19022. Commercial Bank (Philadelphia, PA)

Bank Information

Episode Type
Run → Suspension → Reopening
Bank Type
state
Start Date
September 25, 1857
Location
Philadelphia, Pennsylvania (39.952, -75.164)

Metadata

Model
gpt-5-mini
Short Digest
bf0487e2

Response Measures

Accommodated withdrawals, Partial suspension

Description

Newspaper dispatches from Sept 25–28, 1857 describe a heavy run on Philadelphia banks after the Bank of Pennsylvania suspended; the Commercial Bank joined others in limiting specie payments (redeeming mostly $5 and $10 notes, refusing larger notes/checks) and then participated in the general temporary suspension of specie payments. Several items state banks promised to 'resume to-morrow' and the Bank of Pennsylvania reopened; evidence supports a temporary suspension with eventual resumption rather than permanent failure for the Commercial Bank.

Events (3)
1. September 25, 1857 Run
Cause
Local Banks
Cause Details
Run triggered by the suspension of the Bank of Pennsylvania and loss reports about other local banks/large debtors; depositors rushed counters demanding specie.
Measures
Redeeming small denomination notes (paying specie for $5 and $10 bills), refusing larger notes and checks, marking checks 'good' or certifying them in some cases.
Newspaper Excerpt
There is a heavy run on the City Bank... The Commercial Bank, and several others, are taking the same course
Source
newspapers
2. September 26, 1857 Reopening
Newspaper Excerpt
The Commercial Bank... promising to resume full business to-morrow; the Pennsylvania Bank reopened, and is transacting business, but paying no specie.
Source
newspapers
3. September 26, 1857 Suspension
Cause
Local Banks
Cause Details
Banks collectively suspended specie payments in response to heavy withdrawals and the initial suspension of the Bank of Pennsylvania; action recommended by bank presidents to stem the run.
Newspaper Excerpt
A general conference of the presidents of all the banks... resolved on a temporary suspension of specie payments
Source
newspapers

Newspaper Articles (16)
1. September 25, 1857 Evening Star Washington, DC
Article from Evening Star, September 25, 1857

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TELEGRAPHIC NEWS. FROM THE ASSOCIATED PRESS. Bank Suspensions. PHILADELPHIA, Sept. 25 --Fhe Bank of Pennsylvania, in this city, has suspended specie payments by a resolution of the Board of Directors. There is much excitement in consequence. [SECOND DISPATCH.] The Bank of Pennsylvania's suspension is complete; but the President says it was caused by the action of other Banks against it, and the losses sustained by recent failures of dry goods men. He also says that it will be only temporary, and that the capital is untouched. The Girard Bank is giving specie for its notes, but depositors' checks will not be honored until one o'clock. There is a heavy run on the City Bank. and all the counters of Banks are besieged with depositors and note holders. There is much alarm, and almost a suspension of business. 1½ p. m-The Girard Bank is only paying specie for "5's" and "10's," the larger notes and checks being refused. The Commercial Bank, and several others, are taking the same course, promising to resume full business to-morrow. The excitement is intense. The Bank of Pennsylvania has the State funds, and the Girard Bank the City funds.

