Harlem Savings Bank - Harlem, NY

Bank Information

Episode Type: Run Only
Bank Type: savings bank
Start Date: October 25, 1907
Location: Harlem, New York (40.808, -73.945)

Metadata

Model: gpt-5-mini
Short Digest: 5ba2211a

Response Measures

Accommodated withdrawals

Description

Multiple newspaper accounts from October 1907 describe a vigorous run on the Harlem Savings Bank during the Panic of 1907 driven by a false/careless newspaper caption and proximity to runs at nearby banks. The bank weathered the run, paid depositors (who lost some interest), and did not suspend operations in these reports.

Events (1)

1. October 25, 1907 Run

Cause: Rumor Or Misinformation
Cause Details: A newspaper caption misidentified a photograph of a run at the Dollar Savings/ Bronx bank as depicting a Harlem bank, triggering panic among foreign-born depositors; proximity to other bank failures/closures amplified the effect.
Random Run: Yes
Random Run Snippet: Careless newspaper caption misidentified run as at Harlem bank; false
Measures: Paid out cash to depositors during the run; remained open and did not suspend (depositors forfeited several months' interest).
Newspaper Excerpt: a careless caption writer on a morning newspaper ... caused a vigorous run on the Harlem Savings Bank
Source: newspapers

Newspaper Articles (3)

1. October 25, 1907 East Oregonian : E.O Pendleton, OR

Article from East Oregonian : E.O, October 25, 1907

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Article Text

New York, Oct. 25.-Financial New York is convalescent but shaky. The hardest blow today was the suspension of the Union Trust of Providence and failure of the Brooklyn banks. The runs on the Trust Company of America, Fifth Avenue Trust, the Harlem Savings and 'Dollar Savings continue, but are decreasing steadily as confidence is restored. Run on Union Trust Co. A run developed on the Union Trust company bank late yesterday afternoon but it was thought that the company had sufficient funds to stand the emergency. All of these banks are believed to be solvent and able to pay dollar for dollar.

2. October 25, 1907 New-York Tribune New York, NY

Article from New-York Tribune, October 25, 1907

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Article Text

BANKS CLOSE. HARLEM ALL DECLARED SOLVENT. State Examiners Find the Three Institutions Sound. banks in Harlem-- the Hamilton Twelfth Bank, Three Savings Bank and busiEmpire all in 125th street, Bank- City suspended the Judson, Ward yesterday. although Albert C. three a ness examiner, announced that all state bank were perfectly solvent. The Hamilinstitutions Twelfth Ward banks closed for lack Bank of ton and cash, while the Empire City Savings ready advantage of the thirty days clause. took on the Dollar Savings Bank, in The The run which began on Wednesday, continued at Bronx and a similar scene was enacted yesterday. Harlem Savings Bank, 124th street with- and the avenue Both of these institutions until Third the strain, and paid their depositors stood closing hour, when the announcement was made the that they would be ready again this mornto continue liquidating all accounts. ing Bank made the arnouncement the morning that it had susearly The in Hamilton decided in to finanpend payment until public confidence institutions had been restored. were also given of its B. Assurances clal completely solvency. charge R. Shears, state bank examiner, took of bank William R. Montgomery, who succeeded the E. R. Thomas as president of the bank less than a week ago, when seen later in the day at his home in The Bronx said: "During the three days' run we have paid out $2,500,000. The bank is absolutely solvent, and to all demands. I have found no call a meeting of the the well cause able to pay directors, and action I took in ordering a suspension was entirely of my own volition I was simply taking precaution. We will open up again as soon as the bank examiner is ready." The bank has six branches in Harlem and Bronx, which were closed also. The postnotices on the doors of the and its dependencies of crowds of depositors and lishment ing The of idlers, attracted main but all estab- large them were dispersed without much trouble by the police. There had been considerable withdrawals bank on Wednesday. demands yesterday the felt throughout the city by from even unrest larger the because and, bank fearing of deit was deemed advisable to suspend The officials would it it was said, to raise a payment. positors, have large found enough of ready cash on the impossible, amount collaterals fast they held by the bank to pay all demands as as came The Hamilton Bank is not one of the large banking institutions of the city, nor has it ever been regarded as a representative New York bank, although it carried many good accounts for Harlem business concerns. statement of August 22 shows the status as bank's The bank financial follows: Loans companies, and discounts, $5,366,737; due from trust banks, bankers and brokers, $1,016,515; mortgages owned, $92,000; stocks and bonds, $132,027: specie, $334,460; legal tender notes and $155.- national bank notes, $196,225: cash items, $7.994: other assets, $44,554; total resources, 572,672. The capital is $200,000 and the surplus date fund $200,000. Its deposits on that amounted to $6,971,814. The Hamilton Bank clears through the Mercantile National Bank. Its directors and offiMartin D. Fink. of the Dimock & Fink wholesale plumbers: Company, cers are William vice-presi- A. Martin, real estate: Frederick D. Ives, & W. Kinsman. jr., of F. W. William L. Ward, Co., dent: druggists; F. Bolt Kinsman of Russell, Works: Burdsall & Ward and the National Co., Adolph Riesenberg. of H. C. F. Koch & drygoods; Herman Aaron, Parker & Aaron; George E. Brown. of Duff & Brown, real estate; William R. Montgomery, president; J. C. Joy, cashier The Hamilton Bank is a state depositary, and the state has now $100,000 on deposit there the State Treasurer Julius M Hauser went to West 125th street police station in an automobile about 5 o'clock last evening and requested Acting Captain Maher to accompany him to the Hamilton Bank. He showed a check for $100,000 which was for the withdrawal of the state's funds Acting Captain Maher did not know Mr Hauser, and some time was lost while the State Treasurer telephoned to State Controller Glynn, identified him to the satisfaction of the police who captain The two thereupon hurried to the bank. where Mr. Hauser presented the check. Payment was refused by the president. William R. Montgomery The Empire Savings Bank, of which Isaac A. is Hopper, the Tammany politician. is president, Ham only three or four doors away from the fitors Bank, and the closing of the latter largely influenced the savings institution in availing to itself of the thirty days' clause. According recent statement. the bank owed its depositors about $3,300,000. The intention of the directors all early in the morning it was said. was to pay the demands that might be made, and after a meeting of the directors before the opening hour messenger was sent to the Hamilton Bank with to get some of the saving bank's funds there which to meet the withdrawals. When the mes. senger returned with the news of the neighbor- susing institution's closing it was decided to pend Throughout the day a long line of depositors, teller's extended from the bank street. All of them mostly window women. to the served thirty notice days of withdrawal of their accounts in Mr Hopper said that the bank was entirely He solvent and that nobody would lose a dollar. said that under present conditions, however, there was difficulty in getting money. The directorate of the Empire Savings Bank follows Isaac A Hopper. president: Brad- them ley L Eaton. vice-president, both of and trustees Arthur T. Timpson. secretary, Arthur S Van Winkle, assistant secretary. jus- The remaining trustees are Charles W. Dayton, tice of the Supreme Court: George W. Thompson, retired merchant: William Moores, John for- H Lbos Benjamin G. Mitchell, John Weaver. Railroad: mer treasurer of the Third Avenue Arthur E Wood John B. Johnson, rea! Watson estate: E H. Hamilton, W. T. Koch, Jabez C. and Frederick W. Dresser The Bankers' Directory for July, 1907, gives Savthe following figures for the Empire City deings Bank: Surplus and profits, $70,800; posits, $2,518,800. Against this are on hand to the amount stocks, etc., $339,620. shown of $3,217,190; bonds, cash Denegitors and exchanges, Twelfth Ward Bank found

