New Iberia enterprise and independent observer. (New Iberia, La.) 1902-1944, 1907-08-03
GERMAN PLAN OF SUPPLYING
MONEY is IN NEED.

felssen system as successfully
practiced in Germany the las,
90 years is urged for adoption.
In discussing the matter the
writer says:
at is astonishing, and at the
same time depIorable, that in
Louisiana these agrarian banks
are as yet unhesrd of. No one
measure in any agricultural sec
ton has so benefited the small
farmer as has this one. Not
Grange, Unions, nor Farmers
Institutes, nor even good roads,
nor intensive cultivation, nor
more carefully selected seeds
not any one OF these, vital
though they be, has given so
much prosperity to the small
farmer as has this one institu-
ton of the Refeissen rural bank.
1t is claimed that within ten
years the small farmers of Ger
many have been more benefited
by the Rafeissen system than
they had been for one hundred
years before by all the ma
chinery of government and
philanthropy put together.
"The accounts from Ireland
are even yet more glowing.
The improved dalrylng and
poultry raising were made pos
slbIe to those pennlIess Irish
farmers by the Ratelssen sys
tenn. Horace Plunkett, one of
the greatest benetactors whom
Ireland has seen this century,
introduced the Rafelssen bank
there about nine years ago.
Through this system the most
poverty stricken region of could
Ireland" have been lifted from
penury and squaIer to indepen-
dence and comfort.
"And what is this magic Ra
feissen system Briefly, it is CO.
operative credit. 1t is joint
debtorshlp. Twenty-pretera
bly, twenty -hve-poor but hon
est farmers combine in a
Rafeissen union. They joint
ly borrow modest sum, say |
$4,000, at 4 or 5 per cent.
Out OF this fund small sums are
loaned at 5 or E per cent to the
members of the union, these
looms being sateguarded by
most stringent pledges. No
member can borrow until all the
others, IN assembled meeting,
The reason for bor-
rowing must be explicitly set
forth, and any member who
should use the money tor an
other purpose is expelled, never
to be relnstated.
"The idea originated more
than sixty years ago. There
has never been one failure.
There has never been one en-
bezzlement. And there has
never been one expulsion. Net
one man has ever become a
thereby. But mil
lions OF poor men haye been
completely lifted from their
poverty.
"The magic work of the mo-
ment is cooperation. The
whole world is astir with its
spirit. Prodigies not possible
by any other means are, through
t, becoming realities. Every
where men are combining for
Ill kinds of purposes. Now
he day has come when
men combine to borrow money.
I Twenty five poor men may sep
,rately not have any credit
worth mentioning, but by COM
their joint responsibility
gives them a credit which will
enable them to borrow several
thousands.
"The money may be bor-
-owed from an individual, as 10
done in Germany, or from a To-
cal bank, as IN ireland and in
France. Will it be objected
that no United States bank will
oan on such low interest If
SO, it were high time to agitate
the matter and so legislats as 10
government banks to
recognize Rafeissen unions and
END money accordingly.
The Rafeissen system ena-
bles the small farmer to get
hold of capital. 1t has proved
bis most powerful protection
against the usurer and the ex-
tortioner. All middlemen are
not usurers nor extortioners,
but 4 coed many of them are.
And to escape from their
clutches is one OF the first re-
quisites OF successful up to date
farming. This is what the Ra-