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1791 Bank of the U.S
-The Bank of the U.S was known as the first bank of the U.S.
-Received a charter in 1791 from congress
-Bank collected fees and made payments on behalf of the federal government -
1816 Second Bank of the U.S
-Second Bank of the US was charted in 1816
-Failed because it didn't regulate state banks or charter any other bank
-State banks were issuing their own currency
-Federal government didn't print paper currency until the Civil War -
Civil War (printing currency)
Greenbacks were paper currency issued by the United States during the American Civil War. They were in two forms: Demand Notes, issued in 1861–1862, and United States Notes issued in 1862–1865. -
1863 National Banking Act
Two United States federal laws that established a system of national charters for banks(the United States national banks).
-Banks could have a state or federal charter -
1913 Federal Reserve Act
-Created the current Federal Reserve System
-Intended to establish a form of economic stability
-National bank introduced -
1930’s Great Depression (regarding banking)
-Great Depression (regarding banking):1929-1939
-Great Depression caused banks to collapse
-Franklin D. Roosevelt declared a "bank holiday" where banks closed
-established the Federal Deposit Insurance corporation(ensures that if a bank goes under, you still have your money). -
Glass-Steagall Banking Act
The Glass-Steagall Act effectively separated commercial banking from investment banking and created the Federal Deposit Insurance Corporation. -
1970’s (regarding banking)
Congress relaxes restrictions on banks. -
1982 (regarding banking)
Congress allows banks to make high risks loans and investments
-investments failed
-banks failed
-federal governmnet had to give investors their money back -
1999 Gramm-Leach-Bliley Act
-Allows banks to have more control over banking, insurance and securities
-It created less competition, formed a universal bank, led to sharing of information and reduction of privacy.
