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7.6.1 Terms
Loans of money have the format of an acknowledgment of the debt
by the borrower.^160 Another type of loan of money comes in the
form of a mortgage, in which the borrower pledges (by means of a
s§ [n] db3 ̇≈instrument) real property in exchange for a loan of
money.^161 If the borrower defaults he is forced to convey the pledged
property by means of a cession document (s§n wy), thus effecting a
true sale. Loans of specie do not specify the rate of interest. The
debt was repayable in grain or wine, the latter being more common
in the Ptolemaic period.7.6.2 Interest
Loans of money do not separate principal and interest. One sum is
mentioned in the acknowledgement, and it is presumed that the
interest is included in the sum. When the interest is occasionally
specified, it is high: 50–100 percent interest on money,^162 50 percent
on loans in kind. The Ptolemaic administration limited the interest
rate on money loans to 2 percent per month, 24 percent per annum.^1637.6.3 Repayment
7.6.3.1 Loan contracts could specify the due date of repayment or
leave it open-ended.^164 The borrower had the option of repaying the
loan early. If the borrower was unable to repay the loan at a specified
time, the creditor had a new instrument drawn up fixing new terms
at a higher rate of interest. If the terms were still not met, the cred-
itor could select security from the borrower’s property.^165 In such
cases, children of the debtor could not interfere with this use of the
parent’s property.^166 The borrower could repay either the creditor
or his agents.^167(^160) Vleeming, Gooseherds of Hou, 160–66.
(^161) Pierce, Three Demotic Papyri.. ., 119–20; Pestman, “Ventes provisoires...”
(^162) Vleeming, Gooseherds of Hou, 161.
(^163) P. Col. Zenon II 83 (245/244 B.C.E.), a petition (enteuxis) in Greek concern-
ing usury.
(^164) “... till (sic) your (scil. the creditor) time of wishing them from me that you
[will make] (scil. the grain to be repaid)” (Vleeming, Gooseherds of Hou, 187).
(^165) Ibid., 156–77.
(^166) Ibid., 171.
(^167) Taubenschlag, Law.. ., 393–94.
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