15298. American Trust Company (New York, NY)

Bank Information

Episode Type
Run Only
Bank Type
trust company
Start Date
October 23, 1907
Location
New York, New York (40.714, -74.006)

Metadata

Model
gpt-5-mini
Short Digest
13658a18

Response Measures

Accommodated withdrawals

Description

Multiple articles from Oct 23–26, 1907 describe heavy withdrawals/a run on the American Trust Company during the 1907 financial panic. The bank paid depositors, had large cash on hand and resumed usual payments; there is no description of a suspension or closure in these items.

Events (1)
1. October 23, 1907 Run
Cause
Macro News
Cause Details
Run occurred as part of the wider 1907 financial panic and stringency in the money market (Knickerbocker/stock-exchange disturbances).
Measures
Paid depositors; officials reported over eleven million dollars in cash on hand and resumed usual payments.
Newspaper Excerpt
More than one thousand were at the offices of the American Trust company when it began to pay off the depositors at 10 o'clock this morning.
Source
newspapers

Newspaper Articles (3)
1. October 23, 1907 The Daily Sentinel Grand Junction, CO
Article from The Daily Sentinel, October 23, 1907

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Article Text

Pittsburg Stock Exchange Fails to Open Westinghouse Company and Others Involved Many Runs Started ToSituation is Serious. day is attributed to the inability to se- are just driving out the undesirable New York, Oct. 23. -Westbankers." cure funds and on account of the inghouse Electric sold down to stringency in the money market. 60 on the New York stock exNew York, Oct. 23.-Fourth Vice The amount involved will run up change, a decline of 19% from President Trumbull of the Knickerinto the millions. last night. bocker Trust company blames Roosevelt for the condition in money matNew York, Oct. 23. An appeal Pittsburg, Pa., Oct. 23.-The ters and says that all this disturbhas been made to the government to stock exchange did not open this ance has been brought about "by close the stock exchange until Monmorning, members of the board one man and that a man who knows deeming it advisable that the exday. nothing whatever of the credit syschange remain closed temporarily tem. owing to the. demoralized feeling in New York, Oct. 23.-More than Westinghouse Electric. New York, Oct. 3.-Secretary one thousand were at the offices of The financial district was thrown Cortelyou has made the following the American Trust company when into an uproar at the opening of statement: it began to pay off the depositors at business today when Secretary Hol"I repeat what I said before leav10 o'clock this morning. man and others announced, at the Officials of the concern have aning Washington yesterday afternoon, request of the Pittsburg clearing if for no other reason than to empha nounced that they have over eleven house and at the suggestion of the size the attitude of the treasury demillion dollars on hand in cash with board of directors, that the stock which to meet the demand. partment, it will use its facilities to exchange will be closed for the day. assist in every proper way legitimate Immediately following this, Presbusiness interests, and its action will New York, Oct. 23.- run was ident R. C. Brown issued a statement be prompt and thorough." started today on the Colonial Trust which read as follows: "The national banks of New York company at 220 Broadway, a branch "The Security Investment comCity are in an exceptionally strong of the American Trust company. pany finds itself involved. This will condition. The general situation New York, Oct 3.-The state necessitate the temporary suspension here seems to be well in hand and banking department has taken charge of the Westinghouse Electric comis being looked after by many strong of the Knickerbocker Trust company pany and the Westinghouse Machine and influential men, such as those and it is announced that the doors company, the Nernst Lamp company whose recent action in the clearing of that company will remain closed but the manufacturing companies house received emphatic public aptoday. are said to be in an absolutely solproval. The movement for similar Secretary Cortelyou remained in vent condition. concert of action among the trust New York today and says he will use The petition for the receiver of companies should have a helpful and the treasury funds if he thinks it the concern Lamed it is said will be far-reaching effect. I shall spend the a necessity. made today. day at the subtreasury. The heads of finance say: "We The embarassment of the concern

2. October 24, 1907 The Evening Statesman Walla Walla, WA
Article from The Evening Statesman, October 24, 1907

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Article Text

BANKS CLOSE IN NEW YORK Two More Big Institutions said to Have Failed NEW YORK. Oct. 24.-Two more banks failed today; the Twelfth Ward and Hamilton banks, both smaller institutions than those hitherto involved. The state banking department is in charge. The Hamilton bank had six branches in Harlem and one in Wiliiams burgh; the Mercantile National formerly cleared for the Hamilton. The Hamilton had deposits amounting to $7,000,000. The Twelft Ward had deposits amounting to $3,000,000. Bankers state that the Twelfth Ward bank is solvent but that it closed its doors to safeguardo all its depositors. The Hamilton bank has a notice on its door which states, 'This bank is absolutely solvent. In justice to all depositors it suspended payments until public confidence is restored." Harlem and Bronx are in an uproar. Depositors are flocking to the various banks to draw funds and a run on the American Trust company continues. Morgan said this morning: "The first two hours will tell the tale; We have done all we can. I hope for the best. It is time for action, not talk." The Empire City Savings bank is the first institution to take advantage of the new state law which compels depositors to give sixty days' notice of the intention to withdraw the deposits. Its deposits"amount to $3.500,000. Morgan to the Rescue. In the loaning section of the exchange today there were scenes of excitement when heavy loans at high rates were called for. The National Copper bank loaned $500,000 at 50 percent; the First National bank $2,000.000 at 50 per cent and a syndicate of banks loaned $3,000,000. Drawn out from his retirement, J. P. Morgan has won the greates: financial triumph of his career. Commanding the market at a psychological moment and bringing with him the mighty power of Rockefeller and Cortelyou, he has averted a great disaster and panic which might have retarded the growth of the country for a decade. It is estimated that $200,000,000 has been withdrawn from the banks the last two weeks. Rockefeller continues to loan today at six per cent. Normal conditions are looked for before the close of the week.

