ANATOCISM, Anatocismus, an Usurious Contract, wherein the Interests arising from the principal Sum, are added to the Principal itself, and Interest exacted upon the Whole.
Anatocism is what we popularly call Interest upon Interest, or Compound Interest. See INTEREST.
This is the worst Kind of Usury, and has been severely condemned by the Roman Law, as well as the Common Laws of most other Countries. See USURY.
The Word is originally Greek, but is used by Cicero in Latin; whence it has descended into most other Languages. It comes from the Preposition ἀνά, which in Composition signifies Repetition or Duplication, and τόκος, Usury.
ANATOCISM
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- Written by: Ephraïm Chambers
- Category: Unclassified