State Savings Bank - Chariton, IA

Bank Information

Episode Type: Run Only
Bank Type: savings bank
Start Date: November 23, 1912
Location: Chariton, Iowa (41.014, -93.307)

Metadata

Model: gpt-5-mini
Short Digest: d3b28f86

Response Measures

Accommodated withdrawals

Description

A heavy run occurred (paid out about $50,000) on or about Saturday Nov. 23, 1912, driven by rumors and anxiety over the president's absence and VP's illness and an alleged large loan. The bank met all demands and funds flowed back the same day; no suspension or closure is mentioned.

Events (1)

1. November 23, 1912 Run

Cause: Rumor Or Misinformation
Cause Details: Rumors and local nervousness amplified by the president's recent absence and the vice president's hospitalization; statements that the bank had become embarrassed by a large loan.
Measures: Paid out about $50,000 in cash; president and vice president were present to meet depositors; business men redeposited funds, restoring confidence.
Newspaper Excerpt: Rumors set afloat by a few irresponsible parties caused a heavy run on the State Savings bank at Chariton last Saturday... the institution was able to meet every demand made upon it and was ready to pay cash as long as depositors called for it.
Source: newspapers

Newspaper Articles (1)

1. November 26, 1912 Ottumwa Tri-Weekly Courier Ottumwa, IA

Article from Ottumwa Tri-Weekly Courier, November 26, 1912

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Article Text

CHARITON BANK PAIDOUT $50,000 bank RUN DID NOT SERIOUSLY AFFECT BANK; BUSINESS MEN MAKE DEPOSITS. Chariton, Nov. 25.-Rumors set afloat by a few irresponsible parties caused a heavy run on the State Savings bank at Chariton last Saturday, but the institution was able to meet every demand made upon it and was ready to pay cash as long as depositors called for it. The president of the bank, J. A. Brown, had just returned a few days before from an extended trip to Boise, Idaho, and last week Webb Hultz, vice president of the institution, was compelled to go to the hospital in Des Moines for medical treatment. These things, together with the statement that the bank had become embarrassed through a large loan upon which it could not realize, were largely instrumental in causing the flurry. The failure of the First National bank here five years ago is still vivid in the minds of the people of Lucas county. It is stated here that Mr. Brown is the owner of 2,500 acres of Lucas county land without a dollar against it, and owns as much more Iowa land elsewhere. The bank also owns $70,000 capital and surplus and has been doing an excellent and conservative business. Both Mr. Brown and Mr. Hultz were in the bank all day Saturday and the institution paid out in cash about $50,000. Late in the aft, ernoon money commenced to flow back into the bank, placed there by business men of the community and by the frightened depositors who had recovered from their scare.