10783. Mississippi Valley Trust Company (St Louis, MO)

Bank Information

Episode Type
Run → Suspension → Reopening
Bank Type
trust company
Start Date
October 27, 1903
Location
St Louis, Missouri (38.627, -90.198)

Metadata

Model
gpt-5-mini
Short Digest
44145f46

Response Measures

Accommodated withdrawals, Public signal of financial health, Partial suspension

Other: Banks declined outside offers of assistance; brought boxes of gold and silver in express wagons to reassure depositors.

Description

A run occurred on Oct 27, 1903 driven by a groundless rumor from Chicago that two directors had been refused a $2,000,000 loan. Banks initially paid out deposits (some articles say the 60-day clause was waived), but overnight trust companies agreed to require 30/60 days' notice, effectively limiting immediate withdrawals the next morning. The situation was calmed, gold and silver were brought in, and banks reopened and met demands. Classified as run → suspension (time-limit invoked) → reopening. OCR minor errors corrected (e.g., Misissippi → Mississippi).

Events (3)
1. October 27, 1903 Run
Cause
Rumor Or Misinformation
Cause Details
Disquieting rumor from Chicago that two directors had been refused a $2,000,000 loan for the company; pronounced an absolute canard by directors.
Measures
Officials initially waived the 60-day notice clause and paid out deposits promptly; officials and police counseled calm.
Newspaper Excerpt
As a result of disquieting rumors, a run started today on the Mississippi Valley Trust Company, but as fast as the depositors poured in they were given their money without hesitancy.
Source
newspapers
2. October 28, 1903 Reopening
Newspaper Excerpt
All the banks gave out word that they will open today at the usual hour, 10 o'clock, and will meet all demands made.
Source
newspapers
3. October 28, 1903 Suspension
Cause Details
Trust companies voluntarily invoked 30/60 days' notice (time-limit clause) to restrict immediate withdrawals and restore order; certificates of deposit not paid before maturity.
Newspaper Excerpt
The officials of eight trust companies met and made a rule requiring thirty and sixty days notice from depositors before they should be able to withdraw their accounts.
Source
newspapers

Newspaper Articles (12)
1. April 15, 1903 The St. Louis Republic Saint Louis, MO
Article from The St. Louis Republic, April 15, 1903

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Article Text

TURF INVESTORS CROWD BANK. Checks Issued by Marshal Morsey to Ryan Patrons Are Cashed. The Mississippi Valley Trust Company was thronged during banking hours yesterday with hundreds of creditors of the J. J. Ryan Turf Investment Company, who brought their 15 per cent dividend checks to be cashed. The lines in front of the paying tellers' windows were long, and made up of persons apparently representing all classes of society. Up to the closing hour over 800 checks were cashed. These ranged from $3 to $75. In many instances the tellers were not acquainted with holders of checks. and refused payment on them until the parties were identified. This caused some confusion and delay, as the person returning with some one to identify him usually wanted first place in the line. The checks cashed yesterday were a part of the 13,000 signed by United States Marshal Morsey as receiver of the quick-rich company. As the Marshal has deposited all the funds with the Mississippi Valley Trust Company, every one of the 13,000 will sooner or later reach that institution, but many of them will come in through the clearinghouse from other banks and trust companies. The smaller investors who have no bank accounts will for the most part present their checks in person for payment, so that the tellers will be kept busy for several days. Officials of the trust company advise all persons presenting checks for payment .to be identified, as no payments will be made otherwise.

