National Bank - Abbeville, SC

Bank Information

Episode Type: Run → Suspension → Closure
Bank Type: national
Bank ID: 3421
Charter Number: 3421
Start Date: January 8, 1925
Location: Abbeville, South Carolina (34.178, -82.379)

Metadata

Model: gpt-5-mini
Short Digest: a7d005f7

Response Measures

Full suspension, Books examined

Other: Bank later went into receivership and paid dividends to depositors.

Receivership Details

Depositor recovery rate: 92.0%
Date receivership started: 1925-02-07
Date receivership terminated: 1929-07-15
OCC cause of failure: Economic conditions
Share of assets assessed as good: 50.8%
Share of assets assessed as doubtful: 28.3%
Share of assets assessed as worthless: 20.9%

Description

Multiple contemporaneous reports (Jan 8–9, 1925) state withdrawals and wild rumors by large depositors forced directors to close the bank pending a national bank examiner. Later (May 15, 1925) the paper reports payment of dividends (50%), indicating the bank remained closed and was in receivership/liquidation. 'Run' was driven by rumors, not a specific corrected miscommunication.

Events (5)

1. December 16, 1885 Chartered

Source: historical_nic

2. January 8, 1925 Run

Cause: Rumor Or Misinformation
Cause Details: Wild rumors circulating locally caused large depositors to withdraw funds, threatening a run.
Measures: Directors called a meeting and closed the bank's doors; comptroller notified and a national bank examiner requested.
Newspaper Excerpt: Wild rumors floating around for the past several days caused some of the largest depositors to become uneasy withdrawal of funds started ... threatened to develop into a run on the bank
Source: newspapers

3. January 8, 1925 Suspension

Cause: Rumor Or Misinformation
Cause Details: Directors closed the bank to halt withdrawals threatened by depositors reacting to rumors; closure was pending arrival of a national bank examiner.
Newspaper Excerpt: This bank has been closed temporarily by the order of the board of directors.
Source: newspapers

4. February 7, 1925 Receivership

Source: historical_nic

5. May 15, 1925 Receivership

Newspaper Excerpt: The National bank of Abbeville, which closed its doors in January, commenced this afternoon to pay out to depositors their first dividends. The amount to be paid out is $195,000, which is 50 per cent. of the amount when the bank failed.,cause:null,cause_details:null } ] }
Source: newspapers

Newspaper Articles (5)

1. January 9, 1925 The Greenville News Greenville, SC

Article from The Greenville News, January 9, 1925

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Article Text

DIRECTORS CLOSE ABBEVILLE BANK Notice On National Bank Doors Says Closing Only Temporary. ABBEVILLE Jan. 8.-(Special) National Bank closed its doors here this morning due to threatened by depositors. Shortly before the following notice was posted on the closed doors: "This bank has been closed temporarily by the order of the board of directors." Wild rumors floating around for the past several days caused some of the largest depositors to become uneasy withdrawal of funds started continuing this to develop run on the bank which the officials call of the directors who decided to close the doors the tutlou pending the arrival of National bank examiner and the comptroller of the currency at ton notified of this National Bank the oldest bank in this section. having been organized number years ago, with the late Andrew Wardlaw as and Lewis Perrin, teller. On the deach of Mr. Allen Smith, was elected president and has continued in position for 25 to 30 years. The bank has ways been as strong the officials now think is conditioned. has withstood all panics and has enjoyed the of the heard of directors is composed of Allen Smith. A. Smith, Morse, W. M. Barnwell, and Lewis Perrin.

2. January 9, 1925 The Charlotte Observer Charlotte, NC

Article from The Charlotte Observer, January 9, 1925

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Article Text

RUN THREATENS DUKE ENDOWM'T NATIONAL BANK BECOMES ACTIVE Abbeville Concern Closes Doors Makes Survey of Institutions Under Directors' Orders. in Two Carolinas. Comptroller of Currency Has Been Notified and Asked to Send an Examiner. Special to The Observer ABBEV ILLE, S. C., Jan. 8.-The National bank closed its doors here this morning. due to a threatened run by large depositors. Shortly before noon the followh notice was pasted the closed doors: "This bank has closed temporarily by the order of the board of Wild rumors floating around for the past days some of the largest depositors to become uneasy and withdrawal of funds, started yesterday afternoon and con tinuing this morning, threatened develop into the bank. which caused the officials to call meeting of the decided close the doors of the institution pending the of Na tional Bank examiner. The comptroller of the currency at Washing ton was notified of this action The National Bank is the oldest bank In this section, having been organized number of years ago with late Andrew Wardlaw as and Questionnaires Have Been Sent Out as Basis for Preferential Treatment. Special to The Observer institutions, together with the other countries in state and South Carolina, will receive portion the fund established on December by James B. Duke The division of the endowment in which Forsyth and the other counties of both North and South Carolina will par- president. B. S. Barnwell, cashier, and Lewis Perrin teller On the death of Mr Ward'aw Allen Smith, was elected president, and has continued in this position at least 25 or 30 The bank has regarded as financially strong. and the officials now think It condition. has all panics and has enjoyed the confidence of the public. The board of directors is composed of Allen Smith, Sr., A. Smith, S. Morse, W. M. Barnwell Lewis Perrin

