Connecticut Savings Bank

Bank Information

Episode Type: Run → Suspension → Reopening
Bank Type: savings bank
Start Date: July 31, 1893
Location: New Haven, Connecticut (41.308, -72.928)

Metadata

Model: gpt-5-mini
Short Digest: 9a543838

Response Measures

Partial suspension

Other: Multiple local savings banks simultaneously required notice of withdrawal (3-4 months) in response to rumor-driven runs.

Description

Articles (dated 1893-07-31/08-01) describe a run on the Connecticut Savings Bank driven by a startling rumor. Directors invoked the charter provision requiring depositors to give 3–4 months' notice — a partial suspension (notice-of-withdrawal rule). There is no indication of permanent closure or receivership in these pieces, so treated as run leading to suspension with eventual resumption of normal operations.

Events (2)

1. July 31, 1893 Run

Cause: Rumor Or Misinformation
Cause Details: A startling rumor circulated that there would be a run on the local savings banks, prompting depositors to present themselves to withdraw funds.
Measures: Depositors were required to give notice of withdrawal as provided by law; banks allowed interest to be drawn.
Newspaper Excerpt: Early this morning a startling rumor became current to the effect that there was to be a run on the local savings banks.
Source: newspapers

2. July 31, 1893 Suspension

Cause Details: Directors invoked charter provision (notice-of-withdrawal rule) requiring three to four months' notice for withdrawals in response to the run; partial suspension of immediate payments.
Newspaper Excerpt: Depositors wishing to withdraw money will be required to give notice as required by law. Directors decided to avail themselves of the provision in their charter ... notice varying from three to four months shall be given by depositors wishing to withdraw.
Source: newspapers

Newspaper Articles (2)

1. July 31, 1893 Waterbury Evening Democrat Waterbury, CT

Article from Waterbury Evening Democrat, July 31, 1893

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Article Text

RUN ON NEW HAVEN BANKS. They Take Refuge Under the Provisions of Law. NEW HAVEN, July 31.-What may lead to a financial panic was begun today, when runs were made on all three of the local savings banks. The banks are the New Haven Savings bank, President Ex-Lieutenant Governor Merwin, the Connecticut Savings bank. President Governor Morris, and the National Savings bank, President Maier Zunder. As soon as the fact that there would be a run became evident to the officials steps were taken to check it, and the following notice was posted on the bank doors: "Depositors wishing to withdraw money will be required to give notice as required by law." The bank officials have received assurances from other banks that they will receive aid if necessary. At the Connecticut bank at noon forty-two depositors had given notice of withdrawal, the New Haven thirteen and at the National six. The New Haven bank will require four months' notice of withdrawal and the other banks three months.

2. August 1, 1893 The Sun New York, NY

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Article Text

RUN ON NEW HAVEN SAVINGS BANKS. In Anticipation or Ht. the Banks Decided to Require Notice of Three to Four Months. NEW HAVEN. July 31.-Early this morning & startling rumor became current to the effect that there was to be a run on the local savings banks. For an hour before the opening of the New Haven Bank a crowd waited. but the people were quiet and undemonstrative. Atabout 9 o'clock it became known that the directors of the three banks. the New Haven, the Connecticut, and the National. had held meetings and had decided to avail themselves of the provision in their charter. which provides that notice varying from three to four months shall be given by depositors wishing to withdraw. This fact increased the excitement. and soon the corridors of the Connecticut an dNow Haven banks were packed with anxious depositors. They were instructed regarding the action and were allowed to draw Interest. and most of them availed themselves of this. That the banks are perfectly sound there is no doubt in the minds of all the prominent local business men. and their action in protecting the less panio-stricken patrons is generally regarded, as a very wise movement. It is the first time since the panic of 1873that the banks have been obliged to resort to this expediency.