2. September 26, 1857 The New York Herald New York, NY
Article from The New York Herald, September 26, 1857

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THE FINANCIAL CRISIS. TROUBLES OF THE PHILADELPHIA BANKS. Effect of the American Pressure in Europe. THE NEWS BY THE CANADA, & &c., &c., THE PANIC IN PHILADELPHIA. SUSPENSION OF SPECIB PAYMENTS BY THE BANK OF PENNSYLVANIA RUN ON THE PHILADELPRIA BANKS. PHIL ADELPHIA, Sept. 25,1867. The Bank of Pennsy Ivenia has suspended specie payments, by resolution of the Board of Directors. The President says the suspension is caused by the action or other banks against 11 and to loares by the recent failures of dry goods men. He also says it will be only temporary, and that the capital is untouched. The Girard Bank is giving specie for its notes, but checks will not be honored till o'clock. There to bervy run upon the city banks, and all the counters of the banks are bealeged with depositors and noteholders There much alarm and almost a suspension of bust ness in the city. HALF-PAST 1 O'CLOCK P. M The Girard Bank only is paying spacie for fives and tens, larger notes and checks belog refused. The Commercial and other banks are taking the same course, promising to resume to morrow. The Pennsylvani Bank has the State funds, and the GIrard Bank those of the city. The excitement is intense. MEETING OF BANK DIRECTORS TEMPORARY SUSPENSION RECOMMENDED. TEN O'CLOCK P. M. A general conference of the Presidents of all the Banks was held this afternoon, and after carefully canvassing all the circumstances of the pressure and their resources, re. solved on a temporary suspension of specie payments on checks, and also on bills exceeding ten dollars, to go into effect to morrow. There was heavy run on all the banks to day, but the Girard and some others shielded themselves in the above manner. All reports of total failures of any of our banks are to be discredited. Brokers and others are highly excited, and circulate monstrous reports. There is no "Merchants Bank" here, the report in a New York paper to the contray twithstanding. TOTAL USPENSION RECOMMENDED. ELEVEN O'CLOCE, P. M. n is now understood that the bank presidents have enanimously resolved to recommend to the several Boar of Directors a total suspension of specie payments, to take effect to morrow. According to the law of 1850, this action will entail the forfeiture of the chartera of the banks incorporated or ex tended since that time. OUR PHILADELPHIA CORRESPONDENCE. PHILADELPHIA, Sept. 25, 1867 Tremendous Run on the Banks-- -Great Excitement The panic which has been simmering and seething for some time came to full boil this morning, and such a bead of steam was generated on short notice that If seemed for time as though the boiler of the whole financial ays. tema most incvitably explode, and blow banks, brokers and merchants into a grand general wreck. For some days there has been good deal of strong talk indulged concerning the condition of three or four of our city banks, and in respect to one of them (the Bank of Penn sylvania), it was confidently assorted that it had more than It could carry, and that, if left to itself, 18 must inevitably succumb to the prossure, and suspend These difficulties. it was understood. were brought about by the nepotism practised by prominent officer of the institution, who had accommodated certain favorites with suma ranging up as high as $300,000 single inwho were merchants, while prudent of the institution, could not obtain the smallest discount A good portion of the large loans referred to had been swamped in disastrons sugar speculations, and was very manifest that the bank was to be heavy loser. The ques. tien of the propriety of supporting this bank through the Aeroe ordeal was earner discussed. and the her banks seemed undecided for time whether to go by the board sustain it for the credit of its sister institutions Yesterday I was finally esolved to let the Pennsylvania take care itseif, and the sequel has provei that 18 was unequal to the emergency The determination the other banks leaked out last might: and this morning upon the opening of the doors. the officers of the Bank of Pennsyl ania that there would probably be brisk time and determined to close the concern The outside gates Second and Lodge streets were also closed, and were posted at each entrance Posted conspicuously on the railings was the following notice: BANK OF Resolved That the bank suspend specie heraction of theBoard The cerrance of this pithy announ cement of course attracted much attention. and an immonse and excited crowd 8000 gathered The aidewalks were blocked up. and the DOWS spread far and wide that the Bank of Pann syivania had failed: and this report. as might be expect ed, was the signal for general and heavy run all the banks, witho regard tacir standing reputation Law the morning the Bank of Pennsy vania made the following official annonacement concerning their troubles BANK or 1857 This bank. having been compelled specie payments, an board director seaure against the bank, that loss can possioly oscur. By behalf of the board THOR. IBONE President The Girard Bank wis the scene of most tromendous ren,and the of the police was there order. The redeem their notes fast they were but during the foreaoon check hold were put off until one When one o'clock came around the crowd which poured in with the checks been dishonores in the morning were informed would not be paid to day The Commercial Bank came for a liberal share of the "ron," and it followed the example of the Girard, by redeeming its notes and putting off the pay. ment checks until one o'clock When one o'clock came and brought with the check holders. the latter were informed that the checks would but the seller expressed willingness to mark them "good. course pursued by the Girard and the Commercial caused great diaratisfaction, and to added general every bank the city there was a heavy run, but all of them weathered the storm with the exceptions named above. Three 'clock came last, and note day closed more gloomily and feveriahly than any day : Philadelphia for many years. this leta ter the presidents of the banks are holding council war. What will be the result of their delibera tions impossible foretell Most of the banks profess stand their most the such run. ability e specia drain as that of to-day would go hard with any Institution existence continued long. According to the laws of Pennsy Ivania th failure of bank to redeem its notes in specie involves repeal of its charter. Business except in money was perfectly desi day. The brokers did thriving irade in the way of buying current notes, and bank officers were work hallson death: but most of the basiness world, besides. were in street, each man asked his neighbor "What next But little was done at the stock board. and the stocks that were sold were parted with at lower prices than ever. The panic has now tainly reached fever beat whether or not there will be speedy re-action or whether the business world to continue prey to the financial eptdemic. remains to be seen. This morning meeting of the presidents of the diffe rent banks was held, and was resolved that the solvent banks should sustain each other through the crisis PHILADELPHIA, Sept. 25-4% P.M. Never have beheld such a run upon the banks of this city as witnessed to-day. Every bank and everys Ings Institution was be set with hundreds of applicants for specie, and at noon the excitement Increased tenfold on ascertaining that the Pennsylvania Bank had suspended It is generally believed that all the banks will suspond specie payments to morrow The transactions stocks were quite limited. and prices generally lower. Business every description sat s stand will, and the wisest and best of our officens can scareely

