I agree that quizing them on some book in a library seems very counter-barbarian.

The whole history thing though I believe is vital to what makes the village different from other cabals. I mean the village cares about its legacy and the pillar is a testament to that (sure other cabals have copied but they just don't have the same feel). The village also is very pride oriented which fits in well with the whole knowing your past type deal.

Personally I always play it off as stories handed down around a campfire as opposed to read te book, most vets know the stories inside and out, or at least the major details (who and why), as a village noob... well yeah you might need to take 5 minutes to read them or ask someone else.