18975. Banks in Philadelphia (Philadelphia, PA)

Bank Information

Episode Type
Suspension → Reopening
Bank Type
state
Start Date
December 30, 1861
Location
Philadelphia, Pennsylvania (39.952, -75.164)

Metadata

Model
gpt-5-mini
Short Digest
0b94068d

Response Measures

None

Description

Multiple newspapers report that banks in Philadelphia suspended specie payments (late December 1861). Articles describe the suspension as a prudential, wartime measure (government coin demands), implying a temporary suspension rather than a permanent failure. No article describes depositor runs, receivership, or permanent closure, so I classify this as a suspension with implied reopening.

Events (1)

1. December 30, 1861 Suspension
Cause
Macro News
Cause Details
Suspension tied to Civil War financial stress and heavy coin loans to U.S. Treasury (treasury insistence on coin payments); a nationwide wartime liquidity stress rather than bank-specific insolvency or rumor-driven runs.
Newspaper Excerpt
The banks in New York, Philadelphia and Boston suspended specie payments.
Source
newspapers

Newspaper Articles (8)

Article from The New York Herald, March 4, 1861

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Article Text

Suspension of Banks Throughout the Country. Seceding Conventions and Extra Legislative Sessions in Southern States. What is the Condition of the Country ? &c. &c., de., Since the 6th of November last--the day on which Abraham Lincoln was elected President-upto this 4th of March, the day which is to witness his inauguration, events of the most startling and momentous character have followed each other in rapid succession. The oonfederacy formed by the wisdom and patriotism of the Fathers of the Revolution has, in the height of its prosperity, been rent asunder, and the country is now threatened with all the digasters of disunion and civil war. We have two confederacies where before there was but one united nation-two confederacies which may ere long be precipitated by the folly or wickedness of the incoming administration into the horrors of a fratricidal conflict, the end of which no man now living may see. The events which have followed the election of Mr. Lincoln are presented as follows in regular chronological order:NOVEMBER, 1860. 6-The election for President and Vice President was held in all the States, and resulted as follows:1,310,907 Total number of votes in Southern States " " Northern States 3,429,075 Whole number of votes in the Union 4,789,982 Vote for Lincoin 1,865,840 Vote against Lipcoin:1,288,043 Douglas received 836.301 Breckinridge Bell 742,747 -2,807,591 Majority in the Union against Lincoln 1,001,751 8-Great excitement in Charloston, S. C., and other Southern cities, over the election of Abraham Lincoln. James Cheanut, of South Carolina, resigned his Beat in the Senate of the United States; A. G. Magrath, Judge of the United States District Court in Charleston, resigned his office, and the court was formally dissolved. 10-Nearly all the government office holders in Charleston, 8. c., resigned. 13-Hon. Jamos H. Hammond resigned his position as United States Senator from South Carolina. 14--The Legislature of South Carolina passed an act for a State Convention to take into consigeration the best mode of dissolving the connection of the State with the federal Union. 15-The extra session of the Legislature of South Carolina adjourned. 17-The excitement in South Carolina in regard to a dissolution of the Union grows alarming. Meetings were held, military and civic parades were proceeded with, cannon were fired, bells were rung and palmetto flags were raised amid the general rejoicings of the people. 20-The Farmers' Bank, of Virginia, suspended specie payments. 22-All the banks in the District of Columbia, and also those in Philadelphia, Baltimore, Wheeling and Norfolk, Va., together with the Farmers' and Exchange Bank in Charleston, S. C., suspended specie payments. 23-The banks of Augusta, Ga., frenton, .J., and Pittabung, Pa., suspended specie payments. 24-the secession movement continued to spread all over the Southern States. 26.-The Legislature of Mississippi convened, and were mostly occupied with affairs of the nation All the principal banks of Tennessee, including the State Bank, suspended specie payments. DECEMBER. 1-The banks in Charleston, 8. C., suspended specie payments. 3-The banks in Augusta, Ga., suspended specie paymenta Both houses of Congress convened at the national capital. 6-In accordance with the resolution of Mr. Boteler, of Virginia, in the United States House of Representatives, to appoint a special committee of one member from each State, to whom that portion of the President's Message relating to the present perilous condition of the country should be referred, the Speaker announced the following named members as constituting said committee:Name Politics States


Article from Bedford Inquirer, January 3, 1862

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Article Text

The Philadelphia, New York, and Boston banks have suspended. This is done only as a matter of prudence, the banks being all fully able to redeem their notes.