2. October 27, 1903 Evening Times-Republican Marshalltown, IA
Article from Evening Times-Republican, October 27, 1903

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RUN ON THE ST. LOUIS BANKS Frantic Depositors Besiege the Counters of Two Prominent Trust Companies BANKS CLAIM ABILITY TO PAY Mississippi Valley Trust Company and Mercantile Trust Company Were the Ones Assailed - Bank Officials De. clare the Institutions are Solid and Able to Pay Every Claim St. Louis, Oct. 27.-As a result of disquieting rumors, a run started today on the Mississippi Valley Trust Company, but as fast as the depositors poured in they were given their money without hesitancy. The bank officials say the bank is perfectly safe and that they do not fear a run. David R. Francis, president of the Louisiana Purchase Exposition Company and director of the Mississippi Valley Trust Company, made a short speech to the depositors in which he said a committee of three disinterested persons had only recently gone over the books and had not found anything that should cause apprehension as to the stability of that institution. There were no bad investments or loans. The Mississippi Valley Trust Company, he said, was willing and able to pay all who wished their money. and waived its right to take advantage of the sixty day clause. A run started on the Mercantile Trust Company this afternoon by the savings depositors. The people suddenly thronged the corridors and in a very few moments a line had been formed from the bank window out to the street. Policemen were hurried to the scene and prevented disorder, while within the bank officials mingled with the crowd and assured everybody the deposits would be speedily paid President Wade said to the Associated Press: "I do not know why the rua started. It came like a flash, but the only result will be that the people will get their money. They will get it just as fast as they call for it. We have no fear whatever for the bank."

3. October 27, 1903 Evening Star Washington, DC
Article from Evening Star, October 27, 1903

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PAID WITHOUT HESITANCY. Depositors in a St. Louis Institution Scared Without Cause. ST. LOUIS, Mo., October 27.-As the result of disquieting rumors a run was started today on the Mississippi Valley Trust Company, but as fast as the depositors poured in they were given their money without hesitancy. Second Vice President John D. Davis said: "We do not know how the rumor that we were in financial straits got started, but It probably started in the department stores among the hundreds of clerks who have savings in our bank. We appreciate the confidence of those who have allowed their deposits to remain with us, but we certainly want those who have lost confidence to withdraw their money. The bank is perfectly safe and we do not fear a run."

4. October 28, 1903 Evening Star Washington, DC
Article from Evening Star, October 28, 1903

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RUN ON ST. LOUIS BANKS. Started by a Groundless Rumor From Chicago. A dispatch from St. Louis, Mo., yesterday says: From shortly before 1 o'clock today until the closing hour-3 o'clock-runs were made on the savings departments of three banks of St. Louis, and at the same time more than the ordinary amount of withdrawals by depositors were noticeable in the other banking institutions. The run, so far as it can be traced, was started by a disquieting rumor from the outside that seemed to strike St. Louis shortly after noon, to the effect that the savings institutions here were unsound. With a rush the corridors of the Lincoln Trust Company, the Mercantile Trust Company and the Mississ ppi Valley Trust Company were filled with men and women, all eager td withdraw their money. The scene n any one bank was duplicated in the other two. A line of people with bank books in their hands and faces eagerly scanning the little barred windows of the bank tellers stretcred out into the street, and interm ngled were policemen and bank officials counseling calmness and giving assurances of solvency. It is stated that the rumor that started the run came from Ch.cago and was to the effect that two directors of the Mississippi Valley Trust Company had recently endeavored to negotiate a loan of $2,000,000 in that city and had been refused. Today this rumor was pronounced an absolute canard by the directors concerned.

