The Shaofu Household Manager was a little confused when he received Gu Jiu's visiting card.
He read the visiting card several times inside and out. It only said that he would visit the next day, but did not say why he would visit.
The housekeeper bowed and reminded, "Master, Madam Zhao's people are still waiting at the gatehouse, awaiting your reply."
The Shaofu Housekeeper said, "Young Master Zhao is not in the capital, and Madam Zhao came to visit alone, but refused to explain why. This old man is a little worried."
When the housekeeper heard this, he asked, "Old Master, are you going to reject Madam Zhao?"
The Shaofu Housekeeper stroked his beard and was silent for a moment. "Tell the visitor that I will be free after noon tomorrow."
The implication is that Gu Jiu will not be invited to stay at home for dinner.
If you are free in the morning and have finished talking about business, you should naturally treat me to lunch.
The butler took the order and left.
The next afternoon.
Gu Jiu came to the residence of the Shaofu Jialing with generous gifts.
Seeing the Shaofu Housekeeper, she hurried forward and bowed, "Junior greets the old ancestor. How are you these days?"
Gu Jiu treated the younger generation with courtesy, and today they only discussed kinship, regardless of their respective identities.
The Shaofu's household official's surname was Liu, and he was a member of the imperial clan. In terms of seniority, he was one generation older than the emperor. Although he was not yet sixty years old, he was still a few years younger than the emperor.
It is right for Gu Jiu to call him ancestor and to show respect to the younger generation.
The Shaofu household official stroked his beard and said, "Madam, please be polite."
"Grandfather, you are embarrassing me. If you don't mind, please call me Xiaojiu. Everyone in the family calls me that."
The Shaofu family commander laughed and said, "Sit down and talk."
He flipped through the gift list and found that the gifts were very valuable.
"Xiao Jiu's sudden visit has left me with many suspicions. Seeing this gift list, I have even more questions. Could Xiao Jiu tell me why you came today and brought such generous gifts?"
Gu Ji pursed her lips and smiled. She didn't expect that the Shaofu Housekeeper would be so straightforward and ask her purpose directly.
But it’s better this way, as it saves unnecessary trouble and allows everyone to get straight to the point.
Gu Jiu was also very straightforward. He took out a large stack of house deeds and land deeds and placed them in front of the Shaofu Housekeeper.
Bai Zhong set up a scheme and hired someone to pretend to be a businessman from the northwest. He successfully used 10,000 taels to seize the house deeds and land deeds of the entire Yuhua Lane from the Li family.
The Li family spent 50,000 taels to buy Yuhua Lane and sold it for 10,000 taels, resulting in a total loss of 40,000 taels.
However, at this moment, the Li family still felt that this deal was worthwhile. Otherwise, Yuhua Lane would have been ruined in their hands and become a burden.
The Li family was still mocking the "Northwest businessman", calling him a fool.
Take Yuhua Lane's current situation as an example. Only homeless vagrants, extremely poor people, and people of unknown identity live there.
In places like that, collecting rent is a real hassle. Not just a hassle, but a huge hassle.
The Li family, from top to bottom, were unwilling to set foot in that place.
They were truly thankful that someone could take over Yuhua Alley from them. Even if it meant a loss of 40,000 taels, they would accept it.
"Ancestor, please look." Gu Jiu said softly.
The Shaofu family official frowned slightly, full of doubt, "What exactly does Xiaojiu mean by this?"
"I would like to borrow money from the Shaofu, using the land deed as collateral. I hope you will be lenient with me, old ancestor."
The Shaofu's housekeeper was stunned for a moment. "You mean, you want to borrow money from the Shaofu?"
Gu Jiu nodded, "Exactly!"
The Shaofu Household Manager stroked his beard and did not make a decision in a hurry.
"Why did you think of borrowing money from the Shaofu? The Shaofu never does lending business."
Gu Jiu smiled faintly, with a confident light in his eyes.
She said in a gentle tone: "The Shaofu didn't do lending before, but since I started, the Shaofu has added a new business, the lending business.
