Richmond times-dispatch. [volume] (Richmond, Va.) 1914-current, 1916-02-29
ORGANIZING FARMERS FOR CRFDJ
ny FREDERIC =. IAsKIN

WASHINGTON. u. G., February 90
significant gathering took place in
country schooihouse in Moore coun-
~, North Carolina, fifteen miles from
railroad. not long ago. About TWEEN
farmers were present. and they rep
resented all classes from the wealthy
landowner TO the poor tenant farmer,
who owns nothing but :, mule and a
milk COW. There We're also several
school-tcachcrs and William r. Camp,
chief or the division OF markets Of the
North Carolina Agricultural Expert
mont Station.
This meeting was one OF the first
hcld TO organize farmers credit
union under a law passed recently by
tho North Carolina Legislature. Mr.
Camp made little speech, explaining
the purpose and method OF the pro-
posed organization. He proved by
statistics that the farmers OF North
Carolina pay - per cent more for the
supplies that they buy on credit than
for those for which they pay cash.
and that IS per cent OF the value OF
interest rate In order that the farm
ers may obtain the supplies where
with 10 grow and harvest it.
The Credit Union is an organiZa =
ton TO enable farmers to obtain all
the cash they need for legitimate pro-
ductive enterprises at the rate OF 6
per cent per annum. Its members are
the men OF one community men who
know and trust each other. The union
is Incorporated under the State law,
and shares OF stock are sold for $40
each, to be paid in small installmcnts.
Each owner of share Of stock is en-
titled 10 borrow money from the uIon
at the discretion Of its directors
Naturally. the union will have a
t,1 ,;,l,
n few hundred dollars. But the COM
bined property holdings OF it's mem
bcrs will give it a large credit Mt
any bank. 1t Will borrow money from
the bank at per ccnt--perhaps at
less-and lend this money to it's mem
bers. A credit union that started
with capital of SOS has already
loaned over 81 100000. and has never
lost cent.
Plum Is New Here.
Farmers credit unions in the United
states are too new To have proved
their worth. North Carolina is bur the
fourth State where such q law has been
passed, and in Texas. Massachusetts
and New York the experiment is com
paratively young. Germany is the orr
Ginal home Of the credit union, and
there are 1900 such organizations in
that country which is no larger than
Texas
In Germany conditions are of course
very different from those in the United
States. The country is much more
thickly populated. and the farmers often
live together in little villages Co
operation is Il much simpler matter.
But credit unions have also proved
success in Canada, which is even
more thinly. populated than in the
United States
ii would seem at first glance that
the credit union would attract only
those men who are unable to get credit
at bank, and not the substantial men
OF the community. This. however. has
crty have been quick To join these or
ganiZations, both In Canada, and in the
new ones being organized in this coun :
try. Furthermore. the credit unions
usually grow in strength with great
raptdity. through the small savings of
all their members, so that they do not
rcmaiS dependent upon those with
rht IL credit unions are not comueti-
tivc& Both tho banks and the country
Stor Nicepcrs have welcomed them in
mos sections. Tho storekccpcr is very
GLAD TO get cash instead Of giving
crctY. and the union becomes one OF
the }Jpnk's best customers.
Jslcoursc. the prime purpose OF
thct organizations is to enable tho
smI farmer to get credit at II rca-
sonntle rate for the DEVELOPMENT OF
thief Ind. He will not bo given money
to fy groceries or shoes or to go to