Consumer Credit in Early Modern Venice: the lending activity of innkeepers and bastioneri

This chapter challenges the general skepticism about pre-bank institutions, which are often considered small and fragmented, as well as risky and expensive. It opposes the common idea that banks are crucial for the development of an organized and inclusive credit market. To this end, the chapter focuses on the credit activity of Venetian innkeepers and bastioneri (wine sellers), who provided a unique pawnbroking service to their customers. They formed an efficient and dynamic network of market-makers that embraced all the city, providing essential support for the lower strata of the urban population. The chapter traces the origins of this pawnbroking activity and describes its main features. It focuses on the gradual bureaucratization of the relationships between borrowers and lenders. The Venetian case proves to be perfect to discuss how early modern public authorities could shape the structure of local credit markets, affecting their development. The last section focuses on the resilience of the Venetian credit system during a period of economic distress.