412 



Agricultural Credit Societies. [sept., 



for the appointment of the committee, trustees, treasurer 

 and secretary, for the holding of meetings, the keeping and 

 auditing of the accounts and other matters. 



The rate of interest on loans and the date of repayment are 

 not fixed by law, but the model rules of the Agricultural 

 Organisation Society provide that when a loan is granted 

 it may be for some fixed term not exceeding twelve months, 

 or it may be repayable in instalments at intervals of one, two, 

 four, six or eight weeks, or three months ; the interest to be 

 charged for loans not made repayable by instalments is not 

 to exceed 6 per cent, per annum ; the interest on deposits is 

 not to exceed 4 per cent, per annum ; no profit, bonus or divi- 

 dend of any kind is to be divided among the members, and any 

 surplus after payment of the cost of administration is to be 

 carried to the reserve fund. 



While loan societies, registered as specially authorised societies, 

 cannot claim exemption from stamp duty, priority of claim 

 against the estates of their officers in event of death or bank- 

 ruptcy, agricultural credit societies have the advantages of 

 those sections, but the other special privileges of the Friendly 

 Societies Act, 1896, are not extended to either. 



Assistance of County Councils in the Formation of Credit 

 Banks. — The position as regards the formation of credit banks 

 has been somewhat modified by the Small Holdings and 

 Allotments Act, 1907, which authorizes a county council to 

 promote the formation or extension of co-operative societies 

 having for their object the provision or the profitable working 

 of small holdings or allotments, and under this definition 

 societies for the purpose of credit banking are specifically 

 included. The county council, with the consent of, and 

 subject to regulations made by the Local Government Board, 

 may assist such societies by making grants or advances, or 

 may guarantee advances made to the society upon such terms 

 and conditions as the Council may think fit. 



Number of Existing Societies. — Only a few of these societies 

 -exist in England at present, but they appear to be doing a 

 useful work among small cultivators, village tradesmen, 

 allotment holders and the rural labouring classes. 



According to the report of the Chief Registrar of Friendly 

 Societies for 1906 (Part A, x\ppendix N, Sections I-IX), the 



