MAORI FINANCIERS.

New Zealand Herald, Volume L, Issue 15234, 22 February 1913, Page 8

MAORI FINANCIERS.

1 • PECULIAR BANKING METHODS. Oust Kohukohu correspondent writes :— may not be known to everyone that tin Maori has an inclination towards t'm study of finance, and in some country districts he puts this study into practica effect by limning a bank. The metope is as follows: —A meeting is called am subscriptions aro invited, when, perhaps £10 is paid into the hands of a commit ids of management. Applications foi loans are invited, and the money. lent 01 approved security of cattle or horses at J high rate of interest. The conditions ar< that at a fixed date in autumn, thi amount, advanced, together with interest must be repaid, or in defaidt the securi ties will be realised upon. In the even of the borrower refunding the ainouht ad vanced, with interest, the whole sum wil be lent to him again. Natives seldom at tempt to meet trouble until the day befon the catastrophe is imminent, and it is no uncommon for a man to ask a etorekeepe: to lend him a cheque fop the amoun owing on the day before the meeting. Tin cheque is accepted by the directors, anc returned to the borrower the same even ing. In this way a bank has ilourishet under the management of some duskj directors for many years. This bank neve: holds any money, except on the day 0 settlement, and is stated to bo in a flour ishing condition, and to have made ven large profits, which are always reinvested A native came to me in distress lately and asked me for a temporary loan of £10 He proposed to give me 10s for the loan which he only wanted for one day, anc offered the security of four horses, a cart and two cows. I agreed, on conditioi that he should rapay the money by 9 a.m on the day following the directors' meet ing. At 5 a.m. on that morning hi roused me out, having travelled 10 miles and repaid the loan.