5. October 28, 1903 Arizona Republican Phoenix, AZ
Article from Arizona Republican, October 28, 1903

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A ST. LOUIS FRIGHT Wild Rush Yesterday For the Savings Banks -It Was Started By a Rumor From Chicago That They Were Tottering. A Restoration of Confidence. St. Louis, Mo., Oct. 27.-From shortly before 1 o'clock today until the closing hour, 3 o'clock, runs were made in the savings departments of three banks at St. Louis, and at the same time more than the ordinary amount of withdrawals by savings depositors were noticeable in the other banking institutions. The run, so far as it can be traced, was started by a disquieting rumor from the outside that seemed to strike St. Louis shortly after noon to the effect that the savings institutions here were unsound and like a prairie fire it spread in a flash through the streets and different mercantile establishments whose employes represent the majority of savings depositors. With a rush the corridors of the Lincoln Trust company, the Mercantile Trust company and the Mississippi Valley Trust company were filled with. men and women, all eager to withdraw their money. It is stated that the rumor came from Chicago and was to the effect that two directors of the Misissippi Valley company had recently endeavored to negotiate a loan of $2,000,000 for that company and had been refused. Today this rumor was pronounced an absolute conard by the directors concerned. As soon as the runs started all other business was laid aside and every facility was afforded for the prompt payment of deposits. The clause which gives the bank the privilege of withholding payment until sixty days after notification was waived and amounts were paid rapidly regardless of their size. There was no disorder manifested at any of the institutions and in many cases depositors who had hurried to withdraw their amounts departed without their money after having conversed a few moments with the officials and had been made confident that the bank would continue to do business. At the Metropelitan company, before 3 o'clock the incipient run had ceased. The presidents of the different national banks assembled during the afterroon and issued a statement that the banks of St. Louis are all perfectly solvent and amply able to liquidate all demands.

6. October 28, 1903 The News & Observer Raleigh, NC
Article from The News & Observer, October 28, 1903

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RUN ON THREE BANKS St. Louis Institutions Stand Firm Against Pressure Started by Rumor. (By the Associated Press.) . St. Louis, Mo., Oct. 27.-From shortly before one o'clock today until the closing hour, three o'clock, runs ere made on the savings departments of three banks of St. Louis, and at the same time more than the ordinary amount of withdrawais by depositors was noticeable in the other banking institutions. The run, SO far as it can be traced, was started by a disquieting rumor from the outside that seemed to strike St. Louis shortly after noon, to the effect that the savings institutions here were unsound. With a rush the corridors of the Lincoln Trust Company, the Mercantile Trust Company and the Mississippi Valley Trust Company were filled with men and women all eager to withdraw their money. The scene in any one bank was duplicated in the other two. A line of people with bank books in their hands and faces eagerly scanning the little barred windows of the bank teller's stretched out into the street and intermingled were policemen and bank officials counselling calmness and giving assurances of solvency. It is stated that the rumor that started the run came from Chicago, and was to the effect that the directors of the Mis sissippi Valley Trust Company had recent ly endeavored to negotiate a loan ol $2,000,000 in that city and had been refused. Today this rumor was pronounced an absolute canard by the directors concerned. As soon as the runs started all other business was laid aside and every facility was afforded for the prompt payment of depositors. The clause which gives the

7. October 28, 1903 The Roswell Daily Record Roswell, NM
Article from The Roswell Daily Record, October 28, 1903

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CONFIDENCE RESTORED St. Louis Depositors Relieved by the Sight of Boxes of Gold and Silver St. Louis, Mo., Oct. 28.-Long before the opening hour today, long lines of depositors stationed themselves at the outer doors of the Mississippi Valley Trust Company and the Missouri Trust Company. Last night the officials of eight trust companies met and made a rule requiring thirty and sixty days notice from depositors before they should be able to withdraw their accounts. The officiais of these institutions state to the Associated Press representative that the current accounts are being received and paid out as usual. The crowds which early this morning thronged the doors gradually dwindled 7' when there were brought :into the banks from express wagons large boxes of gold and silver guarded by armed messengers. This sight seemed to restore CORPORATION

8. October 28, 1903 Alexandria Gazette Alexandria, VA
Article from Alexandria Gazette, October 28, 1903

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The St. Louis Banks, St. Louis, Oct. 28.-When the doors of the Mississippi Valley Trust and Mercantile Trust Companies were opened this morning, lines of depositors were in waiting, anxious to withdraw their funds, as a result of the scare resulting from Tuesday's run. Most of those in line were working men and women. Each was told that thirty to sixty days' notice to withdraw deposits would be required. No money was, paid out but declaration of intention to withdraw was made by many. The trust companies also have decided not to pay certificates of deposit before maturity. Small crowds were assembled in front of the other banking itstitutions. By 11 o'clock the crowd has increased to such an extent that a platoon of police was totally unable to control it and the officers stationed at the doors were swept away from their statlons almost as rapidly as they could regain them. There is much excitement.