In my opinion, Shaofu is the richest place in the world. Doesn’t our ancestors think it’s a waste to keep so much money in the treasury?
Loan sharking and usury were rampant, forcing countless ordinary people into bankruptcy, destroying their families, and turning them from property owners into propertyless people, some even becoming slaves. In more serious cases, some people even went to the mountains and became bandits, wreaking havoc on the local area.
If there is a government-run lending institution that lends money to needy people and merchants of all sizes at interest rates lower than usury, then who in the world of lending, among all the major private banks, can compete with the Shaofu?
Seeing that the Shaofu Household Officer was unmoved, Gu Jiu added fuel to the fire.
She emphasized, "If we calculate that the Shaofu borrows 5 million taels a year, with a monthly interest rate of 1%, the annual income will be 600,000 taels. This is still the minimum.
As far as I know, in the capital area alone, no less than 20 million taels of silver circulate in the loan market every year.
Without mentioning too much, if the Shaofu was half a business owner and lent out 10 million taels a year, the interest alone would be 1.2 million taels. If the monthly interest rate was raised to 1.5%, the annual income would be 1.8 million taels.
A monthly interest rate of 1.5% may seem high, but compared to loan sharks charging 3% or 4% a month, it's a reasonable price. It's also affordable for ordinary people.
With the background and financial resources of the Shaofu, as long as the ancestors are willing to allow the Shaofu to enter the lending market, private money houses will have no place to survive.
From now on, besides the high-interest loans from private banks, the common people now have another option: they can go to the Ministry of Finance to borrow money, thus preventing them from being ruined by the high interest loans.
Those with stable property have a stable heart. If the common people can keep their property, they will naturally not become slaves, nor will they go up the mountain to become bandits and cause trouble in the local area. They will continue to be self-cultivating farmers, and those with property will continue to pay taxes to the court.
If these common people went bankrupt, became slaves, refugees, or bandits, it meant that the government would no longer be able to collect a penny in taxes from them. Not only would they not be able to collect taxes, but they would have to spend money to send troops to suppress the bandits and to settle the refugees, increasing the burden on government at all levels.
The Shaofu controls the lending market, lends money to the common people at low interest rates, and protects their property. This is beneficial to the country and the people, and is a great thing for the economy and people's livelihood. If the Shaofu doesn't do it, who will?
It can also bring in millions of taels of revenue for the Shaofu every year. If the Shaofu can control more than half of the world's lending market in ten years, bringing in tens of millions of taels of revenue a year is no empty promise. Such a good thing, even one that will go down in history, the old ancestor really wants to push it forward."
The originally cloudy eyes of the Shaofu Household Manager suddenly burst into a scorching light.
He asked, "Has anyone ever told you that you are good with words?"
Gu Jiu pursed his lips and smiled, changing his previous tough attitude to become gentle, "Many people say that I am sharp-tongued and have a sweet tongue."
"Haha, the person who said that to you must have suffered a loss. Xiaojiu, I really have a new respect for you. Just based on what you just said, you are enough to argue with the court officials in the court."
"Grandfather, your praise is too much. I, a younger generation, do not deserve such praise."
"No, you deserve it. But I have a question for you. What you just said, were you thinking on your own, or was there someone behind you who was giving you advice?"
Gu Jiu smiled and said, "These are all my own thoughts."
Upon hearing this, the Shaofu Household Manager immediately looked at Gu Jiu with admiration.
"I underestimated you before. I didn't expect you to be so eloquent and have such a unique mind. Do you know why the Shaofu doesn't engage in lending business?"
Gu Jiu shook his head, "I don't know."
The Shaofu Housekeeper asked again, "Do you know which major banks there are in the capital?"
Gu Jiu nodded, "I know. There are six major banks in the capital, and they are all very wealthy."
The Shaofu Housekeeper stared at her, "Then do you know who are the backers of these six major banks?"
Gu Jiu lowered his head and smiled, "Old Ancestor is testing me. Although I don't know the specific backers of the six major banks, I guess they are nothing more than civil officials, military generals, and royal relatives. Maybe our Ning Wang Mansion also has a stake. But what does it matter?"
