20839. Merchants Savings Bank (Memphis, TN)

Bank Information

Episode Type
Suspension → Closure
Bank Type
savings bank
Start Date
December 27, 1905
Location
Memphis, Tennessee (35.150, -90.049)

Metadata

Model
gpt-5-mini
Short Digest
098c1899

Response Measures

None

Description

Multiple contemporaneous articles (published Dec 27–29, 1905) report the Merchants Trust Co. closed with a receiver and that the allied Merchants Savings Bank suspended. The trust company's failure is attributed to overloans/discounts; the savings bank is described as a small allied institution that suspended. None of the clippings states explicitly that the Merchants Savings Bank later reopened; the Merchants Trust Co. was placed in receivership. Because the savings bank was suspended in direct connection with the trust company's collapse and no reopening is reported, I classify this as suspension leading to closure. If further sources show the savings bank later resumed, episode_type should be revised.

Events (2)
1. December 27, 1905 Other
Newspaper Excerpt
The Merchants Trust Co., has closed its doors and a receiver has been appointed. The institution has a capital stock of $200,000. The American Savings and Trust Co. and the Merchants Savings bank, small subsidiary concerns, also suspended.
Source
newspapers
2. December 27, 1905 Suspension
Cause
Bank Specific Adverse Info
Cause Details
Suspension occurred as allied institutions to the Merchants Trust Co., which closed and went into receivership because of overloans/discounts; the savings bank suspended as a small subsidiary/ally of the failed trust company.
Newspaper Excerpt
The American Savings and Trust Co. and the Merchants Savings Bank have suspended business.
Source
newspapers

Newspaper Articles (6)
1. December 27, 1905 The Fargo Forum and Daily Republican Fargo, ND
Article from The Fargo Forum and Daily Republican, December 27, 1905

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Article Text

A TRIO OF FAILURES TRUST CONCERNS OF MEMPHIS WENT BUMP Merchants Trust Co. Has a Receiver -Its Failure Pulled Down Another Trust Company and a Savings Bank - -Had $200,000 Capital Stock. Memphis, Tenn, Dec. 27.-The Merchants Trust Co., has closed its doors and a receiver has been appointed. The institution has a capital stock of $200,000. The American Savings and Trust Co. and the Merchants Savings bank, small subsidiary concerns, also suspended.

2. December 27, 1905 The Roswell Daily Record Roswell, NM
Article from The Roswell Daily Record, December 27, 1905

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Article Text

LITTLE EXCITEMENT Trust Company Drags Downs Two Smaller Institutions in its Train.Condensed Statement Showing Assets and Liabilities.-$30,000 Actual Cash on Hand. Memphis, Tenn., Dec. 27.-The Merchants' Trust Company has closed its doors and a receiver has been appointed. The institution had a capital of $200,000. The American Savings Bank and Trust Company and the Merchants' Savings Bank have suspended business. These are small institutions allied with the Merchants Trust Company. The cause of the suspension of the Merchants' Trust Company is said to have been loans and discounts. The Merchants' Trust Co. recently absorbed the Memphis National Bank, and it is stated owns the controlling stock of the American Savings Bank and Trust Co. The latter institution has practically absorbed the Mechanics' Savings Bank. The suspension of the three institutions caused but little excitement in financial circles. A condensed statement of the conf dition of the Merchants' Trust Co. at the close of business Dec. 26 was given out, as follows: Total assets $3,665,055; indebtedness of every character to depositors, $3,132,319. All other obligations exclusive of cap ital stock, $889,058. Cash actually on hand, $30,000. New York, Dec. 27.-The American Savings Bank and Trust Company of Memphis, according to a recent statement, owed depositors $625,000.

3. December 27, 1905 The Daily Tribune Florence, CO
Article from The Daily Tribune, December 27, 1905

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Article Text

THREE BANKS FAIL TO OPEN DOORS Memphis, Tenn., Treated to a Financial Crisis. Holiday Reverie of Southern City Spoiled by Big Bank Failures and Threatened Run on Others. Memphis, Tenn., Dec. 27 - Three banks of this city failed to open their doors this morning and at noon great excitement prevails throughout the city. No doubt a run will be made on other financial institutions unless the Chicago Clearing House soheme is repeated. The banks closed are: The Merchants Trust Co., with a capital of $200,000. The American Savings Bank and Trust Co. Merobants Savings Bank. All three institutions were consider. ed strong and had the ocnfidence of the public.

4. December 29, 1905 The Clarksburg Telegram Clarksburg, WV
Article from The Clarksburg Telegram, December 29, 1905

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Article Text

THREE BANKS CLOSE DOORS By Associated Press. Memphis, Tenn., Dec. 27-The Marchants Trust Company closed it uir today and a receiver has been inted. Felix T. Pope is presia of the Merchants Trust Company. The institution has a capital stock of $200,000. The American Savings Bank and Trust Company and the Merchants Savings Bank have also suspended business. These are small institutions and allies with the Merchants Trust Company. The Merchants Trust Company will go out of business. One of the difectors says the three concerns will pay dollar for dollar. The cause of the suspension is said to be overloans on discounts.

5. January 3, 1906 The Miller Sun Miller, SD
Article from The Miller Sun, January 3, 1906

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Article Text

BANKS GO UNDER. Three Memphis. Tenn., Institutions Close Their Doors. At Memphis, Tenn., the Merchants' Trust Company has closed its doors and a receiver has been appointed. Felix T. Pope is president. The institution has a capital of $200,000. The American Savings Bank and Trust Company and the Merchants' Savings Bank have suspended. These are small institutions allied with the Merchants' Trust Company. According to a recent statement, the Merchants' Trust Company owed depositors $605,000. The cause of the suspension of the Merchants' Trust Company is said to have been overloans on discounts.

6. January 4, 1906 Valentine Democrat Valentine, NE
Article from Valentine Democrat, January 4, 1906

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Article Text

BANKS GO UNDER. Three Memphis, Tenn., Institutions Close Their Doors. At Memphis, Tenn., the Merchants' Trust Company hasclosed its doors and a receiver has been appointed. Felix T. Pope is president. The institution has a capital of $200,000. The American Savings Bank and Trust Company and the Merchants' Savings Bank have suspended. These are small institutions allied with the Merchants' Trust Company. According to a recent statement, the Merchants' Trust Company owed depositors $605,000. The cause of the suspension of the Merchants' Trust Company is said to have been overloans on discounts.