3. October 26, 1907 Ottumwa Tri-Weekly Courier Ottumwa, IA
Article from Ottumwa Tri-Weekly Courier, October 26, 1907

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Article Text

REAF SECRETARY CORTELYOU EXPRESSIONS FORMER SHOWING FIRMS THAT MATTERS STEADY IMPROVEMENT. MORGAN'S AID TURNS FINANCIAL TABLES DRAMATIC ENTRANCE OF CRITICAL FINANWIH CASH AT OF MOMENT CIER BRINGS A RETURN CONFIDENCE. is "There New York, Oct. this morning: 25.-Secretary the to Cortelyou said nothing to say reaffirm on situation now, except of the im- belief my former that matters expressionsteadly are and proving." The American Trust -o- Trust company company as resumed usual payment the Lincoln All to the their members depositors daily of settlements the stock today. made their to the clearing ir as market opened a houso. The gains opening of exchange accounts stock usual dominating but gains. be level of close. A regular, reaction followed the market falling steadying average last night's developed, soon Trust The run upon has about spent have low tendency the Company its however. now suf- force. of to America officers of the bank meet any demand. ac The general ficient The resources in stocks was moved not fortive rather ward and dealings however, the narrowly. reacted list Individual feverishly. securities. Concerns Close. was Small to $4,300,000 America Cash amounting Trust company the of sub-treato morning through International trust sent this sury. the Trust company conThe and inconspicious.45 at o'clock. a small its doors connect cern. This company the Borough bank of tion with closed had a business Fulton Brook- and lyn. The Brooklyn streets, bank Brooklyn, at The did bank not Clinton open for business of $300,000 today and half. owes its bank, has a capital million and Exchange a depositors The United a States wouldn't open half for a business on deposit. located in today. Harlem, The It bank did has an inconmillion spicious business. bank of $200,000 Brooklyn, and The Borough with a capital of didn't open deposits "state," of about $300,000 The business was flfor business very large today. connected and no prominent with it. nanciers not were National Suspends. Brooklyn 25. The First capi- Nafailure of tional New of $300,000. bank York, of Oct. depositors suspended Brooklyn, $4,200,000. with payment a The total It owes Gulick & Co., change, unimportant. bers day. of was the Green announced this stock afternoon. Doors mem- exThis Williamsburg failure is Trust Co. Trust Closes Company, $700,000. The Williamsburchital with a doors of this Afttemporarily Brooklyn., The closed company its owes depositors run ernoon. $7,500,000 House Suspends. 25.-The Baltimore Md., Oct. 25 of the East savings Bank taken on the of the Home bank has this the Branch Baltimore, morning. department The 60 days' notice continued all pro- are advantage of depositors nearly class. vision. The more Closed of the Company the foreigners Trust ignorant 25.- Posted on R. I., Oct Trust Providence Providence doors of there the Union was a following: run yesterday, company, owon this which morning, was will not the open the today, money 'This the bank stringency in ed receiver market." ing Cornellus to A. Sweetland was argbintNew 90 Days' Notice. 25.-The Wants R. I., Oct. posted a notice today of deposits. England Trust.com Providence, company 90 days' notice of Closes. exthdrawal Pittoburg Exchange 25.-The stock Pittsburg. ined Oct. closed today. change remain Closes Doors. Falls. Branch R. I., of Oct. the 25.-The Union closed this Cntral Trust Central company Falls Branch morning. of Providence A large crowd its doors the Institution. House Closes.The was Another about Branch R. I., Oct. 25.-The Union East Greenwich Branch of the didn't East Greenwich company of morning. Providence open Trust its Morgan doors this to the Rescue. financial alarm The transition confidence from and tranquil. by a and unrest completed to vesterday of money was demonstration close power dramatis tty in business New York day the Before banks situation and the trust that had of the involved the city stock market mark companies had and there the had been conditions a and normal with ed cleared toward threateningly state the minor defer The advance suspension day opened of importance, two New York the dects pay banks of savings bank to runs on ion of a continued heavy and incoln nients the Trust and company Trust company of America The abil