10129. Citizens National Bank (Chillicothe, MO)

Bank Information

Episode Type
Run Only
Bank Type
national
Bank ID
4111
Charter Number
4111
Start Date
October 12, 1931
Location
Chillicothe, Missouri (39.795, -93.552)

Metadata

Model
gpt-5-mini
Short Digest
28bdb099

Response Measures

Accommodated withdrawals, Borrowed from banks or large institutions, Public signal of financial health, Books examined

Description

Run on Citizens National was triggered by the closing/failure of the Farmers & Merchants Bank in Chillicothe. Articles report a light/persistent run but Citizens National remained open, solvent, and received large deposits and offers of credit from correspondent banks.

Events (2)

1. September 3, 1889 Chartered
Source
historical_nic
2. October 12, 1931 Run
Cause
Local Banks
Cause Details
The closing of the Farmers & Merchants Bank in Chillicothe sparked nervous depositors to withdraw from Citizens National; described as a light/persistent run following the other bank's failure.
Measures
Officers served withdrawals promptly; outside examiners inspected the bank (Fred Brady of Commerce Trust); correspondent banks (Federal Reserve, Commerce Trust Co., Natl Bank of Commerce KC) offered unlimited funds; bank was closely guarded and accepted large deposits.
Newspaper Excerpt
Nervous depositors who became panicky following the closing of the Farmers and Merchants Bank here yesterday afternoon, started a run on the Citizens National Bank, which lasted until closing time.
Source
newspapers

Newspaper Articles (2)

Article from The Braymer Bee, October 14, 1931

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Article Text

ANOTHER CHILLICOTHE BANK CLOSES The Farmers and Merchants Bank Closes Monday Noon After Slow Run persistent run of about resulted closing of the Farmers Merchants Bank Monday This leaves Chillicothe with only one the Citizens National for the run the bank's supply of ready cash the Chillicothe Constitution. of the directors said the had been but that the the part of the public since First tional had steady drawal of Even the general of the that the will The assets are of more than value the of all deposits The discussing the re-opening of the institu but probably decision will made until after the bank's fairs are checked by the state department. have been hard hit by bank failures recent times We understand that there are now only three banks in the county Farmers Ludlow, the Community Bank and Citizens National at Chillicothe Following the close of the Farmers and Merchants Bank run was on Citizens National Depositors were paid dur ing and night Fred vice president of the Commerce Trust Kansas City, arrived in Chillicothe and spected the bank found the institution in excellent condition merchants men to show their faith made many heavy deposits business being transacted fast that was necessary to form two lines, other drawing wasn't until line withdrawers meltWe told Chillicotheans deposited over $30,000 in Citizens Bank. Tuesday One lady, uneasy about her savings, withdrew $500 in currency and took it to the to deposit in the postal savings department. She asked the postmaster what he would do with money. and seemed distracted when he told would in the bank. She told him she had just taken out of the bank. informed her it was Uncle Sam's money, and Uncle Sam keeps his money in the bank. CARD OF THANKS We wish take this means of thanking and friends their many acts of kindness during the and after the death of our husband father and brother Hampton Mr. Mrs Wetzel Mr. and M Hampton Mrs. Nelle Brown


Article from The Milan Standard, October 15, 1931

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Article Text

CHILLICOTHE FARMERS & MERCHANTS BANK CLOSED DOORS MONDAY The Citizens National Bank Stands Strain of Light Run From Depositors. Nervous depositors who became panicky following the closing of the Farmers and Merchants Bank here yesterday afternoon, started a run on the Citizens National Bank, which lasted until closing time. With the opening of the bank this morning it was soon filled with customers, but the majority of them were making deposits instead of withdrawing their money. Directors of the bank stated at noon that the deposits almost equaled yesterday's withdrawals. Those who went to the bank yesterday and this morning to withdraw their accounts were quickly and courteously served. When others saw that the bank had sufficient money on hand to meet the demand, the crowd which filled the sidewalks on either side of the entrance drifted away and conditions became normal about noon. The officers and directors of the bank were not alarmed when the run started, as the bank is perfectly sound, owes no money and has unlimited credit. Fred Brady of the Commerce Trust Company, who came here last night to examine the bank, stated this morning that he had found the bank solvent, and that the Federal Reserve bank, the Commerce Trust Company, and the National Bank of Commerce in Kansas City had voluntarily offered unlimited funds to the Citizens National Bank here because of its splendid condition. The Citizens Bank is being closely guarded on account of the large amount of money brought here this morning in case a heavy run was made on the bank. The closing of the Farmers and Merchants Bank came as a result of lack of confidence in the institution and a slow run that has been in progress for almost a week. Directors say that the lack of confidence was groundless, the bank having been pronounced satisfactory by inspectors. (Continued on Page Eight).