People did already have knoledge of Saruman's army. Gandalf had seen it being created during his imprisonment on Orthanc and Eomer, Theodred, and other leaders of the Roharrim had had scermishes with them on several occations. Merry and Pippen were most likely just retelling what they had heard as the reason the Fellowship could not take the Gap of Rohan and had to instead try braving the Red Horn pass and eventually the Mines of Moria.
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Christ is Risen!
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