The Shaofu household official frowned slightly.
Gu Jiu said in a resounding voice, "I don't believe that the backers of these six major banks can be greater than the emperor. When the emperor is angry, millions of people will die. With the emperor's power, endorsing the Shaofu, let alone the six major banks, even the ten major banks are nothing compared to the Shaofu's financial background and financial resources!"
The Shaofu household official was stunned at first, and then burst into laughter.
He pointed at Gu Jiu and laughed all the time.
After laughing, he finally spoke, "You're right. The world is vast, but the emperor is the greatest. No matter how powerful his backers are, they are not as great as the emperor. In terms of financial strength, the Shaofu is second to none, and no one in the world dares to claim first place. I was blinded by one thing before. Tell me, how much silver do you want to borrow?"
Gu Jiu smiled broadly, "Old Ancestor is willing to lend me money from the Shaofu. I wonder how much the interest is?"
The Shaofu Household Manager laughed heartily. "Since you've said so much, how can I refuse you? The monthly interest rate will be the 1.5% you mentioned. This is already a fair price. You said so yourself."
The corners of Gu Jiu's mouth twitched.
The Shaofu Household Manager asked her, "You haven't told me how much silver you want to borrow yet?"
"I want to borrow two hundred thousand taels of silver."
Originally, Gu Jiu planned to borrow 100,000 taels, but when the words came to her lips, she suddenly changed her mind and directly borrowed 200,000 taels.
It is so difficult to borrow money from the Shaofu. If I don’t borrow more, it would be a waste of this great opportunity.
"How long is the deadline?"
Gu Jiu thought for a moment and said, "A year and a half."
"No, I can only lend you money for one year. After one year, you must repay the principal and interest, a total of 236,000 taels, to the Shaofu."
Gu Jiu gritted his teeth and said, "One year is just one year."
At this moment, Gu Jiu was very happy and regretful.
If she had known that she could borrow money from the Shaofu, why would she have worked so hard to save money and expand her property like a snail?
If she had borrowed several hundred thousand taels from the Shaofu last year, her property would have expanded tenfold and she would have become a wealthy woman.
In Gu Jiu's eyes, there are business opportunities everywhere in Beijing, Jiangnan, and Northwest China.
Moreover, she has the blessing of status. Except for short-sighted people like the Li family, she is successful in business.
With her mind and business model, there is no business that does not make money.
Lesson learned this time.
Whenever she had no money, she would go to the Shaofu Household Manager to beg for alms.
This time she borrowed 200,000 taels, and she will try to borrow 1 million taels directly next time.
As for the interest, considering her profit, she doesn't need to worry about it at all.
The steward of the Shaofu told her that he would send someone to the Shaofu tomorrow to handle the formalities. Once the formalities were completed, the silver could be taken away from the Shaofu.
Gu Jiu smiled sweetly, "Thank you, ancestor. I will go to the Shaofu on time tomorrow to handle the formalities."
The Shaofu's steward served tea to see the guest off. Gu Jiu was also very tactful. He stood up and bowed to take his leave.
After she left, the Shaofu Household Director had his court robes prepared as he was going to the palace to meet the emperor.
…
Imperial Palace, Xingqing Palace.
The Shaofu Household Manager was wearing court robes and sitting upright on a chair.
He was one of the few people who was granted a seat in Xingqing Palace.
At this moment, he was discussing with the emperor about the loan from the Shaofu, and the content was entirely based on Gu Jiu's ideas.
After hearing what the Shaofu Housekeeper said, the emperor asked, "Did Gu Jiu say all this?"
"I dare not deceive Your Majesty. These thoughts all come from Madam Zhao."
The emperor walked back and forth in the hall with his hands behind his back.
"That's a good idea, if it can really bring in over a million taels of revenue for the Shaofu in a year."
"I have some knowledge of the lending market in the Gyeonggi region."
The Shaofu Household Order subconsciously used Gu Jiu's word, the loan market.
He continued, “In the Gyeonggi region, especially among self-cultivating farmers, eight out of ten households have to rely on loans to survive during the lean season.
