Union Bank - New York, NY

Bank Information

Episode Type: Run Only
Bank Type: state
Start Date: October 14, 1857
Location: New York, New York (40.714, -74.006)

Metadata

Model: gpt-5-mini
Short Digest: 080ffce9

Response Measures

Accommodated withdrawals

Description

In the October 1857 panic the Union Bank in New York experienced a heavy specie outflow (about $80,000) but continued to transact business and by Oct 15 had reopened/continued ordinary business (except paying coin). There is no clear statement that Union Bank suspended payments or was placed in receivership, so this is classified as a run only. Bank type not explicitly given in articles; pre-National-Bank era naming makes type uncertain.

Events (1)

1. October 14, 1857 Run

Cause: Rumor Or Misinformation
Cause Details: Articles describe widespread excitement and runs across the city driven by general panic and rumors about suspensions; no bank-specific insolvency or correspondent failure for Union Bank is reported.
Measures: Paid out specie to depositors; subsequently continued to open doors, certify checks and receive deposits; resumed ordinary transactions though not paying coin (per Oct 15 report).
Newspaper Excerpt: UNION BANK. The Union Bank paid out nearly $80,000 in coin.
Source: newspapers

Newspaper Articles (4)

1. October 14, 1857 New-York Daily Tribune New York, NY

Article from New-York Daily Tribune, October 14, 1857

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UNION BANK. The Union Bank paid out nearly $80,000 in coin. MEETING OE THE CITY BANKS. The following is the official report of the meeting: A meeting of the Associated City Banks was held on Tuesday evening, October 13, at which a large majority of Banks was represented. On motion of Mr. KNAPP, seconded by Mr. DURHAM, the following preamble and resolution were adopted: Whereas, In view of the excitement prevailing in this community, and the fact of the actual suspension of a number of the Banks of this city, Resolved, That it is expedient that the Banks of this city sus. pend specie payment to-morrow. On motion of Mr. LEVEREDGE, Resolved, That a committee of three be appointed to proceed to AM bany, and request the Gouernor to convene the Legislature, to come ider the necessity of enacting some law to give relief in the pres, ent financial emergency. Messr.8. Tileston, Dunham and Knapp were constituted such Committee. On motion of Mr. GALLATIN, Resolved, That the most energetic exertions shall be made for an early resumption of specie payments; and that it be recommended to the banks to make no dividends to their stockholders, until the resumption of specie payments. On motion, Resolved, That the proceedings of this meeting be published in the morning papers. THOS. TILESTON, Chairman. = R. S. OAKLEY, Secretary. OBSERVATIONS OF AN OUTSIDER. Notwithstanding the universal cry of ruin, wrath and blue blazes which rang through the city yesterday afternoon, Wall street was as full of jollity as if the whole street had been inoculated with Mark Tapleyism, and the jovial virus had taken very kindly. It may have been that peculiar kind of melancholy mirth which, before now, has animated certain victims to the troublesome morality of their fellow-men, who were about to be swung, by the gentle agency of a hempen cord, across the dark waters which are supposed to part this world from the next, to give the hangman their last shilling to drink the long life of the donor; but mirth it was, of some kind. The risible muscles of Wall-streetdom were brought into requisition, though Insolvency may have tugged at the ends. Men laughed and cracked jokes about their deposits in banks which had suspended, and about their stock in banks and railroads which wasn't worth the powder to blow it to infinitesimal fragments, as though a threatened general suspension of payment were a gigantic practical joke, calling for the hughest kind of a cachinnatory response. It was as if 8 person should affect to regard amputation of the neck as an excellent jest, and the hip joint operation as the pleasant pastime of an hour. From the top of Wall street to the bottom-from Broadway to Water street-the sidewalks were crowded with people, desirous to know the truth of the rumors which industriously spread themselves everywhere by what agency no one could tell, and all treating the confirmation of each new smash, as a sort of agreeable surprise. Something which they were not entirely unprepared for, but which came upon them with 6 eort of invigorating freshress which was most inspiriting. Failures and suspensions were treated as ascrt of newly discovered delicacy of the possessing $ bitherto unknown

