Kazlų Rūda credit cooperatives in 1923–1949

Vladas Terleckas

The history of credit enterprises operated in Kazlų Rūda in 1913–1949 is unclosed from original sources. Two credit cooperatives were found to have existed here in 1926–1929, the period of “credit hunger”. These were Kazlų Rūda Farmers’ Union Mutual Credit Society (SKD) and Kazlų Rūda Valsčius Farmers’ Savings and Loan Fund (TSK). Dealing with sale of mineral fertilisers, the SKD suffered losses and was closed. The TSK operated better and earned trust of banks and depositors, hence, this enabled to raise credit resources and provide its members by loans.

In 1940, when the USSR occupied Lithuania, the Kazlų Rūda TSK was sovietised and renamed into the Agricultural Credit Society. It lost its self-sufficiency and its business was to distribute the USSR Agriculture Bank loans to poor peasants. The loans were mainly given for long terms to construct buildings and buy livestock. At the end of 1949, due to general collectivisation, the Agricultural Credit Society was dissolved by the decision of the then powers.