3. September 26, 1857 The American Washington, DC
Article from The American, September 26, 1857

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Bank Suspension. Philadelphia, Sept. 25-The Bank of Pennsylvania, in this city, has suspended specie payments by a resolution of the Board of Directors. There is much excitement in consequence. The Bank of Pennsylvania's suspension is complete; but the President says it was caused by the action of other banks against it, and the losses sustained by recent' failures of dry goods men. He a so says that it will be only temporary, and that the capital is untouched. The Girard Bank is giving specie for its notes, but depositors' checks will not be honored until one o'clock. There is a heavy run on the City Bank, and all the counters of Banks are beseiged with depositors and not holders. There is much alarm, and almost a suspension of business. 1½ p. m.-The Girard Bank is only paying specie fr 5's" and 10's," the larger notes and checks being refused. The Commercial Bank, and several others, are taking the same course, promising to resume full business to-morrow. The excitement is intense. The Bank 0 Pennsylvania has the State fund, and the Girard Bank the City funds.

4. September 26, 1857 The Cecil Whig Elkton, MD
Article from The Cecil Whig, September 26, 1857

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again next week. BANK SUSPENSIONS.- We have rumors here of the suspension of the following Philadelphia Banks: The Commercial Bank, The City Bank, and the Bank of Pennsy Ivania.

5. September 26, 1857 Worcester Daily Spy Worcester, MA
Article from Worcester Daily Spy, September 26, 1857

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Suspension of Banks. SUSPENSION UB THE Bank OF PENNSYLVANIA.-Philadelphia, Sept. 25.-The Bank of Pennsylvania has suspended specie payments, by resolutionsof the Board of Directors. The suspension is complete. The President says it has been brought about by the action of other banks against it, and losses by recent failures. He further says the suspension is only temporary, and the capital is untouched. The Girard Bank is giving specie for its 0 wn notes, but checks will not be honored till one o'clock. There is a heavy run on the City Bank, and the counters of all the other banks are besieged with depositors and note-holders. The excitement is increasing, and there is almost a suspension of business. Philadelphia, Sept. 25.-The Girard Bank is only paying specie for fives and tens-large notes and checks being refused. The Commercial and other banks are taking the same course, promising to resume tomorrow. The excitemeut is intense. The Pennsylvania Bank has the State funds, and the Girard Bank those of the city. Later.-The Girard and Commercial Banks have failed.

6. September 26, 1857 New-York Daily Tribune New York, NY
Article from New-York Daily Tribune, September 26, 1857

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FRIDAY, Sept. 25-P. M. We should probably have had rather a better feeling in the Stock Market this morning, but for the advices of the culmination of the financial troubles in Philadelphia, in the suspension of some of the leading banks there, and aren upon the others. The suspension ofthe Bank of Pennsylvania was known early, and that information had a serious influence upon Stock trans. actions at the Board. Stocks were pressed in large quantities upon the market for cash, and a genera! decline was submitted to. The time operations are very few. At the Second Board, the advices of further disasters tended to repress the reaction which might naturally have been expected. The changes from yesterday are, Erie declined 1 P cent; Reading, under orders to sell from Philadelphia, P cent; N. Y. Central, 21 ₽ cent; Galena, 3 ₽ cent; Rock Island, which advanced yesterday 7 P cent, fell off to day 54 ₽ cent; Michigan Central declined 5 P cent; Toledo, 2 ₽ cent; Michigan Southern, 1 ₽ cent; Pennsylva nia Coal, 1/2 & cent; Pittsburgh, 3 ₽ cent; Milwaukee and Mississippi, 1) P cent; La Crosse, 24 P cent; Cumberland, 11 P cent, &c. Illinois Central was among the steadiest stocks, under orders to purchase about 1,500 shares for English account, received by the last steamer. Delaware and Hudson was steady. The changes in State stocks are less marked than in other descriptions sold to-day. Missouri 6's sold to con. siderable extent at 70, about the previous price. N.Y.5's, 1858 at 96}; California, 54@541; Louisiana 6, 8, Virginias, 841@84 &c. The sales of Railroad Bonds were to moderate extent and price tend downwardin the lack of public confidence in these securities the good and the bad suffer together. Erie 3d Mortgage cold at 50. At this rate this road, with an expenditure of $38,000,000 and earning $5,500,000, is selling for $10,000,000. After the Second Board there was but little doing in the street, and the market, although gloomy, was without important change. The rates of Foreign Exchange are unsettled and the business very small. This difficulty of negotiating bills embarrasses the movement of produce, and may result in the importation of gold to pay for breadstuffs. We are told that already some parcels of gold are on the way from Liverpool for this purpose. The range of Sterling is 5 to 71 ₽ cent, with but few transactions at over 7 cent. The supply of bills is large, and to make sales backers are in many cases obliged to take short bills receivable in payment. Freights are less active. To Liverpool the engagements include Flour at 1s. 6d.; 22,000 bush. Grain at 5d.@6d.; 1,800 bales Cotton at 3.16@7-32d.; 25 boxes Manufactured Tobacco at 2s. To Bremen: 340 hhds. Sugar at 27s. 6d. A schooner with Lumber (yellow pine) from Orange River, Florida, to New. York at $8. The business of the Sub-Treasury was: Receipts $122,881 10 Payments, $297,361 19; Balance, $9,847,440 00. Among the payments to-day was $200,000 for purchasers of stocks by the Department of the Interior, on account of Indian trusts. The financial storm which has been impending at Philadelphia for some time past broke this morning. The contraction of the Banks there has been sharp and very considerable, and the consequence has been the failure of their largest debtors. Crippled by this and by the drain of gold from their vaults to this city, & portion of them have been unable to sustain themselves. The Bank of Pennsylvania, one of the oldest banks in the United States, stopped payment this morning, and immediately & run was commenced on the other Banks. The Girard suspended practically during the morning, paying specie only for its small notes, 58 and 10s. The City, Merchants', Commercial and Sixpenny Savings' Bank adopted the same course. It is hoped that they will resume to-morrow, but this is not probable. The Girard has been in trouble before, and the Bank of Pennsylvania bas been looked upon as dangerous by some far-seeing financiers for several years. The excitement in Philadelphia was of course intense, but it is hoped by the indulgence of the large debtors the remaining banks may sustain themselves. The Cashier of one of them left here to-night with $100,000 of material aid. As the Philadelphia Barke make

