15517. Bowery Savings Bank (New York, NY)

Bank Information

Episode Type
Run Only
Bank Type
savings bank
Start Date
October 31, 1896
Location
New York, New York (40.714, -74.006)

Metadata

Model
gpt-5-mini
Short Digest
25ec79da

Response Measures

None

Description

Articles describe a wave of small depositor withdrawals at the Bowery Savings Bank in the days before the 1896 election and then show depositors returning funds after the election. There is no mention of suspension, closure, receivership, or formal restrictions. Cause appears to be election-related fear/rumors—classified as rumor_or_misinformation. No discrete false-communication event is described, so random_run is False.

Events (1)
1. October 31, 1896 Run
Cause
Rumor Or Misinformation
Cause Details
Small depositors withdrew funds due to election-related anxiety/uncertainty and local nervousness; panic influenced by political/election fears.
Newspaper Excerpt
Yesterday at the Bowery Savings Bank ... the cashier called my attention to the large amounts that have steadily been withdrawn the last week or ten days. There has been a rush among depositors who have accounts from $50 running into several hundreds.
Source
newspapers

Newspaper Articles (2)
1. October 31, 1896 New-York Tribune New York, NY
Article from New-York Tribune, October 31, 1896

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Article Text

ROBERT MACLAY'S VIEW OF IT. Robert Maclay, who is president of the New. York School Board, as well as of the Knickerbocker Trust Company, sums up the situation from a financial point of view. In speaking of the political outlook yesterday he said: "A representative of one of our depositors who is in Europe came to me to-day and requested that the deposit, amounting to about $150,000. should be turned to gold. I assured him that [ thought it unwise. 'You will lose the interest, I said, 'which is considerable'; but he replied that, while he agreed with me, he had no recourse but to follow Instructions. " Why don't you take a gold note," I suggested, 'payable on November 10, after election? I can get you good security at 6 per cent.' Well, he was impressed. and went away saying he would let me know later. He came back later with a cable dispatch from the depositor which spoke for itself: 'Get gold: proposition speculative." "That," said Mr. Maclay, "Indicates the uncertainty with which to some extent our affairs are regarded abroad; but I can give you another instance, which to me is more encouraging, right at home. Yesterday at the Bowery Savings Bank, of which I am a director. the cashier called my attention to the large amounts that have steadily been withdrawn the last week or ten days. There has been a rush among depositors who have accounts from $50 running into several hundreds. The whole amounts to many thousands, and is unusual; but the cashier called to my attention that the same thing seems to be prevailing in the cities all over the country. He seemed to be alarmed. I said I did not see any cause for alarm in that showing. To me It is a good symptom. The $50 account is just as important to every Individual as so many thousands would be to the depositor abroad, but the depositor at home represents not only one vote of his own. but several more besides which he is sure to influence in no Inconsiderable degree. He is not going to vote to help make the trouble which he fears. and this Is one of several Indications that make it conclusive to me what the vote is going to be next Tuesday."

2. November 7, 1896 New-York Tribune New York, NY
Article from New-York Tribune, November 7, 1896

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Article Text

DEPOSITS POURING IN. SAVINGS BANKS' BUSINESS STILL A HIGH TIDE. DEPOSITORS RETURNING THE MONEY THEY HA WITHDRAWN WHEN THERE WAS CAUSE FOR ANXIETY-HOW SAVINGS INSTITUTIONS FARED DURING THE CAMPAIGN. The tidal wave of favorable business which swep In upon the savings banks of the city as a resu of the election continued in full force yesterda; Long lines of depositors stood all day yesterday be fore the windows of the receiving tellers in all the banks waiting to pat back the money they ha withdrawn only a week or a month ago. Th amounts deposited as reported yesterday were dos ble the amounts withdrawn, a condition of busines which the banks have not known since the close . the Chicago Convention. A large part of the amount offered for deposit yesterday was In gold and while there were one or two institutions which were averse to accepting much of the yello metal, most of them took It all in without any que tions. At the Emigrant Industrial Savings Bank Dav Ledwith. the controller, told a Tribune report yesterday afternoon that the volume of busines was even ahead of that of the previous two day Gold continued to be deposited, amounting in the aggregate to several thousand dollars. Mr. Le with cited several cases before the election when depositors had withdrawn their savings and ha paid a premium to have them converted into gol This gold was now being put back in the bank I the depositors, who lost by the transaction not on the interest which their money would have earne had It remained in the bank. but also the amount paid in premiums. He said many a bitter complain had been poured into his ear by persons who ha thus hastily taken action regarding their account At the East River Savings Bank and the Bower Savings Bank statements were made by officia that business yesterday was similar in charact to that of the previous two days, gold averagir from $3,000 to $5,000 daily. At the Bowery Bank was said that many of those who had withdraw their savings belong to the class of Russian Jev living along the Bowery. These are always the fir to take fright on the slightest provocation, at withdraw their accounts, for which reason they a looked upon by the banks as unwelcome customer In the present instance It was noticeable that returning to reopen their accounts most all broug gold, showing how thoroughly they had prepare to protect their interests in case of the election Bryan. The Manhattan Savings Institution. at No. 6 Broadway. the Union Dime Savings Bank. Broa way and Thirty-second-st.: the Bank for Saving No. 230 Fourth-ave.: the Harlem Savings Bank. Third-ave. and One-hundred-and-twenty-fourth-s all reported a marked and wonderful change in bus ness. In all these institutions the excess of depo its over withdrawals since Tuesday has been larg amounting in some cases to as high as $30,000 in single day, many of the deposits being in gold. The officials of savings institutions in general a of the opinion that this unprecedented condition affairs will continue for several days If not tw weeks longer, when business will resume its no mal status. One official of a leading bank made the stateme) the f-in c there, by