14913. South Brooklyn Savings Institution (Brooklyn, NY)

Bank Information

Episode Type
Run Only
Bank Type
savings bank
Start Date
September 23, 1873
Location
Brooklyn, New York (40.660, -73.951)

Metadata

Model
gpt-5-mini
Short Digest
5facf2e4

Response Measures

Accommodated withdrawals

Description

Articles from Sept 24–25, 1873 describe a brief run (mostly small depositors) on the South Brooklyn Savings Institution during the Panic of 1873; banks paid out small sums and conditions improved the following day. No suspension, closure, or receivership is mentioned. The bank is referred to as both 'South Brooklyn Savings Institution' and 'South Brooklyn Savings Bank' in the articles — treated as same institution.

Events (1)
1. September 23, 1873 Run
Cause
Macro News
Cause Details
Runs associated with the broader financial panic/crisis of September 1873 (general financial fright, failures like Henry Clews & Co.).
Measures
Paid out small sums to depositors; bank had sufficient securities and obtained currency through clearing; no invocation of 30-day rule mentioned.
Newspaper Excerpt
With the exception of the Fulton and South Brooklyn savings institutions, there was no run on the banks of Brooklyn yesterday. Those who drew their money were small depositors.
Source
newspapers

Newspaper Articles (2)
1. September 24, 1873 Elizabeth Daily Monitor Elizabeth, NJ
Article from Elizabeth Daily Monitor, September 24, 1873

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Article Text

TNE FINANCIAL FRIGHT. Yesterday opened more hopefully in Wall street than any previous day of the crisis. Fewer brokers were visible in the streets from nine to ten a. m. than usual on ordinary occasions, and those who arrived early wore cheerful countenances, as though they felt sure a day of relief was at hand. The governing committee of the stock exchange went into session to determine the propriety of suspending stock transactions another day. During their deliberations a little knot of brokers collected around the door of the exchange. A little pressure was brought to bear to have the board opened for business, but the majority advised further suspension. At ten o'clock Secretary White stepped to the door and said. "There will be no business done here to-day." 'That is right" was the general comment as the brokers returned to their offices. By this time Broad street began to be lively. Street transactions were to be the order of the day, and four or five "open exchanges" were formed at several places in the street. A new buying element was formed. A considerable part of the gathering multitude was composed of country merchants who had come to take advantage of panic prices. A new field was opened to the shrewd men of finance. Stocks were sold without the usual noise. Brokers' clerks threading the crowd constantly, fastened upon the out-of-town speculators and born them off to private offices where stocks were sold at one or two per cent. over market prices-always for cash. Still sellers were largely in excess of buyers, and thousands of shares were offered where tents were disposed of. The only failure announced was that of Henry Clews & Co. With the exception of the Fulton and South Brooklyn savings institutions, there was no run on the banks of Brooklyn yesterday. Those who drew their money were small depositors. Some of them before leaving the banks redeposited their funds. These banks are among the strongest in the city. The Fulton paid out over one hundred thousand dollars in small amounts. CHICAGO, Sept. 23.-A report gained circulation here to-day that there were rumors in New York of the failure of several heavy grain dealers in this city. There is not the slightest foundation for the report, as there have been neither failures nor rumors of any here.

2. September 25, 1873 The New York Herald New York, NY
Article from The New York Herald, September 25, 1873

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Article Text

BROCKLYN BANKS. There was no untoward excitement visible at any of the banks of the City of Churches yesterday. A tour of the leading institutions was made by the writer, which elicited the fact that the anxiety which characterized the action of the panicstricken depositors on Monday and Tuesday has subsided, and a better feeling of security was apparent. At the Brooklyn Bank, corner of Concord and Fulton streets, where the run had been greatest the day previous, there were not more than twenty-five or thirty people in line at one time, and many of these were persons who had withdrawn their money in naste to repent at leisure. This class of people were returning their money to the sale keeping of the bank, having iorieited, however, the interest due lor the past three months. The President of the bank stated that he believed the worst had passed over, and that the accounts from abroad were more favorable. He was sorry to see a "run," such as they had been subjected to, but then the depositors had a periect right to control their own money; and whenever, in their judgment, it was proper to withdraw their money, the banks should let them have it. They had never availed themselves of the thirty days' notification provision, as they always managed to have the cash. By having such securities, as the best government bonds upon which they could always realize. The administration had acted nobly during the crisis; and were it not for the assistance of the government no bank could have withstood the storm. Money was not to be had on checks at any bank in the "two cities." All the banks could do was to certify their checks, which enabled them to go through the Clearing House. Two hundred and fifty thousand dollars of currency was obtained by the Brooklyn Bank yesterday forenoon. When the hour for closing arrived there was nobody to bother the paying teller. At the South Brooklyn Savings Bank the same improvement in the condition of affairs was noticeable. There was no crowd, and nothing for the busy little porter or the special officer to do. The Long Island and Dime Savings Banks also enjoyed a day of perfect rest.