9. October 28, 1903 The Providence News Providence, RI
Article from The Providence News, October 28, 1903

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BANK DEPOSITORS IN PANIC Three St. Louis Trust Companies Besieged by Clamoring Crowds for Savings. St. Louis, Oct. 28.-From shortly before I o'clock yesterday until the closing hour, 3 o'clock, runs were made on the savings departments of three banks of St. Louis, and at the same time more than the ordinary amount of withdrawals by savings depositors were noticeable in the other banking institutions. The run, so far as it can be traced, was started by a disquieting rumor from the outside that seemed to strike St. Louis shortly after noon to the effect that the savings institutions here were unsound. With R. rush the corridors of the Lincoln Trust company. the Mercantile Trust company and the Mississippi Valley Trust company were filled with men and women, all eager to withdraw their money. It is stated that the rumor that started the runs came from Chicago and was to the effect that two directors of the Mississippi Valley Trust company had recently endeavored to negotiate a loan of $2,000,000 in that city and had been refused. Yesterday this rumor was pronounced an absolute canard by the directors concerned. As soon as the runs started all business was laid aside and every facility was afforded for the prompt payment of depositors. The clause which gives the bank the privilege of withholding payment until 60 days after notification was waived and amounts were paid rapidly, regardless of their size." There was no disorder manifested and in many cases depositors decided not to withdraw their accounts after conversing with the officials. Before 3 o'clock the Incipient run had ceased. Presidents of the different national banks assembled during the afternoon and issued a statement, in which they announced that the bank of St. Louis are all perfectly solvent and amply able to liquidate all demands. All the banks closel at 3 o'clock, the usual closing hour. and announcement was made that they would open today at the usual hour, 10 e'clock, and will meet all demands made.

10. October 28, 1903 The Saint Paul Globe Saint Paul, MN
Article from The Saint Paul Globe, October 28, 1903

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BASELESS RUMOR CAUSES BANK RUN St. Louis Depositors Get Their Money Out and the Banks Are Sound. ST. LOUIS, Mo., Oct. 27.-From shortly before 1 o'clock until the closing hour, 3 o'clock, today, runs were made in the savings departments of the banks of St. Louis and at the same time more than the ordinary amount of withdrawals by savings depositors were noticeable in the other banking institutions. The runs, SO far as it can be determined, were started by a disquieting rumor from the outside that seemed to strike St. Louis after noon that the savings institutions here were unsound. It spread in a flash through the streets and different mercantile establishments whose employes represent the majority of savings depositors. With a rush the rooms of the Lincoln Trust company, the Mercantile Trust company and the Mississippi Valley Trust company were filled with men and women, all eager to withdraw their money. It is stated that the rumor that started the run came from Chicago, and it was to the effect that two directors of the Mississippi Valley Trust company had recently endeavored to negotiate a loan of $2,000,000 in that city and had been refused. Today the rumor was pronounced an absolute canard by the directors concerned. Every facility was afforded for the prompt payment of depositors. The clauses which give the bank the privilege of withholding payment until sixty days after the notice were waived and amounts were paid rapidly regardless of their size. Presidents of the different national banks assembled during the afternoon and issued a statement that the banks of St. Louis are all perfectly solvent and amply able to liquidate all demands. All the banks gave out word that they will open tomorrow morning at the usual hour and will meet all demands made.

