204 RURAL RECONSTRUCTION 



pulsory powers (going even the length of expropriation at their sole 

 pleasure) to root out Polonism in the at the time still Polish 

 provinces of Prussia, in favour of German peasant holdings — the 

 " General Commissions " freely admitted Polish land settlement 

 societies — excellent societies they were, rendering admirable service 

 — formed in direct opposition to the Germanising scheme (as 

 deliberately pitting new Polish peasant settlements against German) 

 to the same privilege. They were allowed to benefit freely by the 

 credit given by the State Rentenbank. And their impartiality went 

 so far that, as the president of one of the said " General Com- 

 missions " (that for Posnania and West Prussia), Dr. Beutner, owned 

 to me, he actually gave the preference to Poles as settlers, as making 

 in general the better colonists. Well, the arrangement — which works 

 exceedingly well for the settlers, inasmuch as the " General Com- 

 missions " only approve of plans which settle them under conditions 

 promising success, and under which the Rentenbank pays three- 

 fourths of the purchase price in land bonds — leaves it to vendors 

 to procure the remaining fourth for themselves in such way as they 

 may please. The assumed payer of course is the settler. But it 

 does not by any means follow that, because the vendor is entitled 

 to ask for it from the purchaser, therefore he will also insist upon 

 the purchaser's paying it down in cash. Often enough he will give 

 him ample time, or else some capitalist well-wisher will agree to 

 take a second mortgage for the amount. Then there are the 

 co-operative banks, giving credit to trustworthy parties on purely 

 personal security. Among the Poles, who possess not only excellent 

 settlement societies, but also excellent co-operative banks, it has 

 been very usual for the co-operative bank, securing itself in its own 

 way, to take up the entire last fourth on the borrower's personal 

 security, so that the new settler has walked into his acquired posses- 

 sion — all " swept and garnished," as it was under the " General 

 Commission's " paternal watchfulness, with a year's harvest stored 

 up to five upon — without paying a stiver for the freehold in cash. 



This corresponds to what is currently done in housing under a 

 truly model scheme adopted by the Belgian General Savings Bank, 

 a State institution, under entirely independent management, which 

 advances nine-tenths of the value of the house — the remaining tenth 

 being very often provided in full by a voluntary association, com- 

 posed in part of officers of the savings bank mentioned and other 

 philanthropists, and under which, so I have been assured by persons 

 forming part of such association, practically no losses have been 

 made. Under this scheme, by means of life insurance coupled with 



