1 Jury, 1902.] QUEENSLAND AGRICULTURAL JOURNAL. 47 
credit. But the object for which that credit was to be obtained, was that the 
money obtained from the co-operative land bank was money which should be 
devoted, not to getting rid of debts, but for some improvements which would 
place the farmer ne a better position. Whether it was wrong or right, that 
was the object with which that Bill was brought in. The idea was that the 
money lent should be applied to some object which would place the borrower in 
a better position, and the bank was to inquire into the particular improvement 
which the farmer intended to make. If a settler goes to the Agricultural 
Bank—and I may observe that it has been constituted so as to be out of 
Government control—he is not asked how long he has been on his farm, but 
what does he want: what security he can offer, and how-does he propose to 
apply the money; will it add to his wealth and improve his position? The 
trustees will not ask whether he is an old or a new settler. The trustees will 
advance him money for the purges of constructing dams or for purchasing 
machinery for irrigation. If a man has been thirty years a farmer, and 
has a freehold, he will be able to obtain the assistance of the bank. 
One of the first objects of the measure was to enable people to improve 
their position, and the next was to meet a class of settlers who 
had purchased land from the Government, but who had not paid up their 
instalments. I have been informed that the ruling rate in Brisbane by 
financial institutions such as insurance companies—and I believe these latter 
advance pretty freely on Darling Downs peepeebes because the security is 
looked upon as undeniable—is form 43 to 5 per cent. I believe the 
Government, if you include charges, does not get money at much under 4 per 
cent. Men with good freehold land have really not much difficulty in getting 
money at reasonable rates from the financial institutions, but, as 1 have already 
stated, there is a class of settlers who may be said to practically own land, but 
their possession of it is still not definite enough to justify an institution 
advancing money upon it as a security. These selectors may have the land 
under an extended lease or they may not have got their certificates of residence, 
and, under the circumstances, however desirable members of society these men 
may be, it is impossible for them to obtain advances from a bank upon the 
land they occupy, because banks only advance upon freeholds. It was partly 
with the object of meeting these men that this Agricultural Bank Bill was 
brought forward. In their case the State, being the landlord, could resume 
possession of the holding in the event of the tenant’s default, and consequently 
was the only party that could lend money on such holding with the absolute 
certainty of being in a position to take the land if the amount advanced on 
it was not repaid. [And because the State thus possessed a special security, 
and, in consequence of its being, as it were, a preferential creditor, the 
fact would probably prevent any other people from making advances. So 
it was considered desirable to institute some machinery which would deal 
with this class of case. It may be thought that the State Bank should 
make advances not to one class, but to all classes, as they do in New 
Zealand, and on various securities, but that, of course, is a matter for 
Parliament. It is a matter upon which you can very profitably express 
an opinion. Itis a matter of entering into rivalry with other banks and of 
rendering financial assistance to graziers as well as to agriculturists. I do 
not know but that the man who has a small herd of cattle, and who certainly 
has his struggles, does not also deserve some consideration. He assuredly is 
one of that class of men who obtain their living from the land. The present 
bank, however, was established, as J have explained, on particular lines—namely, 
to advance money to improve the property of settlers and also to make advances 
to a class of settlers somewhat peculiarly situated. The making of advances 
generally to all classes of persons who are deserving would require at the very 
least £3,000,000. Probably politicians will think that it is as well that this 
scheme as it now stands should be tried for some short time before we take any 
further steps in that direction. That is the view that I have heard expressed, 
and it is not, I think, altogether without some reasonable justification. 