2. October 14, 1857 New-York Daily Tribune New York, NY

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The officers say that they have taken legal advice, and acting thereon will open their doors, certify ckecks, receive deposits and continue the usual routine of business. BANK OF NORTH AMERICA. The Bank of North America paid about $85,000, principally to depositors. Men who owed them large sums on note sent in their checks for the gold on their deposite. They paid up to the time. OCEAN BANK. This institution, located at the corner of Greenwich and Fulton streets, was only able to stem the tide for 8 half hour after opening yesterday morning. The rush upon them, principally by depositors, also commenced on Monday about 1 o'clock, and up to the hour of closing in the afternoon theyhad parted with about $40,000 in specie. Yesterday morning they opened again, with the hope that the promptness with which they had paid checks the day before had restored confidence, and that they would not again be pushed, but thirty minutes' operations convinced them that they were mistaken. In this time they paid out $10,000 in specie, when they were obliged to suspend. ORIENTAL BANK Did not fail, as was reported in the street yesterday. They paid every dollar that was demanded of them up to 3:19 o'clock, when every one had left. THE PEOPLE'S BANK. The People's Bank closed its doors about 2 o'clock yesterday afternoon. There were but few persons around the building at the time, and the run on the Bank was not very heavy. The amount of specie drawn out yesterday was $19,000. The amount due to depositors is $200,000, and the circulation is $138,000. The officers state that they can pay every cent due parties by the Bank. They own their building, which is valued at $75,000, and upon which there is no mortgage, and express their determination to resume in"a few days. PARK BANK. The Park Bank has about $40,000 less than before. PHENIX BANK. The Phenix Bank paid out about $60,000 in specie, including $10,000 paid at the Clearing-House. BANK OF THE REPUBLIC. The Bank of the Republic refused to give the amount. SHOE AND LEATHER BANK. The Shoe and Leather lost about $40,000. The balance at the Clearing-House in their favor to-day is $75,000, which shows an increase on the whole of $35,000. BANK OF THE STATE OF NEW.YORK. The same scene as was presented elsewhere was witnessed at this institution. The rush of depositors and bill-holders commenced about the middle of the day. Checks were paid and bills redeemed until a few minutes past business hours, when the doors closed. About $150,000 was paid out. The intention is to resume business to-day. SHOE AND LEATHER BANK. This institution, located at the corner of Broadway and Chambers street, experienced considerahle of a run yesterday. The siege commenced immediately after the opening-although not severe at first-and increased up to the hour of closing business. During the whole day a large crowd was congregated in front of the building, but the majority of the people were only lookers on in Venice," having no other interest or object than to witness the going in of bills and the coming out of gold. The location of the Bank being at a point where thousands are passing every hour, the most of whom would stop to "see what the matter was," it required the industrious services of half & dozen policemen to keep the steps and sidewalks clear. The demand upon the bank was almost entirely from bill-holders, and the amount of specie draws during the day was $35,000. SEVENTH WARD BANK, This institution, which, notwithstending its name, is located in the Second, Ward, at No. 284 Pearl street, sustained a heavy "run" of several hours' duration without flinching in the least, and its officers say they are ready for & renewal of the operation to-day, but appear sanguine that they have satisfied the depositois, A3 only a few of them demanded specie late in the day. ST. NICHOLAS BANK. The St. Nicholas Bank had a heavy run from its opening. Everybody, depositors and billholders, demanded specie, and everybody got it until about 1 § p. m., when it was exhausted, and the bank suspended. TRADESMEN'S BANK. This bank is located in Chatham square. The events of the day about and within it were similar to those that occurred at nearly all similar institutions out of Wall street. The panic that began early in the day down town rapidly spread, and alarmed depositors and unenlightened bill-holders soon thronged the counters, clamorous for specie. For a long time every such request was blandly complied with, but at length the supply becoming less than the demand, & suspension was proclaimed, and then, one by one and slowly, the disappointed ones retired, with a less exalted feeling for banks and bankers than they had ever before entertained. UNION BANK. The Union Bank paid out nearly $80,000 in coin. MEETING OE THE CITY BANKS.

