedule old ones. In other cases, by paying the full amount of outstanding debt, the guarantors acquired the prerogatives of the Misericórdia, thereby becoming creditors. Aware of the role that credit played in the Brotherhood's survival, the Crown developed a legal framework, which enhanced the executive power of the Misericórdias, while controlling and moralizing this pratice.