6066. First National Bank (Martinsville, IN)

Bank Information

Episode Type
Run Only
Bank Type
national
Bank ID
794
Charter Number
794
Start Date
June 29, 1903
Location
Martinsville, Indiana (39.428, -86.428)

Metadata

Model
gpt-5-mini
Short Digest
1a88c4bc

Response Measures

Accommodated withdrawals, Capital injected

Other: Leading businessmen made large deposits to reassure depositors; bank paid withdrawals normally.

Description

Short, discrete run triggered by a specific misunderstanding (country depositor misread 'closed' placard). Bank remained open and returned to normal after leading business men made large deposits. Date inferred as 1903-06-29 (Monday) from contemporaneous reports.

Events (1)

1. June 29, 1903 Run
Cause
Rumor Or Misinformation
Cause Details
A country depositor saw a placard 'closed' after hours, mistakenly thought the bank had suspended; the report spread and triggered withdrawals.
Random Run
Yes
Random Run Snippet
Countryman saw 'closed' sign; thought bank suspended; false report
Measures
Leading local business men made large deposits and reassured depositors; bank continued normal operations.
Newspaper Excerpt
There was a short run on the First National Bank here Monday, caused by an innocent depositor who came from the country to the bank Saturday, after closing hours, to make a deposit.
Source
newspapers

Newspaper Articles (4)

Article from The Washington Times, June 30, 1903

Click image to open full size in new tab

Article Text

INNOCENT DEPOSITOR CAUSES RUN ON BANK MARTINSVILLE, Ind., June 30.-There was a short run on the First National Bank here Monday, caused by an innocent depositor who came from the country to the bank Saturday, after closing hours, to make a deposit. Seeing a placard "closed" hanging against the glass inside, he thought that the bank had suspended. The report gained headway and could not be stopped. As a result there was a run of an hour and a half. A number of leading business men made large deposits, which soon assured the frightened depositors that their money was safe.


Article from The Indianapolis Journal, June 30, 1903

Click image to open full size in new tab

Article Text

FEARS OF A COUNTRYMAN Cause a Brief Run on a National Bank at Martinsville. Special to the Indianapolis Vournal. MARTINSVILLE, Ind., June 29.-The First National Bank of this city suffered considerable annoyance to-day when it opened for business by having a run of an hour or two of small depositors for what little money they had on deposit. The run was caused by an innocent country deposit tor, who came to town about 4 o'clock Saturday afternoon and went to the bank to make a deposit. Banks here formerly closed at 4 o'clock, but have been closing at 3 o'clock each day for two years past, but the depositor did not know this. When he stepped up to the bank door Saturday and saw the placard "closed," and asked a bystander what it meant that the door was closed, the bystander said, "have closed up," meaning for the day. The man wanting to make the deposit took it that the bank had suspended and the report started from this. After the matter was explained to the countryman's satisfaction, it was too late to recall it, for the report spread rapidly and was freely talked of all day Sunday. Depositors were in town early from the country, and could not altogether be persuaded that all was right, and a small run occurred that lasted for an hour or two, but of no great proportions. In the neighborhood of $10,000 was withdrawn, but the bank had about $90,000 available cash, and more if need be. Business men of the city responded quickly and aided in trying to quiet the fears of those who had deposits and were successful in stemming the tide after a little time. Many of the heavier depositors during the two hours of the run made heavy deposits, which soon assured the timid ones that the bank was not regarded at all shaky, and the bank this afternoon was running along in its usual normal condition.


Article from Alexandria Gazette, June 30, 1903

Click image to open full size in new tab

Article Text

Caused a Run on the Bank. Martinsville, Ind., June 30.-There was a short run on the First National Bank here Monday caused by an innocent depositor who come from the country to the bank Saturday after closing hours to make a deposit. Seeing a placard "closed," hanging against the glass inside, he thought that the bank had suspended. The report gained headway and could not be stopped. As a result there was a run of an hour and a half. A number of leading business men made large deposits which soon assured the frightened depositors that their money was safe.


Article from The Plymouth Tribune, July 2, 1903

Click image to open full size in new tab

Article Text

FARMER CAUSES A RUN ON A BANK Mistook the Significance of the Placard "Closed" and Spread a Report of Suspension. Martinsville, Ind., July 1.-There was a run on the First National bank here, caused by an innocent depositor who came from the country to bank after closing hours to make a deposit. Seeing the placard "closed" hanging against the glass inside the thought occurred to him that the bank had suspended and the report gained headway that could not be stopped. As a result there was a run of an hour and a half. A number of the heaviest depositors among the business men were present during the run and made large deposits. This soon assured the shaky depositors that there was no reason for their uneasiness and the run ceased.