3. December 8, 1907 The Pacific Commercial Advertiser Honolulu, HI

Article from The Pacific Commercial Advertiser, December 8, 1907

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Dollar Savings Bank, had just such a haphazard start. Its banking house was next to the Bronx branch of the Knickerbocker Trust. When that closed its doors the rumor spread that the savings bank was in trouble. Propinquity, in this case, caused the Dollar Bank people no end of trouble for five days, but they weathered the storm nobly. This run, with the aid of a careless caption writer on a morning newspaper, caused a vigorous run on the Harlem Savings Bank, one of the oldest and stanchest institutions above 100th street. The newspaper, in do scribing a photograph of a run on the Dollar Bank, in The Bronx, said that depositors were raiding a Harlem savings bank. That was enough for the foreign born element among the depositors, and they swooped down for their savings. Foreign born depositors predominate at both these banks, and the runs became lines of all nations. They were more picturesque than those of the trust company depositors. They jabbered their troubles to the housetops. The women cried or laughed alternately in a money fear hysteria. One and all besought policemen and reporters to slip them into the bank ahead of the rest. Many of this foreign crowd were so excited that they would accept nothing but gold in return for their much fingered passbooks. Some even went SO far as to test each piece by biting it. The sad part of it is that all who withdrew lost four months' interest, and for no reason in the world, for at no time were the savings banks in danger. The overnight runners who kept a long vigil in front of the Lincoln, the Colonial and the Trust Company of America several nights had various ways of passing the time. Some brought of campstools and all laid in a supply provisions. A drenching rain came down on them to add to their woe. But almost simultaneous with the storm there drifted into view of the Nine a vender of second hand umbrellas. The bank runners bought him out. GREEN REPORTERS GUYED. The Wall Street rumor factory worked overtime, particularly with the big figures of the financial district. Certain newspapers poured reporters into the district in much the same generous fashion that Secretary Cortelyou of the Treasury Department poured in gold from Washington. The more reporters there were the more rumors. Many of the emergency men, hurried from ship news or police court assignments, did not know bull from bear, and at least one of the green ones thought the Clearing House was a sort of free news bureau. He tried to use it accordingly, much to the amazement of the sorely tried bankers on whose shoulders rested the burden of saving the financial situation. The regular Wall Street men of the various newspaper bureaus had no end of fun with the green men in the frequent lulls in the battle for news. Every one who followed the Armstrong insurance investigation remembers the seriousness with which George W. Perkins, of J. P. Morgan & Co., took the letter of instruction and advice which his father had written him when he first went into the insurance business. On the worst day of the panic week Mr. Perkins was like a shuttle between the Morgan banking house and the Sub-Treasury. There were groups of reporters about both entrances. Once on returning to the banking house one of the regular Wall Street men got Mr. Perkins at the door and they talked earnestly for a minute. The young banker was dispelling a silly rumor. "What did he say?" clamored the crowd of reporters, waiting at the foot of the steps. "He said he had just had a letter from father, and the banking situation will clear up immediately," answered the wag. Nine out of the ten reporters knew of "Father's letter," and saw the joke, but the tenth, a man new to New York, as well as to the Street, asked solemnly: "Did he give you the exact words of the letter? They're important." The wag shook his head and went his way. The next time Mr. Perkins emerged, the new reporter cornered him. "Oh, Mr. Perkins, won't you give me the exact wording of your father's letter on the banking situation?" he asked. "What's that? What's that?" growled the surprised financier. "Your father's letter," stammered the surprised reporter. The financier's eyes flashed angrily, but there was innocence written all over the eager young face peering up at him. "Some one has been joking you," Mr. Perkins jerked out. "Got no letter from father. Not a word." Yes, there was a lighter side to the banking flurry, and all will be able to see it when the Knickerbocker has paid