3. January 9, 1925 The Index-Journal Greenwood, SC

Article from The Index-Journal, January 9, 1925

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Article Text

CLOSING OF BANK SHOCKS RESIDENTS Abbeville People Sur- prised at Action. Other Items Index-Journal Bureau, Abbeville, C. Abbeville, S. C., Jan. clos ing of the doors of the National Bank here yesterday was a great shock to the people of the community. It is understood that wild rumors floating around for the past few caused some of the largest depositors to become uneasy. and withdrawal of funds began Wednesday afternoon, and continuing Thursday morning threatened to de velop into a run on the bank This caused the officials to hurriedly call directors meeting and at this meeting it was decided to close the doors of the institution pending the arrivdi of a National Bank Examiner The Comptroller of the Currency at Washington was notified of the action taken and asked to send a representative to take charge. The National Bank of Abbeville is the oldest bank in this section having been organized many years ago with the late Andrew Wardlaw. as president. B. S. Barnwell, cashier. and Lewis Perrin teller. Upon the death of Mr. Wardlaw. J. Allen Smith. Sr., was elected president and has held this position for the past twenty-five or thirty year.s The bank has always been regarded as Conneially strong bank and the offi cials now believe it is in solvent condition. It has withstood all the panies of the past and has enjoyed the confidence of the public. The Board to Directors is composed of J. Allen Smith, Sr., A. M. Smith. J. S. Morse, W. M. Barnwell and Lewis Perrin. The bank examiner is expected to arrive today. Abbeville County has thirty pris opers on the chain gang. according Sheriff McLane, this morning. Three more white prisoners are ex pccted 10 report back here in ten days to start serving sentences. That makes an even thirty-three. Dr H. McMurray received telegram from Dr. R. H Brice this morning at Miami. Florida. Dr. Brice is stopping at the Tamiami Hotel and reports a safe and pleasant trip down. He goes from Miami to Sarasota where he will in all probability locate. Mrs. Brice is visiting here until he gets settled.

4. January 10, 1925 The Gaffney Ledger Gaffney, SC

Article from The Gaffney Ledger, January 10, 1925

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Article Text

NATIONAL BANK IS CLOSED TO AVOID RUN Directors of Abbeville Institution Halt Withdrawals by Large Depositors. Jan. National Bank closed its doors here this due threatened run by large depositors. Shortly before noon the following notice was the closed doors: "This bank on has closed temporarily by order the board of directors." Rumors floating around for the past several days caused some the largest depositors become and withdrawal funds uneasy started afternoon and continuing this morning threatened develop into the bank, caused the officials to call meeting the directors, who cided close the doors the stitution pending the arrival of national officials the bank said. The comptroller the currency was tified this The National Bank one of the oldest banks this section, having been organized number years with late Andrew Wardlaw president; H. Barnwell and Louis Perrin, teller. On the Mr. Wardlaw, Allen Smith, elected president and has continued in that position 25 30 years. The bank always been regarded financially strong the officials think in solvent dition. has withstood all and the confidence the public. The board of directors composed of Smith, Smith, Morse, Barnwell and Lewis Perrin.

5. May 15, 1925 The State Columbia, SC

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Article Text

PAYING DEPOSITORS National Bank of Abbeville Commences Reimbursements. Special to The State Abbeville, May The National bank of Abbeville, which closed its doors in January, commenced this af. ternoon to pay out to depositors their first dividends. The amount to be paid out is $195,000, which is 50 per cent. the amount when the bank failed. H. M Kirkman states that other dividends will be paid out from time to time as collections are made. Women Pilots Barred. Lincoln, Eng.- have been barred from any employment in the operating crews of airplanes engaged In the transport of passengers by the international of air navigation which met here recently. In making this decision the commission reaffairmed conclusion reached by medical subcommission some time ago.