7. September 28, 1857 Daily Iowa State Democrat Davenport, IA
Article from Daily Iowa State Democrat, September 28, 1857

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Bank Panicin Philadelphia. Philadelphia, Sept. 25. The Bank of Pennsylvania has suspended specie payment by a resolution of the Board of Directors. The President says the suspension is caused by the action against it, and its losses by the present failures of dry goods men. He says also that it will be only temporary, and that the capital is untouched. The Girard Bank is giving specie for its notes, but checks will not be honored until one o'clock. There is a heavy run on the City Bank, and all the counters are beseiged with do. positors and note holders. There is much alarm, and almost a suspension of business in the city. LATER-1:30 P M. The Girard Bank is only paying specie for tives and tens. Larger notes and checks refused. The Commercial and other banks are taking the same course, promising to resume to-morrow. The excitement is intense. The Penn-ylvania Bank has the State funds, and the Girard Bank those of the city.

8. September 28, 1857 New-York Daily Tribune New York, NY
Article from New-York Daily Tribune, September 28, 1857

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LATEST NEWS. THE RECEIVED BY MAGNETIC TELEGRAPH BANK DIFFICULTIES. THE BANKS OF PHILADELPHIA, PHILADELPHIA, Saturday, Sept. 26, 1857. Third and Chestnut streets are again the scene of excitement. Crowds surrounded the Savings Institutions before 9 o'clock 8. m. out two banks deposits, requiring weeks' They notice. decline The paying were besieged before 10 o'clock. The Pennsylvania Bank reopened, and is transacting business, but paying LO specie. The Mechanics' Bank is paying specie for tens. The Girard Bank has come to terms partially, re. deeming fives with specie, but refusing to honor the checks of depositors. Most of the other banks are marking checks good. There is no concert of action among the Banks each is apparently taking a different course. The Bank of North America is paying specie for tens, but issuing no notes on checks. The Bank of Commerce is refusing specie, but is paying out notes for checks. The following banks are paying specie for 5a: Commercial, Manufacturers and Mechanics', and PhiladelThe Farmers and pay The Northern Liberties pay specie phia. 10s. Mechanics' and Western specie for for bills in cases of necessity. The Bank of Penn Township, and the City Consolidation Bank pag nothing. All banks, however, except the Girard, certify checks. The Girard has entirely suspended business. Some of the banke will receive no deposits. 11:15--a. m. The Girard Bank is now paying specie for fives and certifying checks. The Tradesman's Bank pays everything, checks and all. The Bank of North America is paying all its notes. It received specie from New-York last night, and represents that it has more in its vaults than its amount of bills. It is certifying checks. The Board of Brokers passed a resolution this morning to the effect that all settlements in the purchase of stocks may be made by certified checks on any of the city banks current on the day of settlement. The Southwark Bank pays specie for all its bills. The Bank of Kensington pays for fives only. The Pittsburgh, Harrisburg, Lancaster and Reading banks have suspended. 7 p. m. A meeting of the presidents of the banks was hold this afternoon, and it is reported that a for want of concert of action they adjourned without arriving at any determination. It was thought they would determine on a full suspension, as practiced by some of the banks to-day, but which was not general on account of the North America, Mechanics', and some of the other banks receiving a supply of specie. There was also a meeting of the cashiers of the vs. rious banks, but their action is not yet known. 19 p. m. The bank presidents met to-night. They had & conference with the Governor, and asked him to call a special session of the Legislature for October 6, withthe view of affording relief to the banks from the penalty of forfeiture of charter imposed by the law of 1850. Several of the banks, however, as not acting under this law, including the Pennsylvania, Farmers' and Mechanics', Philadelphia and Western. The Governor expresses a desire to consult Attorney-General Franklin, who is not in town. No doubt the proclamation calling an extra session will be issued on Monday morning. PHILADELPHIA, Sept.27,1857. It is understood that the Governor has determined upon calling a special session of the legislature, to as semble on the first Tuesday in October. The prociamation will be issued to-morrow.

