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National banking
in early 1791, Congress passed the bill that created the nation's first central banking system. -
Charter of the 2nd Bank in 1816
The Second Bank was chartered by President James Madison, who in 1791 had attacked the First Bank as unconstitutional. -
Andrew Jackson elected President
Southerner Andrew Jackson is elected President of the United States. -
Pet Banks
The attempt by President Andrew Jackson to eliminate the Bank of the United States resulted in the rise of seven "pet banks, " state banks that received deposits of federal money -
The States creating their own Banks
Due to Jackson not renewing the charter, the southern states started their own banks. Alabama, Kentucky, Illinois, Vermont, Georgia, Tennessee and South Carolina all created banks that were completely owned by the state government. -
Charter runs out
Andrew Jackson Vetoed the Request to Recharter the Bank. Although the Bank charter ran through 1836, anti-Jackson politicians persuaded Bank President Nicholas Biddle to petition for an early re-charter prior to the election of 1832. -
1840 Presidential Election
Economic recovery from the Panic of 1837 was incomplete, and Whig nominee William Henry Harrison defeated incumbent President Martin Van Buren of the Democratic Party. The election marked the first of two Whig victories in presidential elections, but was the only one where they won a majority of the popular vote.