3. October 15, 1857 New-York Daily Tribune New York, NY

Article from New-York Daily Tribune, October 15, 1857

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pacified. All is now quiet. Several thousand dollars in gold were deposited. NORTH RIVER BANK. This institution remained in the same position as on Tuesday, doing no business other than receiving payments on notes. When our reporter visited the Bank yesterday the managers had not yet determined whether they would, like the other Banks, continue business or go into liquidation. NEW-YORK COUNTY BANK. The amount of specie on hand at the close of the day's transactions was $18,267 63. The heaviest part of the business by far was done by 12 o'clock; after that hour until the time of closing it being rather light. They anticipate no further trouble. ORIENTAL BANK. There was no excitement about this bank on Wednesday morning. It has conformed to the arrongment of paying out no specie It pays out its bills, and certifies checks. The bank has been a creditor at the Clearing House for the past four days, and had, on closing up its business on Tuesday evening, $41,000 in specie agend. A considerable amount in gold was deposited in this bank by different persons yesterday. OCEAN BANK. The doors of this institution were opened yesterday, but there was no business being done of any kind, not even receiving payment on notes. While our reporter was there one gentleman presented himself with $2,000 in certified checks to take up an accept. ance, but the checks were refused and gold demanded, but not paid. In answer to the demand for gold, the gentleman replied that he thought it not only cool," but impudent," for & Bank to suspend specie payment and then demand gold in payment of notes. This Bank is doing business as usual on the same terms as the other Banks. PARK BANK. Nothing extraordinary occurred at the Park Bank. PACIFIC BANK. At this bank there was available in specie on Wednesday morning fifty-six thousand dollars. The transactions of the day were not quite as heavy as usual. There has been no "run," 80 to speak, on this institution, although the drain of specie was progressing slowly but steadily, and received & considerable im pulse for an hour or two just before the close of banking hours, in consequence of the sudden and extensive excitement in the lower part of the city, which seemed to increase momentarily. But a night's reflection had dissipated to & great extent the panic, and the business of the bank approached very near its usual level. The deposits for the day amounted to ninety three thousand dollars, some four thousand of which were in gold. About severty thousand was paid out in bills, and after paying the Clearing House, the amount in specie left on hand was forty-two thousand dollars. This, although very near, is a little leas than the ordinary business. PEOPLE'S BANK. The ordinary business was carried on-about the same in amount and character as on Saturday last. They paid out to-day nearly $7,000. There was no excitement or "run" whatever. The day was one of unusual quiet, and the panic in this quarter is evidently on the wane, and will soon apparen ly cease entirely. SEVENTH WARD BANK. The business of this institution went on as usual yesterday. Before suspending, $48,000 in specie was paid out. There remains in the vaults gold and silver to the amount of $177,000. No specie deposits had been made during the day. Our reporter called after bank hours to inquire the amount of business done during the day, but was informed that the balance sheet would not be struck until & late hour. ST. NICHOLAS BANK. The St. Nicholas Bank settled its differences at the Clearing House, as usual, in cash, and is now in good standing among the banks. Some gold has been reDeived on deposit, $8,000 or $9,000, and the business generally is much as usual. SHOE AND LEATHER BANK. The Shee and Leather Bank received about $12,000 in specie on deposit. The business generally has not been extraordinary. TRADESMEN'S BANK. This inetitution paid out $10,000 in specie and $190,000 in bills, and then su-pended with $22,000 in specie the vaults. On Wednesday they were doing the usual business, except paying in specie. A deposit of $200 in specie was made on Wednesday morning. The bank is represented as sound and able to meet all its liabilities at an early day. At the close of the day the bank had received in bills and collections $40,000, and paid out $60,000. UNION BANK. This bank opened its doors at 10 o'clock and resumed the transaction of its ordinary business, with the exception of paying coin. Certified checks and the bils of other banks, and in some instances coin, were received on deposit; checks were certified, and when it was required bills were given in payment. When the doors were opened about thirty persons took their places in line and awaited their turn. Matters continued thus until the hour for closing the doors.