Article from Montgomery County Sentinel, January 3, 1862

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Article Text

The banks in New York, Philadelphia and Boston suspended specie pay ments on the 30th ult., and of course, the banks all over the country must do the same. The Government, also, has ceased to pay its notes in specie. Thus in four months after commencing the issue of paper money, it has not only broke down itself, but carried all the banks with it. There is a project now before Congress to allow every company that can raise one hundred thousand dollars in government bonds, to issue their notes endorsed by the government. This will give us plenty of money, such as it is; but to help on the cause, they propose to make their paper a legal tender in payment of debts between all individuals. The Constitution says that the general government may coin money and regulate the value thereof; and that no State shall make anything but gold and silver a legal tender in payment of debts. But no matter, necessity reigns, and will have his way. The effect of this if carried into effect will be, that those who owe debts will pay them with much less value: while those who live on salaries, or the interest of money, will find their fortunes decreased in proportion to the depreciation of the notes of the banks or the government.


Article from Deseret Evening News, December 25, 1909

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Article Text

NEXT WEEK IN HISTORY. DECEMBER 26. DECEMBER 30. -Battle of Trenton, N. J. 1851-Lajos (Louis) Kossuth, Hunga-Great fire in New York: famous rian patriot and exile, visited Washington on invitation of Conclipper Great Republic destroyed. gress. -General John A. Logan died; born 1826. 1861-The banks in New York, Philadelphia and Boston suspended speDECEMBER 27. cle payments. 1903-The Iroquois theater burned in -William Wilson Corcoran, WashChicago; 583 lives lost. ington philanthropist, founder of


Article from Rock Island Argus, December 30, 1909

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Article Text

G PERIOD OF MILDER WEATHER IS PROMISED US THE WEATHER Rise of Mercury Partly cloudy and probably threatening tonight and Friday; rising temperorted From Points ature. The minimum temperature tonight will be about the freezing point. in the West Temperature at 7 a. m.; 1 below; maximum in 24 hours, 1 below; minimum, 10 below. Precipitation in 24 hours, trace. Wind velocity at 7 a. m., ER SEVERE COLD 8 miles. Relative humidity, last evening 92, this morning 89. J. M. SHERIER, local forecaster. Passes South, Where Dec. 30 In American History. ivers Freeze For First 1851-Lajos (Leuis) Kossuth, Hungarian patriot and exile, visited Time in Years. Washington on invitation of congress. 1861-The banks in New York, Philadelphia and Boston suspended speago, Dec. 30.-With a predicted cie payments. temperature over the entire 1903-The Iroquois theater burned in east of the Rocky mountains Chicago: 583 lives lost. e weather bureau's promise of a eriod of mild weather following ASTRONOMICAL EVENTS. esent cold wave, the Mississippi Sun sets 4:38, rises 7:20: moon rises and northwest experienced a 8:42 p. m.; sun's declination 23 degrees of severe winter weather. 10 minutes south of celestial equator. Seven Below at Chicago.


Article from Rock Island Argus, December 30, 1911

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Article Text

Dec. 30 in American History 1851-Lajos (Louis) Kossuth, Hungarian patriot and exile, visited Washington on invitation chalcen Amgress. 1861-The banks in New York, sult etc.A delphia and Boston suspend my, nce. cie payments. 1865-Henry Winter Davis. Maach, statesman and orator, died kidtimore; born 1817. from 1903-The Iroquois theater bu Chicago; 583 lives lost. e All the news all the tim WA Argus.


Article from The Holt County Sentinel, January 26, 1912

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Article Text

this was changed the second year. and Christmas especially was celebrated heartily on both sides of the line. On the 26th W. H. Seward. Lincoln's secretary of state, announced that the Confederate commissioners. Mason and Slidell. who were contined at Fort Warren. would be set free. The news put an end to public agitation over a threatened war with England. This decision had long been awaited. and the people of the north felt relieved. as this problem was settled at last. About this time a project for laying submarine telegraph along the south Atlantic and gulf coasts to connect the Federal army and navy posts was under consideration in Washington. Submarine telegraph was in its infancy. Short stretches were working satisfactorily on both continents. but the long cable under the Atlantic had ceased to transmit soon after it was Jaid in 1858. Cyrus Field's idea was clung to in spite of his failure to conneet America and England with the cable which failed in 1858. Dec. 30 was a day to date from in the finances of the north. The banks in New York. Boston and Philadelphia suspended specie payment owing to heavy loans in coin made to the United States treasury for war purposes. The crisis led to the Issue of United States legal tender notes and fractional currency in denomination from 3 cents up. ward. those under $1 being called "shipplasters." The immediate cause of the suspension was the insistence by the United States treasurer that all the loans made to the government to carry on the war must be paid in coin. Ericsson's Naval Wonder. On the last day of the year the engine and propeller of John Erlesson's fronclad marine wonder were tested in New York and worked satisfactorily. This little vessel afterward became fa.


Article from Rock Island Argus, December 30, 1915

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Article Text

Daily History Class-Dec. 30. 1851-Louis Kossuth, the Hungarian patriot, exile and former dictator. visited Washington on invitation of the United States congress. 1861-Banks in New York, Philadelphia and Boston suspended specie payments on account of financial stress brought on by the war. 1914 - German aeroplanes dropped bombs on Dunkirk, France.