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1791 Bank of America
The first bank of the United States was chartered in 1791 by the Congress. It's functions were collecting fees, and making payments for the federal government. It was closed because the state-level banks thought it gave the federal government too much power. -
1816 Second Bank of the US
Charted in 1816. It didn't work because it didn't have enough power to regulate the state banks. Every bank was using their own currency so it was variable depending where you went. -
Civil War
Although this was not a particularly good time in American history, it kickstarted the Federal Government issuing a uniform paper currency throughout the country. -
1863 National Banking Act
Established duel banking. Stated that state and federal banks were chartered and regulated at different levels -
1913 Federal Reserve Act
Created a central national bank, known as the Federal Reserve, which is still in place today. -
Great Depression
The Great Depression caused the collapse of the banking system. FDR closed all banks on a special "holiday" he created. He only allowed the financially stable banks to reopen. -
Glass-Steagell Banking Act
Established the FDIC(Federal Deposit Insurance Corporation). This makes sure that even if your bank fails, your money is protected and you can't loose it. -
1970's
The Congress relaxes many restrictions on banks -
1982
The Government let savings and loan banks to be able to do high risk investments and loans. But it turned out to have an adverse effect on banks and they failed, so the government had to give people their money back and they got put in debt. They took over S&L banks after this -
Gramm-Leach-Biley Act
Made to control how banks deal with customers information. It allowed banks to have more control over their banking, which repealed some of the concepts in the Glass-Steagall Act.