11. October 29, 1903 The Birmingham Age-Herald Birmingham, AL
Article from The Birmingham Age-Herald, October 29, 1903

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DEPOSITORS ARE AGAIN IN HURRY St, Louis Bank Officials, However, Say Trouble is Over MANY OFFERS OF ASSISTANCE Expression of Confidence and Such Offers on Part of National Banks Has Helped-Long Lines of Depositors. St Louis, October 28 The statement of President Julius S Walsh of the Mississippi Valley Trust company, whose sentiments are produced in interview given to the Associated Press by other trust company officials of St. Louis that "the situation is thoroughly in hand, "the excitement has subsided, and "from this on we expect business will be conducted in the usual orderly manner, expressed the opinion that seems general tonight, concerning the unwonted financial conditions which prevailed here during parts of yesterday and today. Officers of all the trust companies state that voluntary offers of help were received from financial institutions in New York. Philadelphia, Chicago New Orleans, Kansas City, Boston and many of the smaller towns of Missouri and Illinois, but all were declined for the reason that they had sufficient cash with which to handle their business Expression of confidence and offers of aid on the part of the national banks and financial institutions of St. Louis, has helped to strengthen the situation and restore confidence Lines of Depositors. Just before the hour of opening today the lines of depositors stretched away from the closed doors of the Mississippi Valley Trust company, the Lincoln Trust company, the Mercantile Trust company and the Missouri Trust company Small crowds were assembled before the doors of the other savings institutions It was observed most of that those line were in working people and many of them women whose savings heavy Owing to the action taken last night by the officials of the eight trust companies doing business St. Louis enLoreing thirty and sixty days' notice of Antention to funds, the depositors were not able to get any money All they could do to declare their intentions of their deposits at the end of the time taken advantage of by the companie. under their rules. pay The trust companies decided not to certificates of deposit before maturity Crowd Serges In. doors The greatest crush was before the at of the Mercantile Trust company Eighth and Locust streets. o'clock the doors were opened and the crowd surin with force that swept aside the lines of police and bank employe formed to preserve regular line to the windows of the paying tellers of the time The policemen were unable to handle the crowd and Festus Wade, president of the company, mounted chair and announced unless the depositors formed in line they would be ejected from the building He said was impossible wait in upon them if they insisted in crowding such This had the effect and some semblance of order was restored be the could As as persons the banking rooms had admisformed in two lines, and further sion refused until some of the first entrance; comers had left by separate then others admitted and forced they keep in line and leave soon as to had transacted their business. Many Women in the Crowd. the By 10 o'clock the crowd around an such trust company's building had increased to totally extent that the police were unable to control it. and ficers stationed at the doors the of. away from their were swept stations almost as constituted ly as they could resume them. Women rapidlarge percentage of the Many and crushed in the knocked off dresses were torn and hats jam. crowd The policemen in trying to handle pushed many of the instances personal gutter and in several them into the lights were narrowly averted. opened company When the were doors of the Mercantile Trust street east of the building just across the the while the street it was packed. street, both to the west, and Eighth comparatively clear north and south, were an hour Half later, crowded for however, both streets them keep were clear hundred feet, and all efforts distance to of several ractically wards police directing their efforts abandoned chiefly the doors. the maintaining some degree of order toE. John Davis during the Mississippi Valley second vice Trust president of the morning, made his company, addressed stone steps leading into the way to the follows: the throng assembled bank there and as Bank Official Speaks. of The you anxiety is expressed here by out entirely uncalled for, so many reason. Not one person and withmoney through this trust will lose any shall conduct our business company, and our paid ular to condition "There manner. whatever is whatever. no should change We have in have to in financial our always regin the are going are just soon 'All everyone, open future accounts and will be to be do so paid as will Every other reguday will will paid no they delay. just paid presented which here. paid it falls account due There due. to. is for reason any lar turn. There today in your Your and money invested worry. at it want you in the conyour tract. of no that official positively the Valley Mississippi not do We been need to money. Chicago for money. Trust company We has financially with and everything are splendid shape us I think the is prosperous Lapanxiety preciate every trust your company in same St. Louis. true of that of gentleman this company and officer and assure stockholder you through groundless. :his company.- and you will your lose fears no money Henry M. Meir's of the Henry M. Meir, vice Statement. president