4. October 22, 1857 The Cadiz Democratic Sentinel Cadiz, OH

Article from The Cadiz Democratic Sentinel, October 22, 1857

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the Times of last Friday: OF THE CITY OF NEW YORK HAVE SPECIE PAYMENT!-This This announce yet official, but practically it is the the case at the close of bank hour We have never, in a long expe essed any catastrophe 80 sudden, of with such wide spread popular ex The public were not generally preby the weekly Bank averages of the rhich appeared this morning.howed an average specie reserve, o -not well distributed to be sure no more inequality than had ofter exhibited. But the average of the to he a declining one. The chich might have been the true test in the middle of the week had millions on Monday (yesterday The generally quiet but steady yun and the pressing redemptions n par- the are supposed to have reduced stually on hand at the close of busin $8,500 000. The Clearing-House it seems, failed to secure unanimity mutual aid, such as were reflected and resolutions published this They did not stand up to the mutual least one, if not two, of the im on the West or North River were virtually denied assist all probably concerted together last the suspension early to day of with a capital of $1,000,000, ppage of the Merchants' Exchange, 00,000, the North River, Irving and Exchange Banks. This was well street by the hour afnoon. Then run. and for three hours the solutely indescribable, attended as popular commotion that brought in from Broadway to Hanover a could only be numbered by fives Every Bank was crowded, the boasted) impregnable.and the weak. Exchange, one of the redeeming New York State county bank and circulation, was first set upon.eavitt the first President (now an Director) of the Bank appeared of No 52 Wall-street, street, and ad owd. He mani ested game, speak for his own, but for six or eight banks. crowd pressed into each bankingvicinity. The paying ing tellers were employed. The gold went out by dreds of thousands. The old Bank chartered seventy years ago, and of $2,000,000, gave way about 2 struck the crowd as the giving keystone of the arch, and the sucincements of the suspension of the Leather Manufacturers, Tradesa dozen up-town banks, ceased Attention was turned to the run upon the other large constreet. The crowd at the Bank of New York, William street and place, was the most quiét; yet paid out in gold. At the Bank of Mechanics the pressure was more lost heavily. At the Union and in the day, the applications for merous, each yingabout $75,000. hants', the drafts were considerable The Republic and Metroheavily run upon, as well as the change. But-we believe that near street banks, except the old N. conference this alternoon only laout-right. was not seriously molested.though not esteemed strong, close. or the banks on Broad Metropolitan, the Mercantile. Chemical, Shoe and Leather, and into conterence without letting Broadway gave way. On the east and Nassua paid through. The payment at 2½ o'clock. The paid through. The Fulton and stopped. Further up town, on the Oriental paid through, and Traders', we believe, The Cit chers' gave way early in the fore. the New York County. The clock, P inted to a general declara in the morn n.4. and the reoof the banks as close their doors as to the course ofthe great body The currency from the Spe be changed to one of Current reurrent funds,and business transdepartment of trade, will at rined to the change. of writing, we do not question the bank conferences now going is not likely, in any event that in the conclave to be prolonged. lard has ceased to be the rule of York for the present The in the Clearing House might averted this catastrophe a week or yielding to counsels that symclosely and surely with the poputhe controlling minds in the asis even probable, as intimated in of yesterday, that and by Laided making by