9. September 29, 1857 Richmond Enquirer Richmond, VA
Article from Richmond Enquirer, September 29, 1857

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THE MONEY CRISIS-BANK SUSPENSIONS [From the Philadelphia Ledger of Saturday Morning.] Yesterday morning, after 8 quiet run for three or four days, the Bank of Pennsylvania acknowledged its inability to meet its liabilities in coin, and closed its doors. The fact soon spread over the city, and a run was immediately commenced on the other banks. At first all paid both circulation and deposites in coin. In about an hour the Girard Bank and the Commercial Bank stopped the payment of their deposites, but continued the payment of their circulation. All the other banks paid all demands throughout the day The Pennsylvania Bank, since Monday last, has paid out over three hundred thousand dollars in coin and the other banks yesterday paid out over one million and 8 half: making an addition to the amount of coin in the hands of the public, in the last three or four days, of over eighteen hundred thousand dollars. The run being 80 general at all the banks. and 80 very decided that the banks felt it ut. terly impossible to continue on, and in the afternoon, after the closing of the banks, 8 conference of the Presidents of all the banks was held, which resulted in a recommendation to suspend the payment of specie, to-day until further notice. This course seem. forced upon the banks, however objectionable it may be considered by the community. Such results are incidental to the prevailing system of bank credit.We have had repeated warnings in our financial history of the effects of undue expansions of credit; but in times of seeming prosperity which they create, it is difficult to convince the public of their danger, 80 that A sufficient check shall be put upon the evil. In times of disaster like the present, there is, however, 8 lesson to be learned, which may eventually impose such restraints upon the system as will make it con ducive to the interests of business, without subjecting it periodically to such terrible prostrations.

10. September 29, 1857 New-York Daily Tribune New York, NY
Article from New-York Daily Tribune, September 29, 1857

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BANK DIFFICULTIES. THE PHILADELPHIA BANKS. PHILADELPHIA, Monday, Sept. 28, 1857. The Banks are pursuing the same course to-day that they pursued on Saturday. The Girard Bank is paying out specie on five dollar bills, and the Mechanics' and Southwark on all their notes. The Bank of North America suspended about 11 o'clock, and the suspension will now probably become general. PHILADELPHIA, 12 M. The Mechanics' Bank now redeems notes of $5 only. The following banks also redeem fives only: The Consolidation, the Northern Liberties, the Mechanics' and Manufacturers', the Commercial, the Western, and the City. The Philadelphia Bank pays out no specie, but redeems checks with its own notes. PHILADELPHIA-1 p. m. The Pennsylvania Bank is now paying out its own notes for checks, but refuses specie. The Mechanics' and Manufacturers' Bank is paying no specie. All the Banks of the city have changed their course since the opening hour. Some of them refuse to certify checks, but give due-bills to deposit with other Banks. It is just rumored on the street that the Governor refuses to issue a proclamation calling the Legislature together, unless the Pennsylvania Bank is placed OR & par with the other Banks, and her notes received on deposit. All is confusion and disorder, but it is not attended with the excitement that has existed in former days of trouble. Every kind of business is completely paralyzed, and it is impossible to make collections. 9 P.M. The Board of Trade have determined to call a meeting for & public expression of the various business interests of the city, with reference to the proposed legalization of the suspensions, believing that the best interests of the community and the State will be subserved thereby. It was suggested at the meeting of the Board this evening that where parties have notes protested only because they refuse to pay other than in par currency, it is the duty of the collecting bank or agency to have that fact made as public as the protest. The Presidents of the Banks have agreed to rectore the Bank of Pennsylvania to & position at the ClearingHouse and to receive its notes and discount liberally for their customers. Had this been sooner done there would have been no suppensions. SPECIAL SESSION OF THE LEGISLATURE. The proclamation of the Governor to convene an extra session of the Legislature will be published to. morrow morning. The proclamation saye: Whereas & perious financial revulsion resulting in the suspension of epecie payments by the Backs of this and other States, and wheresa, the fatlure of many long established commercial houses is leading to the destruction of confidence and to a general embarrasement and deprese on in trade, and is threatening to affect, disastrously. the credit of the Commonwealth and the great industrial interests of the people, and it requiring prompt and efficient action to relieve the alarmed and suffering community, therefore, I convene the Legislature, to meet on the 6th of October, and adopt such measure as the present exigency requires." The Governor has not yet determined what course to pursue regarding a special session of the Legisla. ture. Two Committees-one from the Banks-are now in private conference with him. Much feeling is said to exist between the banks-some, which are incorporated under the old law, and do not forfeit their charter, opposing the call of the Legislature. It is stated that if the Governor does not countermand his order, the proclamation will be issued to-morrow morning.