12. October 29, 1903 The Savannah Morning News Savannah, GA
Article from The Savannah Morning News, October 29, 1903

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CLAMOR FOR MONEY KEPT FORCES OF ST. LOUIS BANK. ING CONCERNS BUSY. MANY WANTED TO WITHDRAW THE SAVINGS THAT THEY HAD PLACED ON DEPOSIT. Trust Companies Took Advantage of the Time Limit Clause and Demanded Notice of Withdrawal. Aid Was Offered from Other Cities, but Declined-Oflicials Think the Unnecessary Panic Has Been Relieved-Greater Confidence Shown. St. Louis, Oct. 28.-The statement of President Julius S. Walsh of the Mississippi Valley Trust Company, whose sentiments are echoed by other trust company officials of St. Louis, that "the situation is thoroughly in hand, the excitment has subsided and from this on we expect business will be conducted in the usual orderly manner," expresses the opinion that prevailed to-night after the unwonted finacial conditions which prevailed here part of yesterday and to-day. Officials of all the trust companies state that voluntary offers of help were received from financial instiutions in New York, Philadelphia, Chicago, New Orleans, Kansas City, Boston and many of the smaller towns of Missouri and Illinois, but were all declined for the reason that they had sufficient cash with which to handle their business. Expressions of confidence and offers of aid on the part of national banks, financial and other institutions of St. Louis have helped to stregthen the situation and restore confidence. Long before 10 o'clock, the hour of opening, lines of depositors stretched away from the closed doors of the Mississippi Valley Trust Company, the Lincoln Trust Company, the Mercantile Trust Company, and the Missouri Trust Company. Small crowds were assembled before the doors of some of the other savings institutions also. It was observed that most of those in line were working people and many of them women, whose savings were not heavy. Owing to the action taken last night by the officials of the eight trust companies doing business in St. Louis, requiring thirty and sixty day notices of intention to withdraw funds, depositors were not able to get any money. All they could do was to declare their intention of withdrawing their deposits at the expiration of the time limit. Surged Into the Building. The greatest crush was before the doors of the Mercantile Trust Company on Eighth and Locust streets. At 9 o'clock the doors were opened and the crowd surged in with a force that swept aside the lines of police and bank employes formed to preserve a regular line to the windows of the paying tellers. The policemen were unable to handle the crowds and Festus J. Wade, president of the Mercantile Trust Company, mounted a chair and made a statement that unless the depositors formed in line they would all be ejected from the building. He explained that it was impossible to wait on them if they insisted on crowding in such a manner. This announcement had the desired effect, and some semblance of order was restored. By 10 o'clock the crowd around the trust company's building had increased to such an extent that the police were totally unable to control it, and the officers stationed at the doors were swept away from their stations almost as rapidly as they could regain them. Women, who constituted a large percentage of the crowd, were crushed in the jam, and in the struggle their dresses were torn and their hats knocked off. The policemen, in trying to handle the crowd, pushed many of them into the gutter, and in several instances personal fights were averted only by the interposition of cooler persons. Shortly after the doors of the Mercantile Trust Company were opened the streets were crowded for a distance of several hundred feet, and all efforts to keep them clear were practically abandoned, while the police directed their efforts chiefly toward maintaining some degree of order at the doors. Began to Grow Easy in Mind. At 1 o'clock in the afternoon the uneasiness of small depositors in the trust companies seemed to have been removed. At this hour there were only a few depositors withdrawing daily balance accounts or giving notice of withdrawal of saving deposits at the Mercantile and the Mississippi Valley companies. Many persons who withdrew money yesterday deposited it again to-day, and in some instances new savings accounts were opened. Officers of the different institutions made reassuring speeches to the depositors before their doors, and this helped to send others away. The arrival of several boxes of gold and silver in express wagons, guarded by armed offidegree