THE DANISH CO-OPERATIVE BANK 145 



from the co-operative dairy or co-operative slaughter-house, are 

 effected in cash. It is the aim of the Village Bank to avoid 

 this risky and costly handhng of cash by giving each co- 

 operator an account to which can be credited what he is to 

 receive from some of the co-operative societies, and debited 

 what he has to pay to the other co-operative societies. It also 

 introduces the use of cheques for money transactions between 

 man and man, and may do some other simple banking business. 

 And from the money available, including the savings of members, 

 the Village Bank is able to grant the short loans for working 

 capital needed by many small farmers. Finally, it has a 

 considerable educational effect, being formed by and managed 

 by the farmers themselves, who in this way gradually learn to 

 handle money economically. The Village Banks work in 

 close connection with the Co-operative Bank. 



The first Co-operative Village Bank was formed in West 

 Jutland in July, 1915 ; the following year seven others were 

 formed, and during the next six months seven more. It looks 

 as if another co-operative movement, started in the West of 

 Jutland, is going to sweep over the country as the co-operative 

 dairy system did a generation earlier. 