If we don’t borrow money, we will go hungry, and there will be no seeds or oxen, which means that the year’s harvest cannot be guaranteed.
These self-cultivating farmers usually borrowed money from local gentry, borrowing in spring and repaying in autumn. After repaying the loan, they would not have enough food to eat the next year, so they had to borrow again, and the cycle would repeat.
If there is a famine and grain production decreases, the self-cultivating farmers will definitely not be able to repay their loans and will have no choice but to sell their children, fields and land, and become landless tenants.
If things get even worse, they can only sell themselves as slaves, or become refugees, bandits and wreak havoc on the local area.
Most of the country gentlemen who borrowed money had one or more banks behind them. As for the common people and merchants in the capital, the amount of money they borrowed was even greater.”
After a pause, the Minister of the Imperial Household continued, "Your Majesty, according to statistics from the Minister of the Imperial Household and the Jingzhao Yin Yamen, last winter, the number of refugees in the capital was nearly double that of previous years. Most of them came from bankrupt self-cultivating farmers in the capital area. There were also those fleeing famine from the northwest."
These individuals have already caused serious problems for public security in the capital. According to the thief officer of the Jingzhao Yin Yamen, the number of thefts in the capital has increased by 30% this year alone compared to last year. Most of these cases are committed by refugees. Many areas of the capital have become hotbeds of corruption and criminals.
"I believe that we must make great efforts to improve public order in the capital and to solve the problem of refugees. By having the Minister of Finance take control of the lending market, I believe this can fundamentally reduce the number of refugees. At least the Minister of Finance won't force the peasants to ruin their families."
The emperor's face was serious. "Have you ever thought about what to do if the money you lent to the Shaofu cannot be recovered?"
The Minister of the Imperial Household laughed. "Madam Zhao gave me an idea. She said that if farmers can't repay their loans, there are two ways to solve the problem. One is to extend the loan period, giving them a year or two to give them some time. The other is to offer labor in exchange for wages, using the wages to repay the loan. The common people suffer from labor service, so making those who owe money and don't repay it do so is a good idea."
"You only talked about the self-employed farmers. What about the common people and merchants in the capital?"
"Mortgage!" the Imperial Household Secretary said in a resounding voice. "Merchants seeking loans must have collateral of equal value, whether it's a house deed, a land deed, or goods of equal value. Common people can mortgage their property if they have it, and their wages if they have them."
Tianzi frowned, "Did Gu Jiu tell you all this?"
"Most of them were her ideas, and a few were my own."
"You are quite modest."
The Minister of the Imperial Household said solemnly, "Your Majesty, I dare not deceive you."
The emperor hummed, "It's a good idea, but the villagers in remote areas are not likely to come to your Shaofu to borrow a few taels of silver."
"We can set up another yamen in the local county government."
"Ridiculous! The villagers suffer from the exploitation of clerks, and you are adding another layer of burden to them."
The Minister of the Imperial Household said, "Your Majesty, as you will understand, matters of borrowing and lending need not go through the hands of the county clerks. All matters of borrowing and lending fall solely under the jurisdiction of the Minister of the Imperial Household, and no local government may interfere. However, local governments have a duty of supervision."
"Are you planning to recruit several thousand account clerks?"
The Minister of the Imperial Household said confidently, "Madam Zhao has given me an idea, which I think is very good, and I am reporting it to Your Majesty."
"explain!"
The Minister of the Imperial Household considered this for a moment and said, "Madam Zhao suggested that we recruit retired soldiers as loan officers to go deep into the countryside, publicize the imperial system, and help the villagers with loans.
This will prevent usury from harming the villagers and your Majesty's subjects. Each county may have two to ten accountants, plus one general manager. Wages will be based on the amount of loans borrowed and the amount of loans recovered.
This way, we can put an end to the abuse of villagers by officials and reduce the burden on the court by not having to pay large sums of money for demobilization."
The emperor nodded, "This method really kills two birds with one stone. I didn't expect Gu Jiu to have the talent to govern the country."
Continue read on readnovelmtl.com