11. September 30, 1857 Staunton Spectator Staunton, VA
Article from Staunton Spectator, September 30, 1857

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# THE SUSPENSION IN PHILADELPHIA. A letter from Philadelphia, written on Saturday, says: The excitement produced by the Bank suspensions yesterday has been extensive. Almost immediately upon the announcement that the Bank of Pennsylvania had ceased to pay specie, the Girard, Mechanics', Commercial, Farmers' and Mechanics', Western, Philadelphia and other Banks were beset by anxious note-holders, demanding specie. In an incredible short period of time, the tide of emigration flowed into the buildings of all these concerns, and the panic became general. The police were stationed about in the different Banks, to prevent any regular outbreak. Speeches, arguments, exclamations, inquiries and denunciations were rife upon the prevailing topic. Some funny scenes were enacted in the crowd. One rough and powerful looking fellow, evidently from the rural districts, went about flourishing a bag of gold which he had just obtained for some notes which he happened to present in time. At a meeting of Bank officers held yesterday afternoon it was resolved that the payment of specie for the notes or other obligations of the Banks should be suspended this morning, and that it is therefore understood, that whilst all our Banks will be open for business as usual, coin will not be paid out. This course has very wisely been determined on, with a view to sustain and, indeed, to save the business community. Properly viewed, it is a measure of self protection in which our citizens are all interested. # THE SUSPENSION IN BALTIMORE. The Baltimore American of Monday, referring to the Bank suspension in that city, says: The immediate effect of the suspension on Saturday was to brighten the aspect of commercial affairs and relieve the apprehensions so constantly prevailing for the past month. The price of money fell from 2 1-2 to 1 1-2 per cent. and an advance of prices occurred at the stock board. The disasters that threatened the business community have thus been arrested, and the general feeling among the merchants was one of approval of the course adopted by the Banks. According to a rigid construction of the charter of our Banks they forfeit their corporate franchises by the suspension, but inasmuch as it has been general and was invoked by an unavoidable necessity, to disregard which would have produced the worst results, there will be no hesitation on the part of Legislature in taking any action that the contingency may require. # RAISING THE CENTRAL AMERICA. The New York Post says that negotiations are going on between the Boston Submarine Armor Company and the underwriters of the Central America, to raise her hull, which is supposed to lie in about 28 fathoms water. The specie in her alone would furnish ample inducement for the experiment, if her position can be accurately fixed, and that it can, is probable, from the fact that Captain Herndon was reported to have given her position to the vessel which refused to come to his relief. Should the work be undertaken promptly, there is thought to be a reasonable chance of success. It is now positively known that Dr. Tate, of Virginia, has been appointed Sixth Auditor of the Treasury, in the place of Col. Phillips; and James Madison Cutts, father-in-law of Senator Douglas, has been appointed Second Comptroller vice Mr. Brodhead removed.

