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First National Bank
There were opposing views of the First national bank; they were Thomas Jefferson and Alexander Hamilton. Thomas Jefferson did not see the nedd for the bank. He also worried that if Congress created the bank, they they were abusing power and would do so in the future. To Alexander Hamilton the First National Bank meant that having a bank would aid the government in paying off the debt, coining money, and collecting taxes. The ability to charter a bank is an implied power. The Constitution does no -
Creation of the US Mint
When the framers of the U.S. Constitution created a new government for their untried Republic, they realized the critical need for a respected monetary system. Soon after the Constitution's ratification, Secretary of the Treasury Alexander Hamilton personally prepared plans for a national Mint. On April 2, 1792, Congress passed The Coinage Act, which created the Mint and authorized construction of a Mint building in the nation's capitol, Philadelphia. This was the first federal building erected -
U.S. Bureau of Engraving and Printing
Congress authorizes the Treasury Secretary to issue paper currency due to insufficient coinage to pay war costs. Called "Demand Notes" because they are payable upon demand in coin, the notes are essentially Government IOUs. -
National Bank Notes
Prior to the American Civil War, state banks issued their own banknotes. During the Civil War, in 1863, the National Banking Act established a system of National Banks which were empowered to issue National Bank Notes subject to federal oversight. The chartering of banks and administrative control over the issuance of National Bank Notes were the responsibility of the Office of the Comptroller of the Currency.[1] A 2% tax on state bank notes was authorized in 1864 to speed conversion to the new -
Federal Reserve Act
The Federal Reserve Act (ch. 6, 38 Stat. 251, enacted December 23, 1913, 12 U.S.C. ch.3) is an Act of Congress that created and set up the Federal Reserve System, the central banking system of the United States of America, and granted it the legal authority to issue Federal Reserve Notes (now commonly known as the U.S. Dollar) and Federal Reserve Bank Notes as legal tender. The Act was signed into law by President Woodrow Wilson. -
History of The Dollar Bill
The only large-sized, Federal Reserve Note-like $1 bill was issued as a Federal Reserve Bank Note (not to be confused with Federal Reserve Notes). Each note was an obligation of the issuing Federal Reserve Bank and could only be redeemed at that corresponding bank. The obverse of the note featured a borderless portrait of George Washington to the left and wording in the entire center. The reverse featured a Bald Eagle in flight clutching an American Flag.[14] -
Stock Market Crash
The end of World War I heralded a new era in the United States. It was an era of enthusiasm, confidence, and optimism. A time when inventions such as the airplane and radio made anything seem possible. A time when 19th century morals were set aside and flappers became the model of the new woman. A time when Prohibition renewed confidence in the productivity of the common man. It is in such times of optimism that people take their savings out from under their mattresses and out of banks and inves -
The Federal Deposit Insurance Corporation (FDIC)
Early Days of the FDIC
In the early days following the Great Depression, the banking industry was characterized by caution. FDIC insurance handled 370 bank closures during its first seven years of operation. The regulatory environment emphasized close supervision of banking practices and maintenance of appropriate competition among banking institutions. Laws were passed that prohibited many of the practices believed to be responsible for the problems leading up to the U.S. financial crisis of t -
Security Thread and Microprinting
A security thread is a security feature of many bank notes to protect against counterfeiting, consisting of a thin ribbon that is threaded through the note's paper.[1]
Usually, the ribbon runs vertically, and is "woven" into the paper, so that it at some places emerges on the front side and at the remaining places at the rear side of the paper. Usually, it is made of metal foil, but sometimes of plastic. Often, it has some text or numbers (e.g., the denomination) engraved. -
The 50 State Quarters Program Act
The 50 State Quarters Program Act began in 1999 and ran through 2008, with five new quarters released every year. The quarters were released in the order that the states joined the union. Each quarter features a different state design on the back