12. October 1, 1857 The Weekly Pioneer and Democrat Saint Paul, MN
Article from The Weekly Pioneer and Democrat, October 1, 1857

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The Financial Troubles. The telegraph still comes laden with sad news of financial troubles in the East, but with an occasional ray of hope, looking to wards a clearing away of the heavy cloud now hanginig over the country. New York appears to be gradually recovering, so far as her bankers are concerned; but with her merchants. the trouble is not yet over. The locus of attraction, at latest accounts. was Philadelphia, the staid old city of the Quakers. with a reputation for commercial and monetary strength equal to any city on the sea-board. Under Philadelphia dates of the 25th. it is announced that the old Bank of Pennsylvania has suspended specie payment, by a resolution of the Boar 1 of Directors. The President says that the suspension was caused by a run against it and its losses by recent failures of dry goods men. He says, also, it will be only tempo rarily, and the capital is untouched. But not only was this old firm Bank in trouble. The Girard. Commercial, and other prominent Banks, on the same day, had decided not to honor any checks upon them, until 1 o'elock of the day, but were paying out specie on their 85 and $10 bills. The Girard Bank holds the funds of the City, and the Bank of Pennsylvania those of the State. There was a very heavy run upon the as also upon the Bankers and great excitement prevailed, and an almost total suspension of business was the consequence. The latest and most important Philadelphia failures, are those of LEVY & Co., silk dealers; SMITH. MURPHY & Co., dry goods merchants: H. BENNEDICT & Co., paper dealers; and FASSETT & Co., a very extensive house. Throughout the interior of New York, numerous failures are being announced. In St. Louis, there was great alarm on Wednesday, but happily, the next day it had subsided, and the business community were feeling better, and congratulating themselves, that they would escape. So far the west has suffered comparatively Tittle; but the end is not over. Every hour of financial disturbance in the east is fraught with incalculable troubles throughout the west. There has been a bountiful harvest gathered, and on the moving forward of that harvest to the east immediately depends the financial salvation of the west. As yet, the only buyers for sixty millions of bushels of wheat in the Chicago market, have been from Canada, and they only to the extent to carry off one-sixtieth part of this surplus. The embarrassments in New York have prevented the merchants of that city from buying up the grain: and if these embarrassments continue until towards the close of lake navigation, the grain cannot go forward. and the indebtedness of the west can. not be paid. The west depends upon her grain to pay her indebtednoss to the east. She has nothing else to pay with, and this grain must go forward immediately, or the east must wait until next spring. This would be a disaster much more fatal to the commercirl prosperity of the east, than the present difficulties. Speaking of this subject, the Chicago Times remarks: But to forward grain to the East regires a reliable market. Who can tell thatan Eastern consignee will be solvent whenthe grainreach es him? This is a vital question. So great is the uncertainty that the probabilities now are that unless our grain be bought here by East ern parties, navigation will close and leave the West unable to discharge its debts, and the East demanding its money by forced proceed ings In that hour strong indeed will be the men who can bear up against the storm. If the West would escape the awful pressure of such an hour. the grain.must go forward before the close of navigation. The only means, then. of preservation, the only means of averting a

13. October 2, 1857 Bedford Inquirer and Chronicle Bedford, PA
Article from Bedford Inquirer and Chronicle, October 2, 1857

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BANK PANIC IN PRILADELPHIA! SUSPENSION OF SPECIE PAYMENT! The Philadelphia Bulletin of Friday evening last says: The Bank-of Pennsylvania this morning determined to suspend specie payments, and the announcement caused considerable commotion in the streets. A run was commenced on several of the other Banks, but they met the demand promptly. and paid out the specie BR fast as possible. The official notice of the suspension of the Bank of Pennsylvania is as follows: "BANK OF PENNSYLVANIA, PHILADELPHIA, Sept. 25, 1857. "This Bank, having been compelled to temporarily suspend specie payments, the Board of Directors assure all persons having claims against the Bank, whether of discount, deposit, or otherwise, that no loss can possibly occur. By order and in behalf of the Board of Directors. THOMAS ALLIBONE, President." The suspension of the Pennsylvania Bank, the run upon the other Banking Institutions, and the general distrust which exists, has completely unsettled the Stock market, and prices of all descriptions are lower and unsettled. The feeling throughout was most gloomy, and at the close there were no fixed quotations. In Exchanges there is nothing doing and trade in all departments is temporarily suspended. We are requested to announce that the notes of the Bank of Northumberland will hereafter be redeemed at the Bank of the Northern Liberties. There was a heavy run on all the Banks in the city, Their counters were beseiged all day with depositors and note holders, and much excitement prevailed in the streets. As long as the Banks continued to pay, however,i went off good humoredly. The Girard, Commercial, City Bank. and some others paid out specie only for fives and tens, larger notes and checks being refused for the time being. P: ILADELPHIA, Sept. 26, A. M. All the Banks in the city suspended specie payments this morning. This was unanimously resolved upon at a meeting of the Presidents of all the Banks yesterday

14. October 3, 1857 The Weekly Minnesotian Saint Paul, MN
Article from The Weekly Minnesotian, October 3, 1857

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Bank Failures. Philadelphia, Sept. 25. The Bank of Pennsylvania has suspended specie payment, by a resolution of the Board of Directors. The President says the suspension is caused by the action against it, and its losses, by the recent failures of dry goods men. He says, also, it will be only temporarily, and that the capital is untouched. The Girard Bank is giving specie for its notes, but checks will not be honored till 1 o'clock. There is a heavy run on the city banks, and all the counters of the banks are besieged with depositors and bill holders. There is much alarm and almost a suspension of business. The Girard Bank only is paying specie for five's and ten's. Larger notes and checks are refused. The Commercial and other Banks are taking the same course, promising to redeem tomorrow. The excitement is intense. The Pennsylvania Bank has the State fund, and the Girard Bank those of the city.

15. October 6, 1857 Arkansas True Democrat Little Rock, AR
Article from Arkansas True Democrat, October 6, 1857

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Suspension of Specie Payments in Baltimore. BALTIMORE, Saturday, Sept. 26. At a meeting of the Bank Directors this morning it was resolved to suspend specie payment on all notes. Later. The suspension since 10 o'clock has been total, with the exception of small change furnished customers. Failures. New York, Sept. 25.-The Bank of Medina has failed, also the large book auction house of Messrs. Bangs & Bros, New York city. [From the Baltimore Sun. Bank News. PHILADELPHIA, Sept. 25--The Bank of Pennsylvania has suspended specie payments by resolution of the board of directors. There is much excitement in the city this morning in consequence. [Second Dispatch.] PHILADELPHIA, Sept. 25.- The Bank of Pennsylvania's suspension is complete, but the president says it is caused by the action of the other banks against it, and losses sustained from recent failures by dry goods men. He also says it will be only temporarily, and that the capital of the bank is untouched. The Girard Bank is giving out specie for notes, but checks will not be honored till 1 o'clock. There is a heavy run on the City Bank, and all the counters of the bank are beseiged with depositors and note holders. There is much alarm and almost a total suspension of business. [Third Dispatch.] PHILADELPHIA, Sept. 25, 11/2, P. M.-The Girard Bank is only paying specie for 5's and 10's, the larger notes and checks being refused. The Commercial Bank and several others are taking the same course. The excitement is intense. The Bank of Pennsylvania has the State funds, and the Girard Bank the city funds. [Fourth Dispatch.] PHILADELPHIA, Sept. 25-evening.--A general conference of the presidents of all the city banks was held this afternoon, and after carefully canvassing all the circumstances of the pressure and their resources, they resolved on a

16. October 9, 1857 Vermont Watchman and State Journal Montpelier, VT
Article from Vermont Watchman and State Journal, October 9, 1857

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LIST OF SUSPENDED BANKS TO SEPT. 25TH. Meusam River Bank, Sanford, Maine. Canton Bank, South China, Maine. Ellsworth Bank, Maine. Exchange Bank, Bangor, Maine. Sanford Bank, Sanford, Maine. Exter Bank, New Hampshire. Danby Bank, Vermont. South Royalton Bank, Vermont. Bank of the Republic, Providence, R. I. Bank of South County, Wakefield, R. I. Farmers' Bank, Wickford, R. 1. Mount Vernon Bank, Providence, R. I. Tiverton Bank, Fall River, R. I. Warwick Bank, Warwick, R. I. Merchants' Exchange Bank, Bridgeport, Ct. Colchester Bank, Conn. Bank of Orleans, Albion, New York. Hollister Bank, Buffalo, New York. Niagara River Bank, Tonawanda, N. Y. Oliver Lee & Co.'s Bank, Buffalo, N. Y. Ontario County Bank, Phelps, N.Y. Ontario Bank, Utica, N. Y. Reciprocity Bank, Buffalo, N. Y. Sackett's Harbor Bank, Buffalo, N. Y. American Bank, Trenton, N. J. Bank of New Jersey, New Brunswick, N.J. Bergen County Bank, Hackensack, N. J. Bank of Kanawha, Virginia. Trans-Allegany Bank, Virginia. Bank of Commerce, Georgetown, D. C. Canal Bank, Cleveland, Ohio. City Bank, Cincinnati, Ohio, Seneca County Bank, Tiffin, Ohio. Miami Vally Bank, Dayton, Ohio. Clinton Bank, Columbus, Ohio. Columbus City Bank, Columbus, Ohio. Union Bank, Sandusky, Ohio. Agricultural Bank, Brownsville, Tenn. Bank of West Tennessee. Bank of the Capitol, Indianapolis, Ia. Central Bank, Indianapolis, la. Bank of Elgin, Elgin, Illinois. Rock River Bank, Beloit, Wisconsin. Pennsylvania Bank, Philadelphia. Girard Bank, Phiadelphia. Bank of Canandaiagua, Canandaigua. Western Bank, Lockport, N.Y. Commercial Bank, Philadelphia. Six Penny Savings Bank, Rochester, N. Y. Albany Eve. Journal.